Roofing Law

SB38- The Consumer Protection/Roofing Law

‘Concerning measures to protect consumers who engage a roofing contractor to perform roofing services on
residential property.’

This new law, effective June 6. 2012 prohibits a roofing contractor from paying, waiving or rebating an insurance
deductible for a property owner. A contractor may not advertise or promise to waive, pay, or rebate the same.
Residential property roofs requiring repair or replacement of $1,000 or more must have a written and signed
contract between the property owner and the roofing contractor which includes at least the following:

  • Scope of work & materials to be provided
  • Cost for same based on damages known at the time the contract is entered into
  • Approximate dates of service
  • Roofing contractor’s contact information
  • Identification of contractor’s surety & liability coverage insurer & their contact information
  • Contractor’s policy regarding cancellation of contract & refund of any deposit including a rescission
    clause allowing the property owner to rescind the contract for roofing services and obtain a full refund of any
    deposit within 72 hours after entering the contract.
  • A statement that if the property owner plans to pay for the roofing services through an insurance claim,
    the contractor cannot pay, waive or rebate the homeowner’s insurance deductible in part or in whole.
  • A statement that the contractor shall hold in trust any payment from the property owner until the contractor
    has delivered roofing materials to the jobsite or has performed a majority of the roofing work on the property.
  • A statement that the property owner may rescind a contract for services, the payment for which will be
    made from the proceeds of a property insurance claim, within 72 hours after receiving notice from their insurer
    that the claim is denied in whole or in part.
  • ALL Colorado roofing contractors must abide by this new law. Realizing the financial hardship this new law may
    create, Best Hands Roofing Contractors of Colorado Springs will allow its client to pay their deductible with
    installment payments.