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CALIFORNIA CONTRACTORS LICENSE LAW
Questions and Answers (100% Correct
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The address of the contractors State license Board is required to appear
on all contracts. Ans: TRUE
Business licenses are required by state and they can be acquired at any
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state office. Ans: FALSE
Rights of lien can be waived in certain cases if supplier or sub signs such
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a waiver. Ans: FALSE
The purpose of a surety bond is to protect the contractors should
anything go wrong Ans: FALSE
Customers may appeal the results of arbitration if the decision was
unfavorable Ans: FALSE
A suspended license may not be reinstated unless the contractor waits
one year. Ans: FALSE
Any substitution of a sub on the Public Works job must be approved by
the boarding authority. Ans: TRUE
The prime contractor awarded the Public Works job by an awarding
authority would lose his bond should he decide not to begin the job.
Ans: TRUE
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Customers must use the cancellation form furnished by the contractor if
they wish to cancel the contract. Ans: FALSE
The language of the contract must reflect the language by which the
contract was sold to the customer. Ans: TRUE
On a contract that has been canceled by customer, the contractor is
entitled to compensation for any work done up to the date of
cancellation. Ans: FALSE
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A contractor may ask customers to waive their right to cancel in
emergency cases only. Ans: TRUE
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As a general rule, owner/builders do not need a contractors license. Ans:
TRUE
A general contractor may contract to do any work in the construction
industry. Ans: FALSE
The license of a sole ownership may be transferred to any family
member. Ans: FALSE
An individual license can be transferred to a partnership or corporation if
individual is the part of the new company. Ans: FALSE
A qualifier may only qualify for one license at a time. Ans: FALSE
A RME may qualify for a corporation and also maintain his own license
active. Ans: FALSE