A new law in New Jersey requires all Home Improvement and Home Elevation Contractors to carry a license bond. We’ve created the shortest / easiest application!
Bond amount required:
1. $50,000 for the performance of services pursuant to a contract valued at more than $120,000 or for the performance of services, in the previous 12 months, for contracts valued at a minimum of $750,000;
2. $25,000 for the performance of services pursuant to a contract valued between $10,000 and $120,000 or for the performance of services, in the previous 12 months, for contracts valued between $150,000 and $750,000; and
3. $10,000 for the performance of services pursuant to a contract valued at less than $10,000 or for the performance of services, in the previous 12 months, for contracts valued less than $150,000.
Contact all your contractor clients now, plus any contractor associations. You can promise our legendary, fast service on these. Get the app here!
FIA Surety / First Indemnity of America Insurance Company 2740 Rt. 10 West, Suite 205 Morris Plains, NJ 07950 Office: 973-541-3417
A Carrier Providing A rated, T-listed Bonds in All States!!
Fun! I actually remember seeing this in Readers Digest in 1963. Can you spot the problems?
More fun: There is a problem in this contract language, significant enough that we were unwilling to support it as written (we crafted an acceptable alternative.) Can you find it?
“Should Subcontractor, in the opinion of Contractor, at any time: ( I).) fail, refuse, or neglect to supply enough properly skilled workers or proper materials; (2).) fail to diligently perform or complete the Work in accordance with the current Project Schedule; (3).) fail to correct Work determined by Contractor to be defective; (4).) fail to make prompt payments for any material or labor used on the Project; (5).) fail to properly coordinate the labor employed by Subcontractor or its subcontractors; an d/or (6).) otherwise fail to perform in accordance with any of the other requirements of this Subcontract; then such shall be deemed an event of default. Contractor shall notify Subcontractor in writing of any default and demand that Subcontractor correct such default. Subcontractor shall correct any such default within forty-eight (48) hours (two (2) business days) of receipt of such notice from the Contractor or within such time as the Contractor may provide, in its notice of default to Subcontractor.“
Keep in mind, when litigating a bond claim, the “well-worded” P&P bond may be governed by the “poorly-worded” contract. This contract fails to require notification of default to the surety. This could mean the carrier doesn’t find out about the default until after money is spent, and the project is concluded – they just get a big fat bill! “Surprise!!”
That’s a subtle point with huge implications. It takes a sharp eye to detect and avoid such pitfalls. Call this another FIA Surety Success Story: Excellent underwriting producing record levels of production with minimal claim activity.
Call us for contract, site and subdivision bonds. We’re experts!
FIA Surety / First Indemnity of America Insurance Company 2740 Rt. 10 West, Suite 205 Morris Plains, NJ 07950 Office: 973-541-3417 A Carrier Providing A rated, T listed Bonds in All States!
Oh yeah, you wanted this…
1. The curtains are hung outside the window. 2. Through the window it is night, through the door, day. 3. Carrots are growing on a bush. 4. June has 31 days. 5. The calendar shows the week starting on Wednesday. 6. The figures on the clock are anti-clockwise. 7. There are brooms in the refrigerator. 8. There is a key and a keyhole instead of a handle on the refrigerator 9. There are two hot taps over the sink. 10. The top shelf of the sink cupboard is occupied by food. It should be occupied by sink bowl. 11. There are novels in the sink cupboard. 12. The handle of the sink cupboard door is on the inside. 13. There are no handles on the cupboard doors. 14. There is a large lounge chair in the middle of the kitchen. 15. The lounge chair only has one leg and castor missing. 16. The boy is wearing odd footwear. 17. He has a turned up cuff on only one leg of his trousers. 18. He is reading ‘Treasure Island’ but the author’s name is William Shakespeare instead of Robert Louis Stevenson. 19. The girl is using an electric polisher on a carpet. 20. There is no cord from the polisher to an electrical outlet. 21. The girl has odd sleeves.
