Alabama consistently ranks among the worst states in the nation for termite activity. A termite contract, also known as a termite bond, is an agreement with a termite company that outlines how the service provider plans to treat a particular home for termite issues. This differs from a wood infestation report, which is a document detailing whether any termite or insect infestations exist in a particular building.
Per the Alabama Association of Realtors, not all termite contracts are the same. There may be some significant differences that exist from one to the next. It is also important that you read a termite contract thoroughly before agreeing to its terms. When reading through your termite contract, keep the following in mind.
“Re-treatment” and “repair” are not the same
When a homeowner uncovers termites in a property covered by a bond, how the treatment provider responds depends on the exact terms of the contract. Look to see whether a contract stipulates if a provider has to repair damage caused by termites, or if the provider just has to retreat to the affected area.
Repair provisions may differ
If the contract does stipulate that the treatment provider must repair termite damage, be sure to carefully read through the section about what, exactly, it repairs. Some treatment providers may cover structural damage, exclusively, for example, while others might also cover any furniture that suffered damage as a result of the termite activity. Other providers might agree to repair damage only when a home falls under contract, among other examples of possible contract differences.
Understanding the provisions of a termite contract helps you get a better sense of whether your treatment broke the terms of the contract.