Home improvement contract requirements: subcontractors.

Paragraph (6) of subdivision (a), which stated that a buyer may file a complaint with the Contractors State License Board if the applicable Notice of Cancellation is not included in or attached to the contract, was present in the Amended Assembly version (under SEC. 1.5) but does not appear in the enrolled consolidated text.

The bill structure was consolidated from two separate amendment sections (SEC. 1 and SEC. 1.5) into a single SECTION 1, which is the standard format for an enrolled bill ready for gubernatorial signature.

The legislative counsel's digest was updated to remove 'as amended' from the bill citation, changing it from 'SB 517, as amended, Niello' to 'SB 517, Niello', reflecting final passage.

Removed the requirement that a home improvement contract must contain the name and contact information of a subcontractor when that subcontractor performs more than 50% of the total estimated project cost.

Added requirement that contracts include the contractor's email address (in addition to name and address) for cancellation notices, and a telephone number of the contractor or representative to assist the buyer with locating and filling out the Notice of Cancellation.

Expanded the methods by which a buyer may deliver a cancellation notice to include emailing and faxing, in addition to the previously allowed mailing or personal delivery.

Added a new Section 1.5 incorporating amendments proposed by AB 1327 to Section 7159, operative only if both bills are enacted and SB 517 is enacted last. This expands the bill's scope to include provisions from a separate legislative effort.

Added a new seven-day right to cancel for contracts written for repair or restoration of residential premises damaged by a declared state of emergency (federal or state) or local emergency, extending beyond the standard three-day (or five-day for seniors) cancellation period.

Added a provision stating that if the required Notice of Cancellation is not included in or attached to the contract, the buyer may file a complaint with the Contractors State License Board.

Added 'STATE OF CALIFORNIA AUTHENTICATED ELECTRONIC LEGAL MATERIAL' header, Chapter 585 designation, and Governor approval/filing date (October 10, 2025).

Removed Senate and Assembly passage signature blocks, Governor's receipt date line, and Private Secretary of the Governor line that are part of the enrolled bill format.

Page headers, footers, and line wrapping were reformatted to match the official chaptered statute layout (e.g., 'Ch. 585' page markers replacing 'SB 517' markers).

Home improvement contracts must now include a checkbox disclosure stating whether or not a subcontractor will be used on the project (new subsection c(7)(A)).

If a subcontractor will be used, the contract must include a disclaimer informing the homeowner that they can request a list of subcontractors with names, contact information, license number, and classification (new subsection c(7)(B)).

The same subcontractor disclaimer must appear on each change order issued during the project (new subsection c(7)(C)).

A new provision (a)(5)(B) establishes that the prime or direct contractor is administratively responsible for completing the project in accordance with the contract, plans, and specifications, while clarifying that this does not prevent separate discipline of subcontractors or home improvement salespersons for violations.