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Massachusetts Construction Contract

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CONSTRUCTION CONTRACT

THIS CONSTRUCTION CONTRACT (“Contract”), effective as of the date of the last party to sign below, is between , having an address at ("Contractor") and , having an address at ("Owner").

For valuable consideration the parties hereby agree as follows:

1. SCOPE OF WORK: Contractor shall provide all labor and materials, and perform all work necessary for the completion of the residence, structure, or improvements as described in the drawings and specifications signed by both Owner and Contractor (“Project”) and more particularly described as

Such drawings and specifications are hereby made a part of this Contract. Drawings and specifications shall contain a scale drawing showing the shape, size, and dimensions of the construction and equipment together with a description of the work to be done, materials to be used, and the equipment to be used or installed.

2. WORK SITE: The Project shall be constructed on the property of Owner located at and more particularly described as (hereafter "the Work Site").

Owner hereby authorizes Contractor to commence and complete the usual and customary excavation and grading on the Work Site as may be required in the judgment of the Contractor to complete the Project. Unless called for in the drawings or specifications, no landscaping, finish grading, filling or excavation is to be performed at the Work Site by the Contractor.

3. TIME OF COMPLETION: Contractor shall commence the work to be performed under this Contract on or before and shall substantially complete the work on or before .

Contractor shall not be liable for any delay due to circumstances beyond its control including strikes, casualty, acts of God, illness, injury, or general unavailability of materials.

4. PERMITS: Contractor shall apply for and obtain such permits and regulatory approvals as may be required by the local municipal/county government, the cost thereof shall be included as part of the Project price.

5. SOIL CONDITIONS: Contractor shall have no responsibility for the condition of the soils at the Work Site. Any excavation, filling or other work required by the Owner other than the usual and customary excavation and grading shall be agreed to in a Change Order for an amount in addition to the Contract Price. Contractor shall not be responsible for any damages suffered by Owner as a result of the soil conditions at the Work Site.

6. INSURANCE: Contractor shall maintain general liability, workers compensation and builder's risk insurance.

7. SURVEY AND TITLE: If the Project is near the Owner’s property boundary, Owner will point out property lines to the Contractor. If the Owner or Contractor has any doubt about the location of the property lines, Owner shall provide Contractor with boundary stakes through a licensed surveyor. In addition, Owner shall provide Contractor documentation that Owner has title to the Work Site and shall provide Contractor copies of any covenants, conditions, or restrictions that affect the Work Site.

8. CHANGES TO SCOPE OF WORK: Owner may make changes to the scope of the work, including changes to the drawings and specifications, from time to time during the construction of the Project. However, any such change or modification shall only be made by written "Change Order" signed by both parties. Such Change Orders shall become part of this Contract. Owner agrees to pay any increase in the cost of the Project as a result of a Change Order. In the event the cost of a Change Order is not known at the time a Change Order is executed, the Contractor shall estimate the cost thereof and Owner shall pay the actual cost whether or not it is in excess of the estimated cost.

9. CONTRACT PRICE:

{COST PLUS}

Owner agrees to pay Contractor the actual cost to Contractor of materials plus the sum of $ for performing the services set forth in the scope of the work. Contractor shall be paid as follows:

OR

{FIXED FEE}

Owner agrees to pay Contractor the sum of $ for performing the services set forth in the scope of the work. Contractor shall be paid as follows:

Contractor shall furnish Owner appropriate releases or waivers of lien for all work performed or materials provided at the time the next periodic payment shall be due.

10. LATE PAYMENT/DEFAULT: A failure to make payment for a period in excess of ten (10) days from the due date shall be deemed a material breach of this Contract. If payment is not made when due, Contractor may suspend work on the job until such time as all payments due have been made without breach of the Contract pending payment or resolution of any dispute. Owner agrees to pay a late charge of 1% of all payments that are more than ten (10) days late plus interest at the rate of 1% per month.

11. DESTRUCTION AND DAMAGE: If the Project is destroyed or damaged for any reason, except where such destruction or damage was caused by the sole negligence of the Contractor or its subcontractors, Owner shall pay Contractor for any additional work done by Contractor in rebuilding or restoring the Project to its condition prior to such destruction or damage. If the estimated cost of replacing work already accomplished by Contractor exceeds 20 percent of the Contract price, either the Contractor or Owner may terminate this Contract. Upon termination by either party, Contractor shall be excused from further performance under this Contract and Owner shall pay Contractor a percentage of the Contract price in proportion to the amount of work accomplished prior to the destruction or damage.

12. ASSIGNMENT: Neither party may assign this Contract, or payments due under the Contract, without the other party’s written consent. Any such assignment shall be void and of no effect.

13. INTERPRETATION:

(a) Interpretation of Documents. The Contract, drawings, and specifications are intended to supplement one another. In the event of a conflict, the specifications shall control the drawings, and the Contract shall control both. If work is displayed on the drawings but not called for in the specifications, or if the work is called for in the specifications but not displayed on the drawings, Contractor shall be required to perform the work as though it were called for and displayed in both documents.

(b) Entire Agreement. This Contract constitutes the entire agreement of the parties. No other agreements, oral or written, pertaining to the work to be performed under this Contract exists between the parties. This Contract may only be modified only by a written agreement signed by both parties.

(c) Governing Law. This Contract shall be interpreted and governed in accordance with the laws of the State of Massachusetts.

14. ATTORNEYS’ FEES AND COSTS: If any party to this Contract brings a cause of action against the other party arising from or relating to this Contract, the prevailing party in such proceeding shall be entitled to recover reasonable attorney fees and court costs.

15. PERFORMANCE:

(a) Contractor may, at its discretion, engage licensed subcontractors to perform work pursuant this Contract provided Contractor shall remain fully responsible for the proper completion of the Project.

(b) All work shall be completed in a workman-like manner and in compliance with all building codes and applicable laws. To the extent required by law, all work shall be performed by individuals duly licensed and authorized by law to perform said work.

(c) Contractor agrees to remove all debris and leave the premises in broom clean condition.

16. WARRANTY: Contractor's warranty shall be limited to defects in workmanship within the scope of work performed by Contractor and which arise and become known within one (1) year from the date hereof. All said defects arising after one (1) year and defects in material are not warranted by Contractor. Contractor hereby assigns to Owner all warranties on materials as provided by the manufacturer of such materials.

17. REQUIRED NOTICES: Attached hereto is provided required disclosure to Owner pursuant to Massachusetts law.

AGREED:

CONTRACTOR:

Signature

Print Name & Title

Date

Registration Number

Name and Address of License Holder

Social Security Number

Name of Salesperson (if applicable)

OWNER:

NOTE: Do not sign this Contract if there are any blank spaces.

Signature

Print Name

Date

NOTICE TO OWNER

I. Contractor Registration

Contractor and any subcontractors must be registered by the State of Massachusetts, chief administrator of the board of building regulations and standards, an agency within the executive office of public safety, established by section 18 of chapter 6A.

Any inquiry about Contractor or a subcontractor should be directed to the Administrator.

II. Cancellation Rights

You may cancel this agreement if it has been signed by a party thereto at a place other than an address of the seller, which may be his main office or branch thereof, provided you notify the seller in writing at his main office or branch by ordinary mail posted, by telegram sent or by delivery, not later than midnight of the third business day following the signing of this agreement.

See the attached Notice to exercise your right.

NOTICE OF CANCELLATION


(Enter date of transaction)

You may cancel this transaction, without any penalty or obligation, within three business days from the above date.

If you cancel, any property traded in, any payments made by you under the agreement, and any negotiable instrument executed by you will be returned within ten business days following receipt by the seller of your cancellation notice, and any security interest arising out of the transaction will be cancelled.

If you cancel, you must make available to the seller at your residence, in substantially as good condition as when received, any goods delivered to you under this agreement; or you may if you wish, comply with the instructions of the seller regarding the return shipment of the goods at the seller’s expense and risk.

If you do make the goods available to the seller and the seller does not pick them up within twenty days of the date of your notice of cancellation, you may retain or dispose of the goods without any further obligation. If you fail to make the goods available to the seller, or if you agree to return the goods to the seller and fail to do so, then you remain liable for performance of all obligations under the contract.

To cancel this transaction, mail or deliver a signed and dated copy of this cancellation notice or any other written notice, or send a telegram to

to ,

at not later

than midnight of

I hereby cancel this transaction.

(Date)


(Buyer's signature)

Enter text✕

What the Massachusetts Construction Contract Is and What It Covers

A Massachusetts Construction Contract is a written agreement that defines the rights, duties, and obligations between a property owner, contractor, and any subcontractors for construction work performed in Massachusetts. It sets the project scope, schedule, payment terms, insurance and bonding requirements, change order procedures, dispute resolution, and closeout obligations. Well-drafted contracts allocate risk, establish clear timelines for progress and final payment, and describe required documents such as lien waivers, permits, specifications, and drawings that support enforceability under state law and local building codes.

Why a Clear, State-Specific Construction Contract Matters

A precise contract reduces disputes, clarifies payment and change-order procedures, and helps both parties preserve remedies like mechanic’s liens and bond claims. It also establishes governing law and notice procedures that affect statutory timelines and enforcement in Massachusetts.

Why a Clear, State-Specific Construction Contract Matters

Who Typically Prepares and Signs These Contracts

Construction contracts involve multiple stakeholders who must understand obligations before work begins.

  • Owners and developers who need clear deliverables, milestone payments, and warranty terms.
  • General contractors responsible for scope, schedule, subcontractor coordination, and compliance with local permits.
  • Subcontractors and suppliers who rely on payment terms, lien waiver timelines, and indemnity clauses.

Proper role alignment helps with compliance, proof of service, and enforcing remedies when disputes arise.

Essential Contract Sections Every Massachusetts Construction Contract Should Include

A professional contract groups obligations into clear sections so parties can find rights, deadlines, and remedies quickly.

Scope of Work

Detailed description of tasks, deliverables, reference drawings, specifications, and excluded items.

Schedule

Start, milestone, and completion dates plus delay notice procedures and liquidated damages if applicable.

Payment Terms

Contract sum, progress payment schedule, retainage, final payment, and conditions for withholding funds.

Change Orders

Process for pricing, approval, time adjustments, and documentation required for authorized changes.

Insurance & Bonds

Required coverages, certificate holders, performance and payment bond obligations and limits.

Dispute Resolution

Choice of governing law, mediation/arbitration clauses, venue, and prevailing party fee provisions.

Step-by-Step: Completing a Massachusetts Construction Contract

Follow this sequence to reduce errors and ensure enforceability before work starts.

  • 01
    Review Scope: Confirm drawings, specifications, and exclusions match the work to be performed.
  • 02
    Verify Parties: Confirm legal entity names and authorized signers for each party.
  • 03
    Agree Payments: Confirm schedule, retainage, and invoicing formats to prevent disputes.
  • 04
    Sign and Date: All parties sign, date, and distribute executed copies before mobilization.

Where to Send and Maintain the Executed Contract

Routing executed copies promptly preserves proof of agreement and starts contractual notice timelines.

  • Owner File: Owner retains the original executed contract for project records and audit purposes.
  • Contractor File: General contractor keeps a signed copy to manage pay applications and change orders.
  • Subcontractor Copy: Subcontractors should hold signed agreements to support claims or stop-notice rights.
  • Permitting Office: Submit required contract excerpts to local building officials when requested for bonds or licenses.

Customizing an Online Workflow for the Contract

Map the digital review and signing flow to match project roles and approval levels.

Field Configuration
Signature Order Set sequential or parallel signing depending on approval needs
Authentication Use email, SMS code, or advanced methods for higher assurance
Conditional Fields Show payment or bond fields only when relevant options are selected
Storage Save executed PDFs to a project folder with versioning and audit trail

Technical Options for eSigning and Storing the Contract

Choose a platform that supports required authentication, storage, and integrations for project workflows.

  • Integrations: Connect to Procore, NetSuite, or Google Drive
  • Formats: Support for PDF, DOCX, and fillable fields
  • Authentication: Email, SMS, or advanced signer verification

Time-sensitive Dates Commonly Built into Contracts

Identify and calendar statutory and contract deadlines to preserve claims, payments, and notice rights.

Notice to Proceed:

Date that fixes the contract schedule and starts the performance clock

Progress Payment Dates:

Regular intervals when invoices become due subject to approval and retainage

Change Order Response:

Timeframe for approving or pricing proposed changes to avoid work stoppage

Substantial Completion:

Target date for owner takeover and commencement of warranty periods

Final Completion:

Date when punch-list items are closed and final payment is due

Key Milestones from Bid to Closeout

Track core project milestones and link them to payment and inspection triggers.

01

Bid Submission

Receipt of competitive proposals and qualification materials.

02

Contract Award

Formal notice that locks in scope, price, and contractor obligations.

03

Mobilization

Site setup, permits secured, and initial materials staged for work.

04

Project Closeout

Final inspections, release of retainage, and delivery of warranties.

Common Mistakes to Avoid When Preparing Contracts

  • Using vague scope language that creates differing expectations and leads to disputed change orders and claims.
  • Failing to specify payment timing, retainage, and invoice requirements which can delay cash flow and prompt liens.
  • Not requiring insurance certificates or bonds up front, exposing owners or contractors to uncovered losses or contract default.
  • Skipping clear notice procedures and contact details, which can void statutory notices or delay dispute resolution.

Potential Consequences of Inaccurate or Missing Contract Terms

Mechanic’s Lien Risk: Loss of lien priority or ability to record lien
Payment Disputes: Delayed payments, stop notices, or litigation costs
License Violations: Fines or suspension for unlicensed work
Bond Claims: Exposure on payment or performance bonds
Waiver Mistakes: Overbroad waivers can forfeit future claims
Statute Issues: Missed notice deadlines can bar remedies

Typical eSignature Provider Pricing and Feature Snapshot

This table shows starting prices and core feature availability for common eSignature providers; signNow is listed first per platform comparison conventions.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by plan Varies by plan Varies by plan Varies by plan
Bulk Send Yes (premium tiers) Varies by plan Varies by plan Varies by plan Varies by plan
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No cap 100 envelopes/user/year Varies Varies Varies

Frequently Asked Questions About Massachusetts Construction Contracts

Answers to common execution, notarization, and enforceability questions for users preparing or signing a Massachusetts Construction Contract.


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