Contractor Problems in New Jersey: Complaints and Your Options
Where to file a complaint
If you are not satisfied, file a complaint online with the Division of Consumer Affairs, call 1-800-242-5846 to have a form mailed to you, or call your county or municipal consumer affairs office. The state's brief was revised January 13, 2025. Source
Bond or insurance
The Division's FAQ says that to register, a home improvement contractor must file proof of commercial general liability insurance of at least $500,000 per occurrence and workers' compensation insurance, unless exempt. It must also keep "additional security", such as a compliance bond or letter of credit, of at least $10,000, $25,000 or $50,000 depending on the value of its contracts. Source
Contract and cancellation rules
The state's brief says home improvement contracts over $500 must be written and must include the contractor's legal name and business address, start and completion dates, a description of the work, the total price and the registration number. The contractor must also give you a copy of its commercial general liability insurance policy and the insurer's phone number. You may cancel a signed contract for any reason before midnight of the third business day after receiving a copy. Put the cancellation in writing and deliver it in person or send it by registered or certified mail, return receipt requested, plus a photocopy by regular first-class mail. Source
Liens on your home
The state's brief advises asking for a lien waiver before you sign a contract. It describes a lien waiver as a receipt stating that the workers and material suppliers will not ask you for money once you have paid the contractor. It does not state notice deadlines. Source
This is general information, not legal advice. A topic we don't list means we couldn't confirm it on an official page, not that the protection doesn't exist.
New Jersey licensing and costs · All states
General information, not professional advice. Conditions, codes and prices vary. Turn off power, gas or water before any work, and hire a licensed professional when in doubt. Cost figures are our estimates, not quotes.