Definitions

Unless otherwise stated, terms used in 201 CMR 14.00 are as defined or used in M.G.L c. 142A. (Mass. Register #1549, 6/6/2025) Actual Loss. Amounts payable for the cost of repair, replacement, completion or performance under the terms of a written residential home improvement contract with respect to which a Guaranty Fund claim is made. Applicant. The owner occupant, authorized tenant, authorized trustee of a non-business trust, or registrant covered by provisions of M.G.L. c. 142A who files a request, on an approved form, for arbitration before an OCABR approved arbitrator claiming a failure of performance under a residential home improvement contract. Arbitrator. Any person who has been certified by OCABR to perform home improvement contractor, or subcontractor arbitration services. These appointed individuals issue binding decisions pursuant to M.G.L. c. 142A and 201 CMR 14.00. Business Days. Monday through Friday, except for state and federal holidays. Claimant. An owner and resident of a residential building, containing at least one but not more than four dwelling units, who has entered into a construction contract with a contractor, or subcontractor to carry out construction work on said building, and who is making a claim against said contractor, or subcontractor for failure of performance under said contract pursuant to M.G.L. c. 142A. A claimant may only recover once up to and no more than $25,000 from the Guaranty Fund to compensate for actual loss. Clear and Conspicuous. Shall be defined in a manner which is consistent with the definition provided by the applicable sections of the Attorney General's Retail Advertising Regulations, 940 CMR 6.01: Definitions and 6.01: Clear and Conspicuous(f) and the Attorney General's Mortgage Brokers and Mortgage Lenders Regulations, 940 CMR 8.03: Definitions. 201 CMR 14.00 provides that clear and conspicuous shall mean that the material representation being disclosed is of such size, color, contrast, or audibility and is presented so as to be readily noticed and understood by a reasonable person to whom it is being disclosed. Contract. A written agreement in one or more documents for the performance of certain residential contracting work, including all labor, material, goods and services set forth under said agreement. Contractor. Any person who owns or operates a contracting business who, through themself or others, undertakes, offers to undertake, purports to have the capacity to undertake, or submits a bid for residential contracting work. For purposes of 201 CMR 14.00, the Office of Consumer Affairs and Business Regulation shall deem a contractor, or subcontractor to be duly registered if the contractor, or subcontractor is registered in accordance with M.G.L. c. 142A and 201 CMR 18.00: Registration and Enforcement of Home Improvement Contractor Program on the contract signing date with the owner. In the case of the deceased contractor, or subcontractor, their administrator, executor, or personal representative is substituted where applicable. Designated Agent. A party any individual designated, in writing, to represent the individual. A designated party need not be an attorney. Fund Administrator. The administrator of the Residential Contractor's GuarantyFund, appointed by the director of the Office of Consumer Affairs and Business Regulation. Guaranty Fund (including the term Fund). The Residential Contractor's Guaranty Fund established pursuant to M.G.L. c. 142A. OCABR. The Office of Consumer Affairs and Business Regulation. Owner (including the term Homeowner). Anyowner of a pre-existing owner-occupied building containing at least one but not more than four dwelling units, or a tenant authorized by the homeowner thereof, who orders, contracts for, or purchases the services of a contractor or subcontractor. An owner occupying a condominium unit in a building containing no more than four dwelling units qualifies as an owner. A corporation, partnership, (incorporated or unincorporated), business trust, charitable organization, or any other business entity does not qualify as an owner. Owner-occupied. The residential building of at least one but not more than four dwelling units that is occupied or intended to be occupied by the owner as a primary residence. A residential building that is held by a non-business trust but that otherwise qualifies as a residential building under this definition shall be "owner-occupied" if the applicant submits proof that said building is their primary residence. Such proof shall include, but not be limited to, the applicant's valid declaration of homestead for said building, or evidence of eligibility for a homestead exemption. Person. Any individual, partnership, corporation, society, trust, association, or any other legal entity. Reasonable Efforts to Collect. Such efforts as are reasonable for the purpose of collecting a judgment or award as established byOCABR. In determining satisfactoryefforts, OCABR shall consider factors, including but not limited to, the amount of the judgment or award, the likely costs of continued collection efforts, whether the debtor can be located, and whether the debtor has filed bankruptcy. Registrant. Any person duly registered as a home improvement contractor or subcontractor under the provisions of M.G.L. c. 142A and 201 CMR 18.00: Registration and Enforcement of Home Improvement Contractor Program on the date of the contract with the owner. Registration Number. The number assigned to the contractor or subcontractor after the contractor has been approved for registration by the OCABR. Residential Contracting. The reconstruction, alteration, renovation, repair, modernization, conversion, improvement, removal, demolition, or the construction of an addition to any pre­ existing owner occupied building containing at least one but not more than four dwelling units, which building or portion thereof is used or designed to be used as a residence or dwelling unit, or to existing structures which are adjacent to such residence or building including, but not necessarily limited to: garages, sheds, cabanas, pool houses, gazebos. Request for Arbitration Form. The form provided by the director of OCABR to applicants filing for arbitration. Subcontract. A contract, written or verbal, in any amount, between a home improvement contractor and a subcontractor or between two subcontractors for the performance of any part of the home improvement contractor's or subcontractor's contract. Subcontractor. Any person other than a supplier of material or labor, who enters into a contract, written or verbal, with a contractor or subcontractor for the performance of any part of the contractor's contract, or who enters into a contract with any other subcontractor for the performance of any part of the subcontractor's contract, and who does not perform work other than as a subcontractor. Technical Corrections. A non-substantive computational correction, typographical correction or other minor correction. Unworkmanlike Manner. Materials that are used and methods which are employed that are of substandard, unreasonable, imprudent, or inadequate quality or are inconsistent with good construction practices; that materials used and methods employed are wholly or partially inaccurate or unacceptable in final appearance or function; or, that materials used and methods employed are unsafe or may result in an unsafe or non-functional final product.