Borough of Haworth, New Jersey

Building Department/Construction Code Official

Home Improvement Contractors' Licensing Law

Attention: Homeowners

The New Jersey State Department of Consumer Affairs expended much time and effort to pass the Contractor’s Registration Act. This became effective on January 1, 2006, and was created to help regulate contractors who are involved in home improvement work. Among other requirements, a home improvement contractor must submit an application as well as a disclosure statement (regarding any criminal history, convictions, etc.) and proof of insurance.

In an attempt to avoid meeting these requirements, some contractors try to have homeowners apply for and obtain permits in their own name. This involves signing the "Certification in Lieu of Oath". This states that you are performing or supervising the work yourself. If you are signing this Certification to provide cover to an unlicensed contractor, you are forfeiting the protection afforded to you under the law.

Also, you are violating the criminal laws of this State, if you sign the Certification stating that you are doing the work yourself, when, in fact, you are paying someone else to do it. When a homeowner applies for a permit in their name, we are requiring the homeowner's signature on the form advising him/her of these provisions. The form states the following:

"Before signing the Certification in Lieu of Oath indicating that you are performing the work yourself, please consider the following:

1. The laws requiring new home builders to be registered and contractors in the various trades, such as plumbing or electrical work, to be licensed were adopted to protect homeowners and homebuyers. If you are signing this Certification to provide cover to an unlicensed homebuilder or contractor, you are forfeiting the protection afforded you under the law. The contractor that you have hired may or may not be qualified. And if you encounter problems with this contractor, the government will not be able to help you because you signed the Certification indicating that you are performing the work yourself.

In the case of the construction of a new home, you are forfeiting your right to a new home warranty. Every new home builder in New Jersey is required to be registered with the State and to give a warranty to each purchaser. The warranty covers almost all defects in workmanship or materials, including appliances, for the first year; plumbing, mechanical (heating and air conditioning), and electrical systems for the first two years; and major structural defects for ten years. Further, the warranty will actually pay for the correction of defects if the builder fails or refuses to do so. By signing the Certification, you are giving up that protection.

2. You are violating the criminal laws of this State if you sign the Certification indicating that you are doing the work yourself when, in fact, you are paying someone else to do it."

For more information about building permits, inspections and fees, please do not hesitate to contact my office at (201) 384-8824. We are in the office Tuesdays and Fridays.

HARRY W. KRAUS, Construction Official

New Home Improvement License Regulations

Attention: Home Improvement Contractors

You must have your new home improvement license issued by the New Jersey Division of Consumer Affairs in your possession as of January 1, 2006, or you are not allowed to do any work in the State of New Jersey. To obtain a license, contact:

Office of Consumer Protection
Regulated Business Section
124 Halsey St.
7th Floor
P.O. Box 46016
Newark, NJ 07102
1-888-656-6225.

Addition and Alteration Plans/Drawings

There has been a recent trend for homeowners to put themselves at risk of extra liability when doing work at their homes. I have received many non-professional plans for some very complicated additions and alterations. Often, I hear that Architects want too much money to do drawings. Some of the "home-owner" plans are quite good. However, most of the plans are not. They do not afford the homeowner any protection against being taken advantage of.

A lot of the plans show little or no awareness of building code and structural issues. These plans are "the assembly instructions" or the "road map" for the building. This is the reason I sometimes will not issue permits. If I cannot understand them when submitted, how can the structure turn out as planned?

Another problem occurs when a builder does the drawings and has the homeowner sign off, as if he or she drew them. In addition to being in violation of the law, this is risky. When the homeowner does this, he assumes all of the risk. If there is a problem later, the builder is off the hook, and we have no way of protecting the owner.

If the contractor advises the homeowner to sign the application and file for the permit in their own name, then the liability becomes the homeowner's problem. The contractor now becomes a sub-contractor. Anything that can go wrong, goes back to the homeowner, and his insurance. Insurance companies have refused to back up the owner, in previous cases.

Think out your role clearly before agreeing to anything other than a normal owner-contractor relationship.

For more information about building permits, inspections, and fees, please call your Building Department at (201) 384-8824. We are usually in the office on Tuesdays and Fridays.

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