Legal Question in Construction Law in California
Deposits to start a job
Is it true that the contractor can not ask for more than 10%deposit to start a job.
Asked on 7/28/02, 1:43 pm
1 Answer from Attorneys
Bryan Whipple
Bryan R. R. Whipple, Attorney at Law
Re: Deposits to start a job
If it is a home improvement contract and the payment schedule calls for a downpayment before the work begins, the downpayment cannot exceed $1,000 or 10% of the contract price, whichever is less. See Business and Professions Code section 7159(d).
Answered on 7/29/02, 1:34 pm