NYC requires very specific contract components for all Home Improvement work. Miss one, and you’re exposed to violations or contract disputes. This guide gives you the full list—nothing extra, nothing bloated—based strictly on DCWP requirements (6 RCNY §2-221 and NYC Admin Code §20-393).

Written, Legible, Plain-Language Contract

Your contract must:

• Be in writing

• Be legible

• Be in plain English, and in any language used during negotiation

• Include both English + the other language (if negotiated in another language)

Contractor Identity + License Details

You must include:

• Full legal name

• DBA name (if any)

• Business address

• Office phone

• DCWP HIC license number

• Name of salesperson/company employee (if applicable)

Date of the Contract

The exact date the contract is signed must appear clearly.

Start Date + Completion Date

You must list:

• Expected start date

• Expected substantial completion date

• Contingencies that could affect timing

• Whether time is of the essence

Homeowners can cancel for a full refund if you fail to start by the agreed time.

Detailed Description of Work

This must include:

• Clear description of the work

• Areas of the home affected

• Specific tasks included

• Methods if relevant (repair vs. replacement)

Avoid vague descriptions.

Detailed Materials List

You must identify materials with:

• Brand

• Model

• Color

• Specifications

• Quantity

Materials supplied by the consumer must be listed separately.

Full Pricing Breakdown

You must itemize:

• Labor

• Materials

• Equipment

• Permit fees

• Any additional charges

Payment Schedule (If Using Progress Payments)

If you’re collecting money as work progresses, you must:

• Break out each payment

• Match each payment to specific work or materials

• Ensure payments have a reasonable relationship to work completed

• Follow DCWP guidance: no payment should exceed 20% or $15,000 (lower amount)

NY State law requires these payments be deposited into a trust/escrow account.

Advertised Representations

You must restate all advertised claims, including:

• Guarantees

• Warranties

• Price claims

• Any representation you made in ads or sales pitches

Warranties

If you provide a warranty, specify:

• Coverage

• Duration

• Conditions

• Exclusions

If none, write “None.”

Workers’ Compensation Notice

Your contract must affirm:

• You will provide a Certificate of Workers’ Compensation Insurance before work begins,
  or

• You will provide a Certificate of Attestation of Exemption

DCWP must be listed as certificate holder.

Required Permit Responsibilities

Your contract must state:

• You will obtain all required NYC permits (DOB, DOT, etc.)

• You will comply with all NYC laws and codes

Permit responsibility cannot be shifted to the homeowner.

Lien Law Notices

Two mandatory disclosures:

Mechanic’s Lien Notice

Explain that unpaid subcontractors may legally file a lien against the property.

Trust Account / §71-a Lien Law Notice

Explain that:

• Payments must be deposited into a trust account, or

• You must post a bond/indemnity guaranteeing proper use of funds

Three-Day Cancellation Disclosure (Placement + Formatting Required)

This language must appear directly above the consumer signature line, in bold, at minimum 10 pt:

YOU, THE BUYER, MAY CANCEL THIS TRANSACTION AT ANY TIME PRIOR TO MIDNIGHT OF THE THIRD BUSINESS DAY AFTER THE DATE OF THIS TRANSACTION. SEE THE ATTACHED NOTICE OF CANCELLATION FORM FOR AN EXPLANATION OF THIS RIGHT.

If this is missing, the consumer can cancel indefinitely until you fix it.

Separate “Notice of Cancellation” Form (Two Copies)

You must attach two detachable copies that include:

• Contractor name + address

• Date of transaction

• Last day to cancel

• All required cancellation rights text (10 pt bold minimum)

• English + any language used to negotiate the contract

Change Order Requirements

Your contract must state that all change orders:

• Must be in writing

• Must be signed by both parties

• Must list the change in price

• Must list the new contract total

• Must indicate any timeline changes

Verbal changes are illegal.

Cleanup and Compliance

You must agree to:

• Clean the site after work is complete

• Comply with DOB, fire, health, sanitation, and building codes

• Perform work skillfully and competently

Final Payment + Lien Waivers

Your contract must allow the consumer to withhold final payment until you provide:

• Lien waivers

• Proof that subcontractors and vendors have been paid

Prohibition on Financing

Your contract must reflect that:

• You do not arrange financing

• You do not advertise or broker loans

NYC law prohibits HIC contractors from engaging in loan arrangements.

Signature Area Requirements

You must include:

• Contractor/salesperson signature + printed name

• Consumer signature + printed name

• Date for all signatures

The 3-day cancellation disclosure must appear immediately above these lines.

Provide a Copy at Signing

You must give the homeowner:

• A complete, fully filled-out, signed copy

• Immediately at signing

• Before any work begins

This is not optional.