Checklist — Hiring a Contractor

What to do first

Write a description of the work you want done, with as much detail as possible.

Check with your municipal building department to ensure that the work can be done and if zoning approval or any special permits are required.

Find a contractor

Ask friends and neighbours for recommendations.

Get names from your family members, friends, local homebuilder and renovator associations, building supply outlets and, in some municipalities, your local building department.

Ask contractors for their business licence number and check with the local licensing office and the firm’s insurance company for public liability and property damage insurance and workers’ compensation.

Ask for references from past customers.

Check with the Better Business Bureau for complaints against the contractor.

Establishing the cost: getting estimates or proposals

Number of estimates or proposals: __1 __2 __3 Do you have:

A complete description of the work to be done by the selected contractor?

Samples and literature showing different products that could be used?

Depending on the size of the project, plans or sketches and specifications of the work to be completed?

The contract should contain

Correct and complete address of the property where the work will be done.

Your name and address.

Contractor’s name, address, telephone and GST numbers.

Detailed description of the work, plans (or sketches) and a detailed specification of the materials (type, quality, model) to be used.

The right to retain a lien holdback as specified in provincial law.

A clause stating that work will conform to the requirements of all applicable codes, such as building, safety and fire codes.

Start and completion dates.

The price and payment schedule (keep in mind the lien and seasonal holdbacks).

Agreement on who (homeowner or contractor) is responsible for all necessary permits, licenses, inspections and certificates.

Contractor’s responsibilities include:

Public liability insurance.

Property damage insurance.

Identifying any necessary permits and ensuring all legal requirements are satisfied.

Workers’ compensation for all employees of the contractor or subcontractors.

All work carried out under the contractor, including work done by subcontractors.

Removal of construction debris when the job is finished.

Warranties on all contractor supplied work and materials (in addition to manufacturer’s warranties) for a period of at least one year.

Homeowner’s responsibilities include:

Ensuring that all contracted work conforms to zoning bylaws.

Ensuring adequate working space and freedom of movement for workers, and use of utilities.

Ensuring prompt payment according to the requirements of the law and the holdback and payment schedule.

  
                              Canada Mortgage and Housing Corporation
       

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