Texas Residential Construction Contract
Browse the Web for residential construction contracts and you'll see braggadocio about some boilerplate contract being "legal in all 50 states."
Claims like this show up on Web sites run by savvy people with good credentials but who should know better. If you've been working as a Texas contractor for a while, you know how foolish it is for any vendor to claim their residential construction contract forms are "legal in all 50 states." |
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Every state has the right to set unique requirements for construction contracts. And Texas certainly has.
You can take this to the bank: Residential construction contract forms created for any other state aren't going to meet Texas requirements. Texas residential construction contract forms are unique.
Construction contract law varies from state to state the same way income tax law varies from state to state. Imagine the reaction if you tried to file a Texas income tax return with the Montana Department of Revenue. You'd probably be breaking the law in two states.
Even if you aren't concerned about fines, consider the impact if you get into a dispute before collecting the final payment. The attorney for your client won't be impressed with your "legal in all 50 states" contract. More likely, you'll discover that the contract is either partially or totally unenforceable under Texas law. Game over! You lose. Run, don't walk, to the nearest exit. You're not going to collect another dime on that contract.
When you see the claim, "legal in all 50 states," I recommend thinking "probably not legal in any state." The latter is far more likely than the former.
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