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In California, a written contract is required for home improvement projects exceeding $500. The contract is essential to prevent misunderstandings and should include details such as the scope of work, materials to be used, project timeline, total cost, and payment schedule. Additionally, it must specify responsibilities for obtaining permits, rights for cancellation, mechanics liens, and permissible delays. All agreements, including modifications, must be documented in writing and be clear and comprehensible. It is crucial to ensure that any verbal promises are included in the contract. Key points to remember include detailing the materials, their specifications, and comprehensive work descriptions.