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California imposes the heaviest regulatory burdens on home improvement contractors in the nation. Understanding B&P § 7159 requirements is essential to protecting your license and your right to payment.

Understanding California Contractor Law

Protect your license and ensure payment with fully compliant contracts.

B&P Code § 7159

Home Improvement Contract Requirements

What's Required

Mandatory Written Contract Requirements
Strict Payment And Deposit Limitations
Required Cancellation Disclosures
Prohibited Contract Provisions
Statutory Notice And Disclosure Obligations

Consequences of Noncompliance

License Suspension or Revocation
Fines Up To $5,000 Per Violation
Cannot Collect Payment
CSLB Disciplinary Action
Contract Becomes Unenforceable

How We Help

Fully compliant contract templates
Required statutory language included
Proper notice and disclosure forms
Payment schedule compliance
Ongoing contract updates as law changes

Civil Code § 8850

Change Order Requirements — Effective January 1, 2026

What's Required

Mandatory change order procedures in contracts
Specific statutory change order language
Written authorization before extra work
Clear pricing for modifications
Documentation requirements

Consequences of Noncompliance

Cannot enforce change order charges
Loss of payment for extra work
Contract disputes and litigation
CSLB complaints and discipline
Damage to business reputation

How We Help

Fully Compliant Change Order Forms
Standardized Change Order Procedures
Contract Drafting and Revision
Staff training on proper documentation
Compliance review before new law takes effect

Get Fully Compliant Contracts

Protect your license and your right to payment with contracts that meet all B&P § 7159 requirements.

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