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In California, a written contract is required for all home improvement projects over $500. A contract is important to avoid misunderstandings about the job, including a description of the work, materials to be used, project timeline, cost, payment schedule, permit responsibilities, cancellation rights, mechanics liens, and allowable delays. The contract and any changes must be in writing, legible, and easy to understand. Make sure verbal promises are written into the contract. Remember to get everything in writing, describe materials in detail, and include specific work details.