What is a Texas
Construction Contract?
A Texas construction contract is a written document that complies with Texas construction
contract law. For example, a Texas home improvement contract is required for a bathroom
remodeling project or a room addition job. A deck construction contract or pool
construction contract must also meet the requirements of Texas Property Code § 53.255
– two pages of disclosure statements delivered before the contract is signed.
Texas Property Code § 420.003 voids any arbitration clause in a contract which omits
specific disclosures in 10-point bold type. Omission of disclosures required by
Article 16 of the Texas Property Code (Texas Residential Construction Commission
Act) makes the contract unenforceable.
Even trivial errors by a Texas contractor can earn heavy penalties:-Omitting the
contract notice required by Texas Property Code § 41.007(a) is a violation of the
Texas Deceptive Trade Practice Act and qualifies an owner to collect triple damages
plus attorney fees. Texas Residential Construction Commission Act voids any arbitration
clause in a contract which fails to make specific disclosures in 10-point bold type.
Omission of disclosures required by Texas Residential Construction Commission Act
makes the contract unenforceable. Texas Residential Construction Liability Act gives
an owner the right to recover $500 from a contractor if the contract omits a specific
statement
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What can I do
with Texas Construction Contract Writer?
What can a TX construction contractor do with Craftsman's Texas Construction Contract
Writer?
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Draft exactly the right contract by answering interview questions
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Make a legal contract that will protect the builder in court if there's a disagreement.
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Create subcontracts based on the prime contract.
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Makes it easy for TX construction contractors to take control of the contract drafting
process.
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Keep up-to-date with changes in TX construction contract law.
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Include only the warranty protection required for the job.
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Disclaim any warranty, as allowed by the State of Texas.
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Create a simple construction contract or a contract as detailed as the job requires.
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How is Texas
Construction Contract Writer different?
Printed construction contract forms and construction contract templates are available
from several trade and professional associations. For example, AIA construction
contracts and AIA construction subcontracts are available from the AIA. Sample construction
contracts by the EJCDC and sample construction contracts by the AGC are also available
as printed forms. These standard contracts are legal construction agreements in
some states and for some purposes. But none are intended to comply with the law
of any particular state. Texas Construction Contract Writer drafts residential,
commercial and industrial construction contracts and construction subcontracts and
public works subcontracts that comply with Texas law. Using a standard contractor
agreement that doesn't comply with Texas law can result revocation of a contractor's
registration under the Texas Residential Construction Commission Act.
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What information
will I need to make my contract?
Start drafting a Texas construction contract by gathering the essential information:
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Decide how you want to set the bias – fair and balanced or tilted in your favor.
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Address of the work site, names of the contracting parties and the contract price.
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Name and address of any representative, architect or bank to be mentioned in the
contract.
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Scope of the work: What's included in the job? What's excluded? How you want to
handle errors in the plans or specs? What if there are unexpected site conditions?
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Who is responsible for job safety, hazardous materials, temporary utilities, job
cleanup, inspections and testing?
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Payments: When are payments due: Initial payment, progress payments and final payment?
Is this a fixed price contract or is payment based on the cost of labor and materials
(a time and material contract)? Will payment terms include contract allowances,
cost per unit of work or alternate prices for work to be done at the owner's option?
What's the interest rate on unpaid balances? Do you want to specify grounds for
withholding payment? Will waivers of liens be required before a payment is due?
Will there be a bonus for early completion or liquidated damages for delayed completion?
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Changes in the Work: How do you handle “extra work” not included in the contract?
Will extra work be done on a time and material basis? Or will the charge for extra
work be based on the contractor's usual selling price?
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What insurance will the contractor and subcontractor be required to carry: Liability
insurance, worker’s compensation insurance, course of construction insurance? Will
a performance bond or a payment bond be required?
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The construction schedule: When will work start? When should work be completed?
What grounds are legitimate reasons for an extension of time? Will the owner or
contractor be permitted to suspend work or terminate the contract? What constitutes
substantial completion? Will the contractor be permitted to collect the final payment
if discrepancies remain on the punch list?
- Warranty: What's the duration of the warranty, if any? What constitutes a construction
defect? What repairs are required when a construction defect is found? Can the contractor
or subcontractor disclaim the implied warranties of habitability and workmanlike
construction?
These are important questions that building contracts in TX should cover.
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What's the difference
between an agreement and a contract?
A legal contractor contract is an enforceable contractor agreement. Enforceable
contractor contracts are usually created from a contractor contract form or a contractor
contract template. To be enforceable in Texas, TX contractor contracts and TX subcontractor
contracts must comply with Texas contract law. A legal building contract between
either the owner and a general contractor or a general contractor and a subcontractor
can be enforced either by legal action in a court of law or by arbitration.
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How long will
it take to draft my first contract?
About a half hour for simple construction agreements. A commercial general contractor's
contract for a shopping center might require an hour or more.
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Is there a free
trial?
Yes - Get a feature-limited trial of Texas Construction Contract Writer at no charge. Draft a construction contract agreement to
see if TX CCW is right for you. Printing, exporting and the ability to copy and
paste are disabled in the trial. Use the trial program as long as you want. When
you’re ready, get the production version of Texas Construction Contract Writer here or click the “Order Now” button on the Texas Construction
Contract Writer Help menu. Successful download and installation are guaranteed.
Then write and print as many contracts as you want or create PDF (Postscript) or
RTF (MS Word) versions for delivery as email attachments. You can even send a Verizon
Texas construction contract. If you switch computers or need another download, don’t
worry. During the first year you can get another download as often as needed. After the
first year, updates are only $25 per year or $40 for two years.
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What if I have
questions?
Texas Construction Contract Writer includes extensive legal and practical information
to help you every step along the way. On the right side of every screen in the interview
you'll see information about the choices available.
Licensed users of Texas CCW can get answers to contract drafting questions. We can’t
draft the contract for you. But if you need advice on assembling a construction
contract that meets requirements for your job, our legal staff is on call. If you
get stuck, go to the Help menu and click the “Get Help from an Attorney” option.
You'll have an answer in 24 hours, usually sooner.
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What will my
completed contract look like?
Click here
and scroll down to view a good selection of example Texas construction contracts
prepared with CCW. You'll see:
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A sample residential construction contract,
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A sample new home construction contract,
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A sample pool construction contract,
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A sample home remodeling contract,
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A sample commercial construction contract,
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A sample home repair contract,
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A sample home building contract,
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A sample time and material construction contract,
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A sample home improvement contract.
In addition to general contractor contracts and independent contractor contracts,
you'll see several sample subcontractor agreements.
Some of these home building contracts are biased in favor of the homeowner. Others
favor the general contractor or subcontractor. All of these example construction
contracts and legal contractor forms comply with Texas law. You can download any
construction contract form on the site as either a PDF or RTF (MS Word) or CCF (Construction
Contract Writer) document.
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Is it safe to
make a contract without a lawyer?
If you’re accustomed to getting legal advice on most business deals, we won’t suggest
anything different. If your style is doing jobs on notes scribbled on a business
card or on a form you found on the Web, we suggest that CCW can substantially reduce
your risk, either with or without review by legal counsel.
Most construction contracting mistakes fall into one of three categories. The first
is business risk. Is it a good deal or a bad deal? Lawyers usually don’t give advice
on that topic. Business risk is your decision. The second category is compliance
with Texas construction contract law and Federal law. Both an attorney of your choice
and Construction Contract Writer can address that issue. The third category of mistakes
is omissions. Does the contract cover what happens when something goes wrong? CCW
is very comprehensive, offering a universe of options far broader than needed for
nearly any job. But nothing happens in CCW until you answer the appropriate interview
question. If you don’t have the time to consider and understand the options available,
maybe you need an attorney more than you need CCW.
Of course, there is a middle ground. Attorneys are accustomed to reviewing contracts.
Produce a contract with CCW and get an opinion from legal counsel before offering
the document for signature. If your attorney suggests changes, and if CCW can’t
accommodate those recommendations, maybe CCW is not the best choice for your work.
If a CCW contract is approved by your legal counsel, use that contract as a model
for all similar jobs. CCW makes it easy to clone any contract on file.
Please review
the disclaimer by clicking the PDF icon.
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Where can I
get a short, simple, standard Texas construction contract form that's valid for
all types of work?
There's no such thing as a short, simple construction contract for home improvement
work in Texas. The notices and disclosures required by Texas law make even the shortest
residential TX construction contractor form at least 8 pages long. Drafting a legal
Texas construction contract is as complex as preparing a tax return. If you use
one of the popular income tax return preparation programs (like TaxCut® or Turbo
Tax®), Texas Construction Contract Writer will become one of your favorites.
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Is an Internet
connection Required?
An internet connection is required for program updates and during installation.
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What computers
can use Texas CCW?
Construction Contract Writer is guaranteed to run on Windows XP and Windows Vista.
Microsoft .NET Framework 2.0 is required and will be installed during installation,
if necessary.
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