How to Write a Contractor Contract in Canada: Clauses Every Job Needs
The clauses a Canadian contractor's contract should include: scope, price, payments, changes, delays, warranty and disputes. Not legal advice; a practical checklist.
This is general information, not legal advice. Contract rules differ by province, and home renovation contracts are regulated in some provinces, so ask a lawyer to review your template. Still, most disputes come from the same handful of missing clauses.
Quote or contract?
A quote is a price offer. Once accepted it can function as a contract, but a written contract adds the detail that protects both sides. Small jobs may only need a clear, signed quote; larger renovation jobs deserve a full contract.
Clauses to include
- Parties and site: legal names, addresses, the property.
- Scope of work: detailed, with exclusions.
- Price and taxes: total, GST/HST/QST, and what is fixed vs allowance.
- Payment schedule: deposit, milestones, due dates and late-payment interest. See how to get paid on time.
- Start and completion dates: with allowance for weather and material delays.
- Change orders: no extra work without written approval and price.
- Permits and inspections: who obtains and pays.
- Insurance and licensing: see our insurance guide.
- Warranty: duration and what is not covered.
- Cancellation: some provinces give consumers cooling-off rights for home contracts, so check yours.
- Dispute resolution: a process before court, such as mediation.
- Site access, cleanup, and hidden conditions: who is responsible for what.
Common mistakes
- Verbal agreements on extras
- Fixed price with no clause for hidden conditions
- No end date or no consequences for delays
- No signature, or a signature from only one spouse or owner
Make it part of your process
A quote that includes terms and an electronic acceptance, produced with quoting software for general contractors, gives you a consistent, signed record every time. For the quote itself, read how to write a professional quote.
