Are electronic signatures legally valid?

Yes. Under the federal ESIGN Act (15 U.S.C. ch. 96) and state electronic signature laws, properly executed electronic signatures are generally legally enforceable for interstate transactions when intent, consent, attribution, and retention are present.

When is notarization required?

Not all disclosures require notarization. Requirements depend on state law and contract terms; certain attestations, affidavits, or recorded instruments may require a notary or witnesses before they are accepted by a recorder or lender.

Can I correct a signed disclosure?

Post-signature corrections should be handled via a written amendment or replacement document signed by the same parties. Avoid manual edits to signed copies; use a new statement that references and supersedes the prior one.

Is Remote Online Notarization (RON) acceptable?

RON is allowed where state law permits and when the notarization meets identity-proofing, audio-video recording, and retention requirements. Verify the notary’s authority in your state before relying on RON.

How long must signed disclosures be kept?

Retention depends on record type: financial records 3 years (IRC §6501(a)), HIPAA records 6 years (45 CFR §164.530(j)), and construction claims commonly require retaining documents for 7 years or longer where litigation is possible.

Who should I contact about a dispute tied to the disclosure?

Start with contract administrators and the project’s general counsel. Preserve originals, contemporaneous communications, and audit trails to support your position during negotiations or any legal process.

Electronic Signature
Templates
Miscellaneous
Construction Disclosure Statement

Construction Disclosure Statement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

CONSTRUCTION DISCLOSURE STATEMENT

THIS CONSTRUCTION DISCLOSURE STATEMENT (the Statement) is entered into as of by and between Client Name: and Contractor Name: .

WHEREAS

WHEREAS, Client Name: desires certain construction, repair, alteration or improvement work at the property located at (the Project); and

WHEREAS, Contractor Name: represents that it is duly licensed, insured and qualified to perform the scope of work described herein, subject to the terms and disclosures set forth in this Statement.

SCOPE OF WORK

Detailed Scope of Work

PROJECT INFORMATION

Project Address Contract Sum (Total) Contractor License No.

Estimated Start Date:

Estimated Completion Date:

PAYMENT TERMS

Contract Sum Payable as follows: Total Amount $ to be paid pursuant to the payment schedule below.

Payment Schedule / Milestones

Deposit: $ due prior to commencement. Progress payments shall be invoiced and due within days of invoice receipt.

Late Payment: Unpaid amounts shall incur interest at a rate of or the maximum rate permitted by law, whichever is lower, plus reasonable collection costs.

PERMITS AND APPROVALS

Responsibility for obtaining permits and approvals:

Contractor shall obtain all required permits and approvals Owner shall obtain permits and approvals specifically identified in the contract documents Permit Notes / Exceptions

SUBCONTRACTORS

Subcontractors to be used on the Project

SITE CONDITIONS AND HAZARDOUS MATERIALS

Known site conditions affecting performance:

Known hazardous materials are present at the site If hazardous materials are present, describe measures and allocation of responsibility

CHANGE ORDERS AND EXTRA WORK

All changes to the Scope of Work shall be executed only by a written change order signed by both parties. Contractor shall provide cost proposals for extra work within a reasonable period and shall not commence extra work without a signed change order.

Change Order Procedure and Notice Requirements

LIENS, INSURANCE AND BONDING

Contractor shall provide and maintain insurance and, where required by contract documents, performance and payment bonds. Contractor warrants that it will provide lien waivers as payments are made in accordance with the payment schedule.

Proof of insurance provided prior to commencement Bonding and Lien Waiver Terms

WARRANTIES

Contractor warrants that labor and materials furnished under this Statement shall be free from defects for a period of from final completion, except as otherwise stated in the primary contract documents.

TERM AND TERMINATION

Term Start Date: Term End Date: .

Either party may terminate this Statement for material breach if the breaching party fails to cure within days after written notice. Termination shall not relieve Owner of payment obligations for work performed and materials furnished prior to termination, except as otherwise provided by law.

CONFIDENTIALITY

The parties acknowledge that certain technical, financial and proprietary information disclosed in connection with the Project may be Confidential Information. Each party shall hold Confidential Information in strict confidence and shall not disclose such information to third parties except as required for performance of the work, as required by law, or with prior written consent of the disclosing party.

Confidentiality obligations agreed

GOVERNING LAW; DISPUTE RESOLUTION

This Statement shall be governed by and construed in accordance with the laws of the state of , without regard to conflict of law principles. Claims arising out of or relating to this Statement shall be resolved in the courts of that state unless the parties agree in writing to alternate dispute resolution.

ENTIRE AGREEMENT

This Statement, together with any referenced contract documents, exhibits and written change orders, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior negotiations, representations, or agreements, whether written or oral. No modification of this Statement shall be effective unless in writing and signed by both parties.

ACKNOWLEDGMENT AND CERTIFICATION

The parties certify and acknowledge that the information set forth in this Statement is true and correct to the best of their knowledge, that they have authority to enter into this Statement, and that they understand their respective rights and obligations under the Statement and the underlying contract documents.

Additional Notices / Attachments

Contractor (Printed Name):

By:

Date:

Owner (Printed Name):

By:

Date:

What a Construction Disclosure Statement Is and when it matters

A Construction Disclosure Statement is a formal written record used in construction projects to disclose material facts about the work, site conditions, scope, and responsibilities of contracting parties. It typically accompanies contracts, bids, permits, or progress-payment requests and documents known hazards, required permits, special conditions, and key dates. The statement helps align expectations among owners, general contractors, subcontractors, lenders, and permitting authorities, and creates a clear record for future claims, inspections, or lien matters. Use it to reduce disputes and to document compliance with applicable permitting or lender disclosure requirements.

Why the Construction Disclosure Statement matters for project clarity

A clear disclosure statement reduces ambiguity about scope, schedule, materials, and site risks, which lowers the chance of disputes and costly delays. It provides a written basis for change orders, informs permitting and lender reviews, and creates an auditable record of what was known and agreed at contract formation. Accurate disclosures also support lien defense and insurance claims by documenting conditions and communications.

Who typically prepares and relies on the disclosure

Typical participants who prepare, review, or receive a Construction Disclosure Statement are listed below.

General Contractors and Project Managers — Prepare disclosures, coordinate subcontractor input, and confirm scope and schedule alignment before mobilization.
Property Owners and Developers — Review disclosures for budget, permit, and lender conditions; use statements to compare bids and authorize work.
Lenders, Title Agents, and Inspectors — Require disclosures for loan underwriting, title review, permit compliance, or site inspections before funding or recording.

Use these roles to determine who must sign, attest, and retain copies during the project lifecycle.

Core elements to include in a professional Construction Disclosure Statement

A complete Construction Disclosure Statement is concise but comprehensive: it identifies parties, describes the project scope and materials, discloses known site conditions and hazards, documents permit and inspection status, lists key dates and milestones, and includes signature blocks for responsible parties. Each element should be clear to non-technical readers and supported by attachments when necessary.

Project Scope

A precise description of work to be performed, deliverables, and exclusions to avoid scope disputes and to anchor change order calculations.

Materials & Specs

Identify major materials, brand/model numbers, and standards; note substitutions require written approval to maintain quality control.

Site Conditions

List known site constraints, hazardous materials, access limitations, or geotechnical findings that could affect schedule or cost.

Permits & Approvals

Document permit numbers, issuing authority, required inspections, and outstanding or pending approvals that condition work start or occupancy.

Schedule & Milestones

Specify start date, critical milestones, substantial completion, and liquidated damages or incentives if applicable for timeline enforcement.

Signatures & Attestations

Include signature lines, printed names, titles, date fields, and any required witness or notary blocks for authentication.

Required fields commonly present on the disclosure

Contractor Name: Full legal business name

License Number: State-issued contractor license

Scope Summary: Short project description

Material Summary: Primary materials listed

Effective Date: MM/DD/YYYY format

Insurance Limits: Policy coverage summary

Step-by-step: completing and issuing a Construction Disclosure Statement

Follow these sequential steps to prepare, verify, and distribute the disclosure with minimal delays.

01

Gather Documents: Collect plans, permits, specs, and inspection reports to support disclosures.
02

Draft Statement: Populate required fields and attach exhibits, including photos and permit copies.
03

Review & Approve: Have legal, safety, or permitting staff confirm accuracy before signatures.
04

Distribute: Send signed copies to owner, lender, permitting authority, and project file.

How to set up the disclosure as a reusable digital workflow

Configure the form as a template to enforce consistent data capture and automated routing for signatures and recordkeeping.

Field	Configuration
Template Name	Use project-type and region for reuse
Conditional Fields	Show permit fields only when local regulations apply
Notifications	Auto-email owner, lender, and PM on completion
Authentication	Require signer email + optional SMS code

Technical considerations for e-submission and sharing

Choose platforms that support secure e-signatures, audit trails, and common integrations so signed disclosures are admissible and easy to retrieve.

File Formats: PDF and DOCX are standard and widely accepted
Integrations: Connectors for Procore, MS 365, NetSuite, and Google Workspace
Authentication: Email verification, SMS codes, or stronger KBA options

Confirm chosen tools meet regulatory or lender security requirements (audit trail, retention, and encryption) and support export to your project management repository.

Where to send signed disclosures and typical routing

After signatures are captured, route copies to parties who require notice or a record and archive a master copy for dispute defense.

Owner / Developer: Primary recipient for contract and budget control
Lender / Title Agent: Provided when financing or title review is pending
Permitting Authority: Supply disclosure if permits require project-specific statements
Project Records: Archive final signed copy in the project repository

Timing rules and common deadlines to observe

Observe these timing triggers to ensure the disclosure fulfills its purpose and complies with contract and permitting conditions.

Before Contract Execution:

Deliver disclosures to bidders or owners prior to signing where required by contract.

Prior to Permit Issuance:

Submit any project-specific disclosures if the permitting agency conditions approval on them.

Before Mobilization:

Confirm disclosures and sign-offs before crew mobilizes on site.

At Major Change Orders:

Update disclosures to reflect changed scope or site conditions when issuing change orders.

Retention Deadline:

Keep signed records per retention rules in project file after closeout.

Frequent mistakes that delay approval or create disputes

Incomplete scope descriptions — leaving ambiguity that later becomes a change order dispute and slows payment approval.
Incorrect party names or license numbers — mismatched legal names can cause payment holds or invalidate parts of the document.
Missing attachments — omitting permit copies, geotechnical reports, or photos undermines the disclosure’s evidentiary value.
Late distribution — failing to provide disclosures before contract signing or permitting can void conditions or trigger lender holds.

Legal and commercial risks from incorrect or missing disclosures

Contract Breach: May trigger claims, damages, or termination rights

Lien Exposure: Incomplete records can weaken lien defense

Payment Withholding: Owners or lenders may retain funds pending clarification

Permit Delays: Regulatory holds can delay work start

Insurance Denial: Misstated facts may affect coverage for claims

Reputational Harm: Repeated errors can reduce contracting opportunities

Common eSignature vendor comparison for disclosure workflows

Compare basic pricing and key compliance features for platforms commonly used to capture signed Construction Disclosure Statements. Prices reflect typical entry-level or announced starting plans.

	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 vendor	Varies by vendor	Varies by vendor	Varies by vendor
Bulk Send	Yes	Yes	Yes	Yes	Yes
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No envelope cap	100 env./user/yr	Varies by plan	Varies by plan	Varies by plan

Frequently asked questions about using and validating the disclosure

Answers to common questions about signature validity, notarization, retention, and correcting errors for Construction Disclosure Statements.

Need help? Contact support

Are electronic signatures legally valid?
Yes. Under the federal ESIGN Act (15 U.S.C. ch. 96) and state electronic signature laws, properly executed electronic signatures are generally legally enforceable for interstate transactions when intent, consent, attribution, and retention are present.
When is notarization required?
Not all disclosures require notarization. Requirements depend on state law and contract terms; certain attestations, affidavits, or recorded instruments may require a notary or witnesses before they are accepted by a recorder or lender.
Can I correct a signed disclosure?
Post-signature corrections should be handled via a written amendment or replacement document signed by the same parties. Avoid manual edits to signed copies; use a new statement that references and supersedes the prior one.
Is Remote Online Notarization (RON) acceptable?
RON is allowed where state law permits and when the notarization meets identity-proofing, audio-video recording, and retention requirements. Verify the notary’s authority in your state before relying on RON.
How long must signed disclosures be kept?
Retention depends on record type: financial records 3 years (IRC §6501(a)), HIPAA records 6 years (45 CFR §164.530(j)), and construction claims commonly require retaining documents for 7 years or longer where litigation is possible.
Who should I contact about a dispute tied to the disclosure?
Start with contract administrators and the project’s general counsel. Preserve originals, contemporaneous communications, and audit trails to support your position during negotiations or any legal process.

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