AN ACT TO AMEND TITLES 6 AND 11 OF THE DELAWARE CODE RELATING TO HOME CONSTRUCTION CONTRACTS.

This Act protects consumers by regulating home improvement contracts. Among other things, this Act provides the buyer with a right to cancel home improvement contracts within 3 days (5 days for those over the age of 62 or with a disability); limits contract deposits and material deposits; and time periods in which construction must begin. It also prohibits confessions of judgments and hasty debt transfers. If a party to a home improvement contract violates a provision of this new subchapter, a person who is damaged as a result has a cause of action to seek damages, costs, and reasonable attorney's fees. This Act also creates a requirement that individuals convicted of 2 or more offenses of home improvement fraud after the effective date of this Act must be subject to debarment. This debarment will preclude these individuals from operating a business which engages in home improvement services or from employing other individuals to engage in home improvement services. Debarred individuals may work for a company which engages in home improvement themselves, so long as they are not in control of the company in question. This bill also enhances penalties for home improvement fraud for those with prior convictions for home improvement fraud; and creates enhanced penalties for individuals who engage in home improvement services while operating companies which are not registered with the Delaware Department of Labor’s Contractor Registry.