An HVAC contract gives clients a peaceful mind that their HVAC system can be repaired and preventive care made when they have emergencies. The scope of HVAC service contracts includes the cleaning of furnace burners and heat exchanges to ensure the system is running smoothly. Some HVAC service contracts may involve replacing an existing HVAC system with a new one if the need arises.

To the HVAC service provider, signing an HVAC service agreement ensures there is a reliable and steady stream of income. The contract provides the client with the satisfaction that their HVAC system will always function as efficiently as possible. An HVAC contract template allows a client to create an agreement with an HVAC service provider and set the scope and terms of work.

HVAC Contracts

What is the HVAC contracts?

An HVAC maintenance contract sets the terms for maintaining and repairing HVAC systems. The document is signed between an HVAC service provider and a client. Once signed, the HVAC service agreement can be used in a court of law. The HVAC service provider and the property owner may use an HVAC contract template to set the expectations and obligations for each party. 

Once signed, the provider begins routine schedules for servicing and maintaining the client’s air conditioning system. The client who signs an HVAC contract agrees to pay the HVAC service provider an agreed fee per month. On the other hand, the HVAC service provider agrees to make routine tests of the HVAC system to ensure it is running smoothly all the time.

HVAC Service Agreements

What details are in HVAC service contracts?

HVAC service contracts must offer a guarantee that the client’s HVAC system will run without problems all the time. The details included in the HVAC maintenance contract must protect both parties. Both parties should agree on the maintenance specifications.

The details may include specifications for cleaning, improving the system, or altering its infrastructure to ensure maximized performance. HVAC service contracts may include the following details.

  • Names and contacts of the parties signing the HVAC service contract
    It is important to include the names and contact information of the parties. The HVAC contract template the parties choose should offer space for details such as:
    The name of the HVAC service provider
    The name of the client
    Telephone numbers of both parties
    Email addresses of both parties
  • Address of the targeted property
    For both commercial and residential properties, the address. That is:
    State where it is located
    Property number
    For commercial properties, include the name of the property and contact person.
  • Expected services
    The HVAC service agreement must provide a detailed description of the expected services. Have a detailed list of the service types the HVAC service provider will offer.
  • HVAC service contract cost
    The HVAC service provider should include information defining the cost of the services. The cost includes the regular monthly fee and other related costs.
    For instance, the HVAC service provider may replace faulty parts with new parts. The HVAC service agreement should define how the provider will recover costs for buying the parts.
  • Payment agreement
    A payment agreement in an HVAC service contract defines how payments will be made. The parties may agree to make payments on specified calendar days.
  • Solving disputes
    Challenges may arise but how disputes are solved matters. An HVAC maintenance contract should explain in detail how disputes will be resolved.
  • Contract duration
    HVAC service contracts must provide details about the start and end date of the contract. In the HVAC service agreement, explain how contract renewals shall be made.
  • Terms of termination
    If the need to terminate the HVAC service contract comes, explain how it shall be done. Termination could be made before the contract period lapses or after.
  • Amendments of the agreement
    An HVAC maintenance contract should offer the approach for making amendments to the agreement.
  • Signatures
    Both parties must sign the HVAC contract to make it legally binding. It should indicate the date when the HVAC service agreement was signed. Some parties may involve an attorney when selecting an HVAC contract template, filling it and signing it.

What scope of services does an HVAC service provider offer?

HVAC contractors offer a wide range of services to clients. These are necessary services that guarantee the durability and effectiveness of HVAC systems. HVAC service contracts are signed by experienced professionals who understand how HVAC systems work. The services they offer include routine maintenance and repairs.

They routinely carry out in-depth inspections of the system to diagnose challenges that might impact its performance. Repair services may involve the replacement of faulty components such as thermostats and electrical systems. Maintenance may include cleaning and duct inspections to extend the lifespan and efficiency of the system. 

An HVAC service provider may also carry out installation services of new HVAC systems. Property owners may call them from time to time to offer emergency repair services. The service of the professionals ensures the internal conditions of properties remain comfortable to users.

HVAC Contract Templates

What is the maintenance contract for HVAC?

An HVAC service contract makes sure that clients get the necessary HVAC system services. The purpose of signing HVAC service contracts is to ensure the system works well as expected.

Both parties agree on the information to include in an HVAC contract template ensuring every detail is clear. The contract may be signed before a client installs a new HVAC system or after.

HVAC service contracts offer a great option for property owners to safeguard their HVAC systems. Installation of the systems costs a lot of money and frequent maintenance may help extend their lifespan. Consistent maintenance lowers future repair costs and saves money. An HVAC service agreement contains all the details needed to establish a legal contract between a service provider and a client.

An HVAC contract is similar to most other maintenance agreements. It details the types of services an HVAC provider will offer within the agreement timeframe. Usually, HVAC contractors enter into agreements with companies and homeowners. Both parties may use an HVAC contract template to write the terms of the agreement.

As stated in the HVAC maintenance contract, a provider offers the agreed services. On the other hand, the client meets the payment obligations as stated.

Signing the HVAC maintenance contract makes the agreement legally binding. If one party breaches the terms, the offended party may sue the other party and get compensation.

Is an HVAC service contract worth the money?

The goal of installing a HVAC system in a building is to maintain internal air quality. The systems ensure there is adequate air filtration and ventilation to offer comfort to the people who live on the property. When an HVAC system gets faulty, a property owner may experience any of the following.

  • The quick rise in electricity bills since the system may begin to consume more energy.
  • During cold seasons, the property’s internal environment may become extremely cold.
  • The air circulating within the property could be dirty and cause health risks.
  • The internal environment of the building might have bad odors.
  • The system could become noisy and may cause electrical circuit disruptions. This could cause fire and other dangers.

Every cent spent on an HVAC service agreement is worth it. Data shows regular maintenance of HVAC systems minimizes the chances of breakdown by 85%. An HVAC service contract covers maintenance costs, spare parts, and supplies. The maintenance cost incurred could be lower than the cost incurred due to faulty and poorly performing systems.

Most HVAC service contracts attract a maintenance fee of $100 or less per visit. For most properties, HVAC maintenance is done once or twice a year. The maintenance cost incurred cannot be compared to the cost incurred due to using a faulty system. The system requires replacement after about 15 years. During that period, only a few repairs might be required if maintenance is done well.

What are the benefits of an HVAC maintenance agreement?

If an HVAC system is not keeping a property as comfortable as it should, it might be the right time to sign an HVAC service agreement. Furthermore, signing an HVAC maintenance contract can help keep the property warm when needed most. An HVAC service contract offers property owners a wide range of advantages.

  • Extending the lifespan of the system
    An HVAC system that is well maintained can serve the owner for more years. The expected lifespan of the systems is usually pegged at about 10 years to 15 years.
    This can only be possible when the owner keeps routine maintenance. If they don’t, the system might not serve them to the maximum lifespan. It might run for five to seven years and then break down completely.
  • Minimizes the lifetime maintenance costs of the system
    The Department of Energy estimates that an HVAC system attracts an annual maintenance cost of up to 10% of its purchase and installation cost. Some systems require about 6% – 10% yearly maintenance cost based on their initial cost.
    Routine maintenance can help lower this cost. The lack of an HVAC maintenance contract could exaggerate these costs significantly.
  • Optimized HVAC system performance
    HVAC systems ought to work at the top peak to offer the best user experiences. When the system is running, it sucks and filters dust to ensure only clean air reaches the inside of the building.
    Signing an HVAC contract ensures the system offers optimized performance. The maintenance team keeps the system clean. They inspect the entire system ensuring every detailed part performs at its best.
  • Provides peace of mind
    Property owners get peace of mind that there is someone taking care of their system. It ensures there is an expert they can rely on to keep the system clean and running. One of the stressful situations property owners may experience is when the system breaks down.
    When that happens, they need support for emergency repairs. Signing an HVAC contract ensures there is a professional who can rush in and help when unexpected breakdowns happen.

HVAC Service Contracts

How do you write an HVAC service agreement?

A property owner or an HVAC service provider may design an HVAC service contract template. No matter the person who designs it, both parties must agree on its content. The parties must remember that they are signing a legally binding document.

Leaving gaps in the document means it might lack strong evidence in a court. There are several specific steps that the parties must consider when creating an HVAC installation contract template.

  • Identify the people involved
    An HVAC maintenance contract is always signed between a property owner and a HVAC services provider. The property owner could be a homeowner or a commercial building owner. They could be a government agency, an NGO, a rental apartment owner, or any other person. The first section of the contract should indicate the names and contact details of the parties.
  • The services offered
    The next section of the HVAC service agreement should be to state the types of services the contractor will offer. The services may include cleaning, repairing, and routine inspections.
  • Cost of services and payments
    Another section of the HVAC service contract should state the payments the contractor should expect. This must include any standing monthly fees and repair costs.
    The document should guide the parties about how often invoicing will be made for the HVAC services. It must indicate the payment method/s agreed upon by both parties.
  • Dispute resolutions and contract termination
    The HVAC service agreement template must explain how disputes will be resolved. It should offer conditions for contract termination. In this clause, the agreement should identify the starting date of the contract and the end date.

Who should sign an HVAC contract?

Any person who owns a property needs the benefit of HVAC maintenance contracts. However, some property owners might need the contract more than others. People living in places that experience extreme weather might find HVAC service contracts useful. 

Any system breakdown might put the lives of people living in such areas in danger. People who have installed complicated HVAC systems might need an HVAC service agreement. 

They might own a complex building that needs an expert to routinely check the performance of the HVAC system in the building. Property developers who own several real estate projects might need the services of HVAC professionals. This may include people who have installed HVAC systems but have no professional experience on how to maintain them.