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In California, a written contract is mandatory for home improvement projects exceeding $500 to prevent misunderstandings. The contract must detail the work scope, materials, project timeline, costs, and payment schedule. It should specify who secures necessary permits, your cancellation rights, mechanics liens, and allowable delays. Any changes to the contract must also be documented in writing, and the contract must be clear and legible. Ensure that all verbal promises are included in the written contract. Key points to remember include obtaining everything in writing, detailing materials (size, color, quantity), and specifying critical work details.