What does Michigan Law require regarding construction contracts?

Michigan law requires that certain construction contracts, particularly those for residential property, be in writing to provide clarity and protection for all parties involved. This legal requirement helps to ensure that the terms of the contract are clearly defined, thereby reducing misunderstandings and potential disputes. Having a written contract offers a framework within which the contractor, builder, and client can operate, detailing the scope of work, payment terms, timelines, and other essential aspects of the project.

While verbal agreements can be valid in many circumstances, relying on them in construction can lead to complications, as they can be difficult to prove and enforce. Informal arrangements without proper documentation may lack the legal standing required in case of a disagreement, undermining trust and accountability. When it comes to large contracts, while it may seem that only those should be formalized in writing, the law typically prioritizes written agreements for residential projects of any size to protect consumers and ensure compliance with established building practices and regulations.