Eds right BTW, but playing Devils Advocate in this post....read on..
5% isnt high. There are contracts here that allow up to 25% of the total to be added. Your contractor isnt a bank, therefore, he wants his money too.Its allowed here...sorry. Therefore, where do you get off saying its not allowed in any state? If I go buy $100,000 of parts and supplies on a contract that was signed by you, and you break the contract cause the weather changed, then damn right you are gonna pay something.
So..if the contractor goes out and buys materials that he will be charged at least 25% restocking fees on should you cancel, or worse yet, be unable to return, you just potentially screwed the hell out of him.
Nope. Thats called what your homeowners insurance is for. If the roofs already missing off your home, and the contractor starts work on it, and you get another storm, you are going to hold the contractor liable for anything that happens after he starts work? Wrong. The way I read it is simple: So long as his company took action to keep rain from entering, be it tarps, more plywood laid over etc....and you get another storm, and you get a leak that takes out your new $2000 widescreen, hes not gonna pay for it. Nor should he.
Here, that would be called a hidden damage clause. Meaning, that if during the course of the work, any hidden damage is found that was not quoted for repair due to it not being able to be seen, then the contractor stops and allows the customer to make up his mind as to what and how to proceed, after of course, IF needed requoting.
Thats a lawyers way of inserting a mold protection clause. Mold is the new asbestoes of the new era, and you will find something like that on most every contractors forms, unless hes wanting to find that one person who would go sue for millions over something that was in his house before, and he just didnt have the circumstances prevaliant for it to manifest itself.
And you checked to see if he had insurance right? What that clause is stating as I read it, as a contractor, that if you sue, and you already sound like one that would, HIS outlay of liability isnt going to be more than the amount you agreed to. His INSURANCE company on the other hand, isnt listed, and THATS what insurance is for.
Now, on a more serious note. Its obvious you dont trust the company, and in general, we dont trust anyone. The reason why is sue happy people. Business isnt like it used to be. I still have customers I can take care of with a handshake and never have to worry about. Then, you get the new one that you just dont have a good feeling about, and after years of doing this, there has been more than one time I have told them that I just didnt think we could satisfy them, and that we declined the work...only to find out later that another company did the work and they have had nothing but problems since it was done.
If you dont trust the contractor that has given the quote, just walk away and dont sign anything. By the same token, you may find a contractor that after talking to you, states that he cant do your work, or prices it out of your ballpark. It goes both ways.
That said, suggest you look around, find someone that has a reputation and ability that you trust, and then look his contract over. Many of the clauses in the contract will never apply to you, however, witihout them, that ONE person that is looking for a reason to try to get rich quick will find a way to manipulate it to his advantage.
Contracts used to be simple...you wanted work done, the contractor wanted to do the work and make a living. Now, due to litigation, most of it bull, since these days everyones sue happy, even when the works done perfect, contractors have HAD to take steps to protect themsleves.
Seriously tho...find another one you can live with, and allow them to do the work. Express your concerns to the owner, or the job super, and make sure its done your way, but at the same time, make sure you allow them to do it their way too. Over all, it will work out for you and them...you want a roof fixed, and they want to fix it and make a profit doing so..its how business works. If you would see the insurance agreements in most grocery stores for example, you would never set foot in one again....yet, millions do, and few ever get hurt..except for the 1% of the legitimate injury cases that actually hit the courts.. Chances are, you could use that company and never have a problem...but bottom line, you dont trust them, find another, but keep in mind, they dont trust you either.