ABA Family Legal Guide

Home Ownership

Remodeling

Legal Protections

What kind of state and local laws apply to contractors?

State laws often are modeled after federal laws, and states and local agencies are much more apt to pursue a small contractor who may have violated the law. If you suspect that a contractor is breaking the law, get in touch with your state attorney general's office or local department of consumer affairs.

Some state laws specifically target dishonest contractors. For example, Illinois's Home Repair/Fraud Act, amended in 2000, makes it a crime to misrepresent the terms of a home repair contract, deceive people into signing one, damage someone's property to drum up home repair business, or charge an unconscionable fee for home repair services. A contractor who preys on disabled people or those older than sixty may be committing aggravated home repair fraud, a felony punishable by three to seven years in jail and a fine of up to $10,000.

Localities also can impose tough laws against unscrupulous contractors. A local law in Putnam County, New York, provides such punishments as suspension or revocation of the contractor's license, both criminal and civil penalties, and punitive damages against the contractor.

For information about legal protections and enforcement options in your state, contact your state or local consumer protection agency or the consumer fraud division of the local prosecutor's office.