Section 11 Is There a Valid Contract?

• Library: Home Purchases, Ownership, and Financing 2011

In Missouri, there is no requirement that a home repair contract be in writing. In some jurisdictions, such as in neighboring Illinois, certain home improvement contracts must be in writing. In Illinois, it is unlawful for any person engaged in the business of remodeling or repair to make repairs or charge for remodeling or repair work over $1,000 before obtaining a signed contract or work order. 815 Ill. Comp. Stat. Ann. 513/30 (Westlaw current through 2010). Contractors that do not abide by the law will not be able to recover on quantum meruit. Cent. Ill. Elec. Servs., L.L.C. v. Slepian, 831 N.E.2d 1169 (Ill. App. Ct. 2005); see also Secondino & Son, Inc. v. LoRicco, 576 A.2d 464 (Conn. 1990) (contractor who failed to provide written contract in accordance with Connecticut law may not collect for its services).

In Missouri, even large home improvement and repair contracts may be oral rather than written. Heritage Roofing, LLC v. Fischer, 164 S.W.3d 128 (Mo. App. E.D. 2005) (contractor performed $24,500 of roofing work based on his bid and oral agreement with consumer). Typically, when any party is unhappy because of defective performance, failure to pay, or both, litigation ensues. The court will be left with the task of sorting out the facts to determine whether a contract existed. In White v....