Step 18 of 45Contractor Phase

How to Review Your Contract Carefully

The contract is your primary protection during a kitchen remodel. Everything not in writing doesn't exist. Take time to read every clause, ask questions, and negotiate terms before signing.

Quick Summary

Time needed

1-2 hours

For projects over

$25k, use a lawyer

Golden rule

If it's not written, it doesn't exist

Why Contracts Matter

Contractors and homeowners often have very different memories of what was promised. The contract is the only thing that counts when disputes arise. Everything—every detail, every promise, every understanding—needs to be in writing.

Common dispute: "But you said the backsplash was included!" Without it in the contract, you have no recourse. Verbal agreements mean nothing in construction.

A good contract protects both parties. The contractor knows exactly what they're obligated to do, and you know exactly what you're paying for. This clarity prevents 90% of disputes.

Essential Contract Elements

1. Detailed Scope of Work

This is the heart of the contract. It should describe exactly what work will be performed.

Should include:

  • Specific work to be performed (demolition, electrical, plumbing, etc.)
  • Materials with brand, model, color, and quantity
  • Reference to attached design documents and plans
  • Who is responsible for material ordering
  • Cleanup and debris removal expectations
  • What is explicitly NOT included

Tip: The scope should be detailed enough that another contractor could read it and understand exactly what needs to be done. Vague language like "update kitchen" is useless.

2. Payment Terms and Schedule

Payment should be tied to completed milestones, not just dates. This protects you if work falls behind.

Recommended payment structure:

  • 10-15% deposit — Upon contract signing
  • 20-25% — After demolition and rough-in inspections pass
  • 25-30% — After cabinet installation complete
  • 20-25% — After countertops and appliances installed
  • 10% holdback — 30 days after completion, after punch list resolved

Red flag: Front-loaded payment schedules (50%+ upfront) give you no leverage. If something goes wrong, the contractor has most of your money already.

3. Change Order Process

Changes during construction are common. The contract must spell out how they're handled.

Change order requirements:

  • All changes must be in writing before work begins
  • Signed by both parties
  • Itemized cost breakdown (labor + materials)
  • Impact on timeline specified
  • Markup percentage disclosed (typically 15-20%)
  • Prohibition on verbal change orders

Never approve changes verbally. A contractor saying "we found some rot, it'll be an extra $2,000" needs to put that in a written change order with details before proceeding.

4. Warranties

Understand what's covered and for how long if something goes wrong after the project is complete.

Workmanship warranty:

  • • Typically 1-2 years
  • • Covers contractor's labor
  • • Defects in installation
  • • Should be in writing

Material warranties:

  • • Varies by manufacturer
  • • Cabinets: often lifetime
  • • Appliances: 1-5 years
  • • Register products for coverage

Warranty should specify:

  • Duration of coverage
  • What's covered (and what's excluded)
  • How to submit a warranty claim
  • Response time requirements

5. Timeline and Delays

A kitchen remodel disrupts your life significantly. The contract should address timing.

Timeline provisions:

  • Start date and estimated completion date
  • Key milestones with target dates
  • Working hours and days
  • How delays are communicated
  • Consequences for significant delays (optional but helpful)
  • Force majeure (weather, supply chain, etc.)

6. Permits and Inspections

The contract should clearly state who is responsible for permits.

Permit provisions:

  • Contractor is responsible for pulling all required permits
  • Permit costs included in contract price (or itemized separately)
  • Contractor schedules all inspections
  • You receive copies of all permits and passed inspections

7. Termination Clauses

Sometimes things don't work out. Both parties need a clear exit path.

Termination should cover:

  • Your right to cancel (usually with written notice)
  • How work completed is valued and paid
  • What happens to materials already ordered
  • Contractor's right to stop work for non-payment
  • Cancellation fees (should be reasonable)

Contract Red Flags

One-sided termination clauses

If the contractor can terminate easily but you can't, the contract is unfair. Both parties should have reasonable exit rights.

Waiving your right to sue

Arbitration clauses are common, but complete waivers of legal rights are concerning. Make sure you can seek legal remedy for serious issues.

No lien waiver provisions

Without lien waivers, subcontractors can put a lien on your home even if you paid the general contractor. The contract should require lien waivers with each payment.

Vague or missing scope

A contract that says "remodel kitchen per discussion" is worthless. Every detail needs to be spelled out explicitly.

No warranty mentioned

If warranty isn't in the contract, you may have no recourse for problems that appear after the job is done.

Negotiating Contract Terms

A reputable contractor will be open to reasonable modifications. Pushback on fair requests is itself a warning sign.

Reasonable requests:

  • Adding more detail to scope
  • Adjusting payment schedule
  • Written change order requirement
  • Clearer warranty terms
  • Lien waiver provisions

May face resistance:

  • Liquidated damages for delays
  • Very low deposits
  • Removing arbitration clauses
  • Unusual payment terms
  • Unlimited liability for contractor

Frequently Asked Questions

What should be included in a kitchen remodel contract?

A complete contract should include: detailed scope of work, itemized pricing, payment schedule tied to milestones, project timeline, change order process, warranty terms, permit responsibilities, insurance requirements, termination clauses, and dispute resolution procedures. Everything discussed should be in writing.

How do change orders work in a remodel contract?

A change order is a written agreement to modify the original contract scope, price, or timeline. Good contracts require: all changes in writing, signed approval before work begins, itemized pricing for labor and materials, impact on timeline stated, and prohibition on verbal change orders. Never approve changes verbally.

What warranty should a contractor provide?

Contractors typically provide a 1-2 year workmanship warranty covering their labor. Materials often have separate manufacturer warranties. The contract should specify: warranty duration, what's covered, what's excluded, how to make a claim, and the contractor's obligation to respond. Get all warranty terms in writing.

Should I have a lawyer review my remodel contract?

For projects over $25,000, having a lawyer review the contract is money well spent. An attorney familiar with construction law can spot unfavorable terms, ensure adequate protections, and suggest modifications. A one-hour review typically costs $200-400 and can prevent costly disputes later.

Ready for the Next Step?

With your contract reviewed and ready to sign, confirm the project timeline in detail. Understanding the schedule helps you plan for living without a kitchen during construction.

Related Guides