ContractsCounsel Logo

Legal Questions and Answers

Get free proposals from vetted lawyers in our marketplace.

GET FREE PROPOSALS
No upfront payment required. Pay only if you hire.
Home Q&A Forum Can a general contractor include a clause in the contract that allows them to terminate the agreement without cause?

Construction Contractor

General Contractor Contract

Massachusetts

Asked on Jun 16, 2024

Can a general contractor include a clause in the contract that allows them to terminate the agreement without cause?

I am a homeowner who recently hired a general contractor to oversee a major renovation project on my property. We have signed a contract that outlines the scope of work, payment terms, and project timeline. However, I noticed a clause in the contract that states the general contractor has the right to terminate the agreement at any time, without providing a specific reason. This concerns me as I want to ensure that the contractor will complete the project as agreed upon. I would like to know if it is common and legally permissible for general contractors to include such termination clauses in their contracts, and what my rights and options are in this situation.

1 Attorney answer

Answer

Construction Contractor

Massachusetts

Answered 32 days ago

Mark L.

ContractsCounsel verified

Business Lawyer
Licensed in Massachusetts
Free Consultation

Other than the terms that Massachusetts requires to appear in a home improvement contract between a homeowner and a registered home improvement contractor, the parties can agree to pretty much any other terms (provided they are not illegal, or void on public policy grounds). The GC is probably including this "termination without cause" right in his standard agreement in case a more lucrative job comes along and he'd lose out on it if he continued on your project. I would strongly recommend that you insist the contract be amended to remove that clause. Here is a link to the Mass. Office of Consumer Affairs and Business Regulations' guidance on this topic: https://www.mass.gov/info-details/required-contract-terms-in-a-home-improvement-contract. And assuming he is a registered home improvement contractor, while amending the contract to strike the termination language, you should also add any of the Massachusetts-required terms that are missing, or update them as appropriate. Hopefully, you have a good relationship with your contractor and he will agree, at least to the removal of the termination language. If the contractor has integrity, he should agree to remove the language and add/update any missing required terms.

Use of the ContractsCounsel Q&A Forum does not create an attorney-client relationship between User and any Lawyer User. The Forum is not a substitute for legal advice from a lawyer but is intended to be educational and to help the user determine if legal services are necessary. The Forum, Content, and communications on the Forum do not constitute legal advice.
Meet some lawyers on our platform

Sarah S.

35 projects on CC
CC verified
View Profile

Forest H.

244 projects on CC
CC verified
View Profile

Daehoon P.

203 projects on CC
CC verified
View Profile

Zachary J.

388 projects on CC
CC verified
View Profile

Find lawyers and attorneys by city