NY Gen Bus L § 771-B (2021)
2021 New York Laws GBS - General Business Article 36-A - Home Improvement Contracts 771-B - Responsibilities of Roofing Contractors.

§  771-b.  Responsibilities  of  roofing contractors. 1. Every roofing contractor shall enter into a written contract with an owner pursuant to all of the provisions of  section  seven  hundred  seventy-one  of  this article before engaging in the business of roofing, gutter, downspout or siding  services  for such owner. In addition, the contract entered into under this section shall contain  the  name  of  the  insurer,  type  of insurance  coverage as required by subdivision nine of this section, and the insurance policy limits obtained by the roofing contractor.   2. A roofing contractor shall not  advertise  or  promise  to  pay  or rebate  all  or any portion of any insurance deductible as an inducement to the sale of goods or services. As used in this section, a promise  to pay  or  rebate includes granting any allowance or offering any discount against the fees to be charged or  paying  the  insured  or  any  person directly  or  indirectly  associated  with  the  property  any  form  of compensation, gift, prize, bonus, coupon, credit, referral fee, or other item of monetary value for any reason.   3. An owner who has entered into a written  contract  with  a  roofing contractor  to provide goods or services to be paid under a property and casualty insurance policy may cancel the contract prior to  midnight  on the  third  business  day  after  the insured party has received written notice from the insurer that all or any part of the claim or contract is not a covered loss under the insurance policy. Cancellation occurs  when written  notice  of  cancellation  is  given  to the roofing contractor. Notice of cancellation, if given by registered or certified mail,  shall be  deemed  given  when  deposited  in  a mailbox properly addressed and postage prepaid. Notice  of  cancellation  shall  be  sufficient  if  it indicates  the  intention  of the owner not to be bound. Notwithstanding the foregoing, this subdivision shall not  apply  to  a  transaction  in which  the  owner  has initiated the contact and the roofing contract is needed to meet a bona  fide  emergency  of  the  owner,  and  the  owner furnishes  the  roofing  contractor  with  a  separate  dated and signed personal statement in the owner's handwriting describing  the  situation requiring  immediate  remedy and expressly acknowledging and waiving the right to cancel the roofing contract within three business days. For the purposes of this subdivision the term "owner" shall mean an owner or any representative of an owner.   4. Within ten days after a contract referred to in  subdivision  three of  this section has been cancelled, the roofing contractor shall tender to the owner any payments, partial payments, or deposits  made  and  any note  or  other  evidence  of  indebtedness.  If,  however,  the roofing contractor has performed any emergency  services,  acknowledged  by  the owner  in writing to be necessary to prevent damage to the premises, the roofing contractor shall be entitled to the  reasonable  value  of  such services.    Any provision in a contract referred to in this subdivision that requires the payment of  any  fee  for  anything  except  emergency services  shall not be enforceable against the owner who has cancelled a contract pursuant to this section.   5. A roofing contractor shall  not  require  an  owner  to  provide  a deposit  for  the  work  and  materials.  A roofing contractor shall not mandate that a particular form of payment be made in order  to  commence performance  of  the  home improvement. A roofing contractor may invoice for payment of the materials portion of the project upon delivery of the materials to the owner of  the  property.  The  material  cost  must  be disclosed  to  the  property  owner  in writing in advance of payment. A roofing contractor  may  invoice  the  remainder  of  the  project  upon successful completion of all contracted work.   6. A roofing contractor shall not abandon, or fail to perform, without justification,  any  roofing  contract, nor shall the roofing contractor  deviate from or  disregard  plans  or  specifications  in  any  material respect  without  the  consent  of the owner. A roofing contractor shall abide by the applicable building code for  the  jurisdiction  where  the residential property is located.   7.  A  roofing  contractor  shall  not  fail  to  pay for materials or services rendered in  connection  with  a  roofing  contract  where  the contractor  has  received sufficient funds as payment for the particular contract for which the services or material were rendered or purchased.   8. A roofing contractor shall not perform the reporting, adjusting, or negotiating a claim on  behalf  of  the  owner  and  shall  not  receive compensation  for  the  referral  to any entity that reports, adjusts or negotiates a claim on behalf of an  owner.  Nothing  herein  prevents  a roofing   contractor   from  communicating  with  an  insurance  company representative and sharing his  or  her  technical  knowledge  when  the insurer initiates the communication.   9.  (a) A roofing contractor shall provide to the owner adequate proof of insurance of the types and amounts set forth in this subdivision:  (1) A certificate of workers' compensation covering all  employees  of the  roofing  contractor.  If  the  roofing contractor does not have any employees, then the contractor must provide a certificate of attestation exemption (CE-200) form from the workers' compensation board; and  (2) Certificates of general liability and property damage insurance in the amount of one hundred thousand dollars  per  person,  three  hundred thousand  dollars  per  occurrence,  bodily  injury;  and fifty thousand dollars for each occurrence and aggregate, property damage.  (b) The insurance requirements set forth  in  this  subdivision  shall apply  to roofing contracts performed in all political subdivisions that do not contain any insurance requirements for such contracts.