Tip #1: Throw away all of your work authorizations.
Once upon a time, it was okay to start on a job with nothing
more than a work authorization; that is, a form that gives
permission for a company to come onto a property and perform
work. A work authorization is not a payment contract.To secure
the right to payment, the Restoration Survivor has a bona fide
contract that spells out how much the customer will need to pay
and when (plus a bunch of other bad stuff that will happen if he
or she doesn’t pay—see below).
An assignment of insurance benefits is not a commitment
to pay money.What’s worse, work authorizations create
evidence to support the age-old claim, “I thought you were
working for the insurance company.”
Work with a qualified attorney to develop a contract with a
straightforward title such as “Restoration Service Agreement,”
“Remediation Contract,” “Service Contract,” or something
else that sounds binding. Use “authorizations” as separate
forms for things like the disposal of contents, access to
property occupied by third parties, and the use of chemicals.