Choosing an elevator maintenance contractor: what to ask and put in the contract
A practical guide for property managers and owners: license checks, contract types, response times, scope, term and termination, and records to keep.
An elevator maintenance contract is one of the larger recurring costs of a building with a lift, and a poorly written one can leave you paying for service you do not get. This guide is written for property managers, boards and owners. It is general information, not legal advice, and the contract terms below are things to ask about rather than requirements of any code.
Start with licenses
Elevator work is licensed. In New York State, the Department of Labor licenses elevator contractors, inspection contractors and mechanics (see our state licensing guide). In Texas, TDLR registers Elevator Contractors and requires responsible parties and insurance (see the Texas guide). Ask for the license number, confirm it in the official record, and check that the company is the one that will sign the contract. Then ask who the technicians are and whether they are licensed.
Understand the types of contract
Elevator maintenance contracts are commonly described in three ways, though names vary by company. Ask each bidder to explain in writing what its wording covers.
- Examination or inspection only. Routine visits to check and lubricate, with repairs and parts charged separately.
- Maintenance with limited coverage. Routine service plus some listed parts.
- Comprehensive (full-service) coverage. Routine service plus repairs and replacement of most parts and callouts, usually at a higher monthly fee, with exclusions.
The price difference depends on the equipment’s age and condition, so compare scope line by line, not just the monthly figure. Read the exclusions carefully: cab interiors, door operators, controllers and ropes are common areas for disagreement.
Questions for bidders
- What exactly is covered, and what is excluded? Which repairs would be billed separately, and at what hourly rate?
- How many visits per month or year, and how long is each visit? Are visit reports provided?
- What is the response time for an entrapment call, and for a non-emergency shutdown? Is there 24-hour coverage, and does it include holidays? Get times in writing.
- Where is the nearest service office and parts stock, and who covers when the regular technician is away?
- Does the price include the annual and five-year tests, or do you hire another firm for those? In New York City, the CAT1 and CAT5 tests are done and filed by an approved agency (see the NYC guide).
- Can they support the modernisation or code work your equipment may need in future, and how do they price it?
- Can they provide references from buildings with similar equipment?
Insurance
Ask for a certificate of insurance naming the building owner and managing agent as additional insureds, and check that the coverage limits meet your building’s or lender’s requirements. Workers’ compensation should also be in place, since technicians work in shafts and machine rooms. Texas requires contractors to carry general liability insurance of at least $1 million per occurrence for bodily injury and $500,000 for property damage, according to TDLR.
Term, renewal and termination
- Look for automatic renewals. Diary the notice period so you can rebid on time.
- Look at price escalators: fixed annual increases, or tied to an index.
- Check the termination clause. Can you end the contract for repeated failures, and how much notice is required?
- Ask whether there is a fee for handing over service records and equipment information if you change contractors.
Keep an independent record
Owners are responsible for compliance, and in Texas TDLR says an owner cannot delegate that duty. Keep your own file of inspection reports, certificates, defect lists, correction quotes and service reports for each elevator, plus a log of every entrapment or shutdown. It helps you check that repairs are completed, and it gives you evidence if there is a dispute.
Using this directory
Our listings show businesses with an active license or registration in the state files we use: the New York State Department of Labor and the Texas Department of Licensing and Regulation. They do not rate service quality, show violations or publish prices. Use the list to build a shortlist of licensed businesses in your area, and then interview at least three and compare written proposals.