Terms and Conditions
Effective Date: May 7th, 2025
These Terms and Conditions (“Terms”) govern your use of Freedom AC and Heating’s services and website (www.freedomefficiency.com). By accessing our services or website, you agree to comply with these Terms.
GENERAL TERMS AND AGREEMENT
1. SCOPE OF SERVICES
1.2 Unless specifically detailed in writing and approved as part of the agreed scope of work, the following services are expressly excluded from this Agreement:
Electrical or plumbing work beyond HVAC-related connections and code-required disconnection/reconnection;
Correction of non-HVAC related code violations;
1.3 If any of the above exclusions or additional hazardous or concealed site conditions are discovered during the performance of work, Contractor shall immediately notify Client in writing. Any required remediation or repair work shall be the sole financial and legal responsibility of the Client and shall be performed either by a licensed specialist retained by Client or, if available, by Contractor under a separate written agreement.
2. PERMITS AND CODE COMPLIANCE
2.2 Contractor shall perform work in accordance with the applicable federal, state, and local building codes, including but not limited to California Title 24 energy efficiency standards, applicable CSLB rules, and manufacturer installation guidelines. Client understands and agrees that existing site conditions (including but not limited to aged ductwork, non-compliant wiring, insufficient insulation, or substandard construction) may prevent code compliance unless remedied at Client’s expense.
2.4 Contractor shall not be liable for any fines, penalties, delays, remediation costs, inspection failures, or damages arising from the Client’s failure to obtain necessary permits or comply with applicable codes. If Client requests Contractor to proceed with any work that is knowingly non-compliant or unpermitted, such request shall be deemed a material breach of this Agreement, and Client shall indemnify and hold Contractor harmless from any resulting liability.
3. DEPOSIT AND PAYMENT TERMS
3.2 Unless otherwise stated in writing, the standard payment schedule is as follows:
The remaining balance is due no later than three (3) business days following system start-up and confirmation of operational status. Operational status shall not be contingent upon permit inspection scheduling or approval if delays are not caused by Contractor.
Cash, check, or Zelle transfer;
No credit or debit card payment shall be accepted for balances exceeding $1,500.
3.5 Late or missed payments shall be subject to all penalties, interest, and enforcement provisions set forth in Section 4 and Section 10 of this Agreement.
4. LATE PAYMENTS
4.2 Each instance of late payment shall also result in an administrative penalty of two hundred dollars ($200) per missed deadline, payable immediately. This administrative fee is intended to compensate Contractor for the internal costs and disruptions associated with tracking, billing, and collection efforts.
Storage fees for delivered materials;
Delay penalties from suppliers or vendors.
4.5 This Section shall be enforced in accordance with all applicable provisions of the California Business and Professions Code, Civil Code, and the CSLB enforcement standards.
5.1 Client expressly, knowingly, and irrevocably waives the right to initiate, file, or pursue any credit card, debit card, bank, or financing chargeback, reversal, dispute, or unauthorized refund request for any payments made to Contractor without full compliance with the following procedure:
Client must engage in good-faith efforts to resolve the matter directly through phone, written communication, or in-person mediation;
5.2 Any chargeback initiated without adherence to the conditions above shall constitute a material breach of this Agreement. In such event, Client shall be immediately liable to Contractor for:
A five percent (5%) administrative chargeback fee;
5.3 Clients enrolled in Contractor’s Maintenance Agreement program hereby authorize recurring monthly charges to the payment method provided by Client. By signing up for the Maintenance Plan, Client:
Authorizes Freedom AC and Heating LLC to charge the Client’s account on a monthly basis according to the selected plan tier;
Waives the right to claim the charge is fraudulent, unauthorized, or unknown unless Contractor is notified in writing within ten (10) calendar days of the billing date.
6. CHANGE ORDERS
6.2 Verbal instructions, on-site requests, text messages, or informal emails do not constitute valid authorization for a Change Order and shall be deemed unenforceable and non-compensable. Contractor shall not be obligated to perform any additional or revised work absent full execution of a formal Change Order.
Exceed its licensure under the C-20 HVAC classification;
Delay or materially interfere with project completion;
6.4 All Change Orders are subject to payment in full prior to commencement of the modified work unless otherwise agreed in writing. Delay in payment for approved changes shall authorize Contractor to suspend work without penalty until payment is received.
7. CUSTOMER-SUPPLIED EQUIPMENT
7.1 Contractor expressly disclaims all warranties, whether express or implied, associated with any equipment, parts, materials, or components provided, purchased, or specified by the Client, including but not limited to HVAC units, thermostats, filtration devices, or control systems. Contractor shall not be responsible for compatibility, performance, quality, installation challenges, or operational defects of such items.
7.3 Contractor shall have sole discretion to refuse installation or connection of any Client-provided equipment that, in Contractor’s professional judgment:
May result in system inefficiency or equipment damage;
Poses risk of liability or fails to comply with California code or CSLB standards.
7.5 This clause shall survive completion of work and applies to all projects involving any customer-supplied equipment, whether partial or complete, new or used, warranted or not.
8. WARRANTY
8.1 Residential Labor Warranty: Contractor provides a limited ten (10) year labor warranty on residential installations, effective only if Client maintains continuous and uninterrupted enrollment in Contractor’s approved Maintenance Plan for the entire warranty period. Any lapse, cancellation, or non-payment in the Maintenance Plan automatically and irrevocably voids this warranty in its entirety without recourse or refund.
8.3 Mandatory Conditions: All warranties are further subject to the following conditions:
Warranty claims must be submitted in writing and accompanied by documentation proving the defect arises from Contractor’s workmanship and not due to misuse, neglect, third-party interference, pre-existing deficiencies, or acts of nature.
8.4 Exclusions and Limitations: This warranty does not cover:
Normal wear and tear;
Labor or materials not installed by Contractor;
8.5 Legal Limitation: This warranty is non-transferable, applies only to the original purchasing Client, and constitutes the sole and exclusive warranty obligation of Contractor. To the fullest extent permitted under California law, Contractor expressly disclaims all other warranties, express or implied, including warranties of merchantability or fitness for a particular purpose.
8.7 Arbitration Required: Any dispute concerning this warranty shall be subject to the binding arbitration clause set forth in Section 14 of this Agreement.
9. LIMITATION OF LIABILITY
9.2 Contractor shall not be liable to Client or to any third party for any indirect, incidental, consequential, special, punitive, or exemplary damages, including but not limited to loss of use, loss of data, lost profits, business interruption, property damage, emotional distress, or other economic loss, even if Contractor has been advised of the possibility of such damages or such damages were reasonably foreseeable.
Delay in services due to circumstances beyond Contractor’s control;
Acts or omissions of third parties not under the direction or control of Contractor;
Any equipment, components, or materials not supplied by Contractor.
9.5 Client agrees that this limitation of liability clause is a material inducement to Contractor to enter into this Agreement and that, but for this clause, Contractor would not have entered into this Agreement. This clause shall survive termination or expiration of this Agreement and shall apply to all services performed by Contractor.
10. MECHANIC’S LIEN RIGHTS
10.1 Pursuant to California Civil Code Sections 8400 through 8494 and in compliance with the California Contractors State License Law, Contractor retains and fully reserves the legal right to serve a Preliminary Notice to the Client and to any construction lender, property owner, or general contractor, as applicable, to preserve and perfect its mechanic’s lien and stop notice rights on any property where labor, materials, or services are furnished by Contractor.
10.3 Contractor may also pursue all available legal remedies in parallel with or in lieu of recording a lien, including civil litigation, arbitration, and collections.
Contractor is entitled to lien protections under California law;
The lien may result in a foreclosure action unless the debt is promptly resolved.
10.6 This section is intended to place Client on formal legal notice of Contractor’s rights and remedies in accordance with applicable lien laws and shall be strictly enforced to secure full payment for all contracted services.
11. RETURNED PAYMENTS AND NON-SUFFICIENT FUNDS
11.1 In the event that any check, electronic payment, or other form of payment tendered by Client is returned unpaid, dishonored, or reversed for any reason, including but not limited to insufficient funds, stop payment, account closure, or fraudulent activity, Client shall be liable to Contractor for the following:
Any bank-imposed service charges or penalties incurred by Contractor;
11.2 Upon any returned or failed payment, Contractor may, at its sole discretion:
11.3 Client acknowledges and agrees that repeated returned payments or attempts to defraud through payment reversals shall constitute a material breach of this Agreement and may result in lien filing, contract termination, and/or legal proceedings under California Civil and Penal Code provisions.
12. FORCE MAJEURE
Acts of God, natural disasters (e.g., earthquake, flood, wildfire);
Acts of terrorism, war, civil unrest, or sabotage;
Supply chain disruptions or material shortages beyond Contractor’s reasonable control;
12.2 During any Force Majeure Event, Contractor’s obligations under this Agreement shall be suspended for the duration of the event without liability or penalty. Contractor shall notify Client in writing as soon as reasonably practicable following the onset of such event.
Contractor shall not be held liable for any damages, penalties, or delay-related costs;
12.4 Client agrees that Force Majeure Events shall not constitute grounds for withholding, delaying, or disputing payment and that all outstanding balances shall remain due and payable according to the original payment terms of this Agreement.
13. TERMINATION
The full cost of all labor performed to date;
A restocking and administrative fee equal to twenty percent (20%) of the total contract price;
Any additional damages or loss incurred by Contractor due to termination.
13.3 If Client terminates the Agreement after work has commenced, Client shall be liable without limitation for:
A restocking fee of twenty percent (20%) of the total contract amount for materials ordered or committed;
All administrative, permit, engineering, and subcontractor-related costs incurred to date;
13.4 Contractor shall have the right to file a mechanic’s lien for any unpaid balance in accordance with Section 10 and applicable California Civil Code provisions.
14. DISPUTE RESOLUTION
14.2 If the dispute cannot be resolved through informal negotiation within thirty (30) calendar days of notice by either party, the matter shall be submitted to binding arbitration administered under the California Arbitration Act (Code of Civil Procedure § 1280 et seq.). Arbitration shall be conducted in the county where Contractor’s principal office is located unless otherwise agreed in writing. The arbitration shall be heard by a single arbitrator with construction law experience.
14.4 This Dispute Resolution section shall survive the termination, expiration, or completion of this Agreement and shall be binding on the parties and their respective successors and assigns.
15. GOVERNING LAW
15.1 This Agreement, and all matters arising out of or related to it, shall be governed, construed, and enforced in accordance with the laws of the State of California, without regard to any conflict of law principles.
15.3 Any interpretation of this Agreement shall be made consistent with the protections, obligations, and remedies available under California contractor law, including provisions for contractor licensing, lien rights, disclosure obligations, and home improvement contract standards as codified in the California Civil Code, Business and Professions Code, and related statutes.
16. SEVERABILITY
16.1 If any term, clause, condition, or provision of this Agreement is determined by a court or arbitrator of competent jurisdiction to be invalid, illegal, or unenforceable under applicable law, such invalidity shall not affect the enforceability of the remaining provisions.
16.2 The unenforceable provision shall be deemed severed from this Agreement and shall be replaced by a valid and enforceable provision that most closely reflects the original intent and economic effect of the severed clause, to the extent permitted by law.
16.3 This severability clause shall be construed to preserve the validity and enforceability of this Agreement in full compliance with California Civil Code, CSLB enforcement policies, and applicable contractor standards.
17. FINAL ACKNOWLEDGMENT
17.1 By signing below or otherwise accepting services provided under this Agreement, Client expressly acknowledges that they have read, understood, and voluntarily agreed to be bound by all provisions contained herein.
17.2 Client affirms that they have had the opportunity to ask questions, consult independent counsel if desired, and fully comprehend the scope of obligations, including but not limited to:
Payment deadlines, penalties, and lien exposure;
Change order procedures and waiver of verbal modifications;
Termination liabilities and limitations of liability;
Binding arbitration and legal enforcement provisions.
17.3 Client further acknowledges that this Agreement constitutes a binding legal instrument enforceable under California law and that any failure to comply with its terms may result in legal consequences including collection actions, mechanic’s lien filings, arbitration, and financial penalties.
17.4 This acknowledgment shall remain in full force and effect and survive the completion, expiration, or early termination of this Agreement.
17.4 This acknowledgment shall remain in full force and effect and survive the completion, expiration, or early termination of this Agreement.
Termination Clause
1. Termination by Either Party
- Either party may terminate this agreement for any reason by providing written notice to the other party at least three (3) business days prior to the desired cancellation date.
- Notice of termination must be submitted in writing via email, certified mail, or another verifiable method.
2. Termination by the Customer
- Prior to Commencement of Work:
- If the Customer cancels before any work has begun, the deposit is non-refundable and will be retained by Freedom AC and Heating LLC as liquidated damages.
- After Commencement of Work:
- If the Customer cancels after work has begun, the Customer shall be responsible for:✅ Payment for all labor and materials expended up to the date of cancellation.✅ A restocking fee of 20% of the total contract price for materials ordered.✅ Any additional costs incurred due to cancellation, such as permit fees, subcontractor charges, or special-order equipment costs.
3. Termination by Freedom AC and Heating LLC
- If Freedom AC and Heating LLC cancels this agreement for any reason unrelated to a Customer breach, the Customer will receive a full refund of any deposits or payments made, excluding any work already completed and approved by the Customer.
- If termination occurs due to the Customer’s failure to make scheduled payments, refusal to provide reasonable worksite access, or violation of contract terms, the Customer shall remain liable for all costs incurred up to the termination date.
Force Majeure Clause
Definition: Neither party shall be liable for any delay or failure to perform its obligations under this agreement if such delay or failure results from unforeseeable circumstances beyond their reasonable control, including but not limited to:
- ✅ Fire, flood, earthquake, hurricane, or other acts of nature
- ✅ War, terrorism, riots, civil unrest, or insurrections
- ✅ Strikes, lockouts, labor disputes, or material shortages
- ✅ Government orders, pandemic-related shutdowns, or new regulatory restrictions
- ✅ Unavailability of necessary HVAC equipment, materials, or permits due to supply chain disruptions
- Effect of Force Majeure:
- If a force majeure event occurs, the affected party shall notify the other party as soon as reasonably possible, and obligations under this contract shall be suspended for the duration of the force majeure event.
- If the event continues for more than thirty (30) days, either party may terminate the agreement with written notice. In such cases:
- ✅ The Customer will remain responsible for payment of all work completed up to the termination date.
- ✅ Freedom AC and Heating LLC shall refund any unused portion of prepayments, less costs for completed labor and materials.
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