Overview of New Montana Contract Law

For Houses that are to be built

·         Disclosure that a general contractor has a current general liability policy

·         Disclosure that the general contractor has a workers’ compensation policy or is an independent contractor

·         Provision setting out the billing cycle and handling change orders by the owner

·         A statement of all inspections and tests that the contractor will perform or have performed prior to, during, or upon completion of construction.

·         A statement that the owner is entitled to conduct their own tests at their expense.

·         A statement that the contractor is providing an express warranty that is valid for a period of at least 1 year from the completion of the construction project.   Warranty must state what components are included or excluded from the warranty, the length of warranty, and any specialty warranty provisions or time periods relating to certain components.   The warranty must also set the requirements to be adhered to by the buyer, including the time and method for reporting claims.

For “Spec” Homes

·         A statement of all inspections and tests that the contractor has performed prior to, during or upon completion of construction

·         A statement that the contractor is providing an express warranty that is valid for a period of at least 1 year from the sale of the home.   Warranty must state what components are included or excluded from the warranty, the length of warranty, and any specialty warranty provisions or time periods relating to certain components.   The warranty must also set the requirements to be adhered to by the buyer, including the time and method for reporting claims.