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What is one reason a contractor should have a written contract?
To ensure understanding of the project scope
To avoid paying taxes
To impress the clients
To make things easier for subcontractors
The correct answer is: To ensure understanding of the project scope
Having a written contract is essential for several reasons, and ensuring a mutual understanding of the project scope is one of the most important. A written contract clearly outlines the details of the work to be performed, including the specific tasks, timelines, materials, and payment terms. This clarity helps prevent misunderstandings and disputes that can arise from vague agreements or verbal discussions. When both the contractor and client have a shared understanding of the project's scope, it leads to smoother project execution and helps ensure that all parties are aligned on expectations, responsibilities, and deliverables. This is particularly crucial in construction, where the complexity and scale of projects can easily lead to confusion without formal documentation.