Bill > H362

This bill modifies regulations for residential contracting agreements by amending Chapter 142A of the General Laws, specifically addressing payment schedules and deposit requirements. The legislation limits the upfront deposit a contractor can request to either one-third of the total contract price or the actual cost of special order or custom-made materials necessary to ensure the project proceeds on schedule. The bill maintains the existing provision that final payment cannot be demanded until the contract is fully completed to the satisfaction of both parties. A notable exception exists for contractors who provide a performance and payment bond, lien or completion bond, or an equivalent bond approved by the director of consumer affairs and business regulation, which covers at least two million dollars. Additionally, the bill adds a provision stating that any violation of these regulations will be considered an unfair or deceptive practice under Chapter 93A, which is Massachusetts' consumer protection law. This change aims to protect consumers by preventing excessive upfront payments and ensuring fair practices in residential contracting.

Labor and Employment

https://malegislature.gov/Bills/194/H362