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§4.05 Home Improvement Contracts–Definitions

Lesson 4:
Home Repair & Licensing

A “home improvement contract” is any agreement, oral or written, between an owner or tenant and a contractor or salesperson involving home improvements over $500 (including all labor, services, and materials) [B&PC §§7151.2, 7159(b) (as operative July 1, 2012)], but not including service and repair contracts as defined in B&PC §7159.10, or contracts for the sales, installation, service, or monitoring of certain fire alarm systems [B&PC §§7159(a)(3)–(4), 7159.9].

A “home improvement” includes repairing, remodeling, altering, converting, modernizing, or adding to residential property, including, but not limited to, the construction or improvement of swimming pools for single-family residences [see B&PC §7166], spas, and awnings, and the installation of “home improvement goods” such as carpeting or air conditioning. [B&PC §7151.]

Contractors engaged in the home improvement business must be licensed, and salespeople must be registered. [B&PC §§7150.1, 7153.]

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