MARYLAND HOME IMPROVEMENT - PRACTICE TEST
(PSI)WITH COMPLETE SOLUTIONS.
SECTION 1: DEFINITIONS & SCOPE OF HOME IMPROVEMENT
1. Define "home improvement" under Maryland law.
Answer: The addition, alteration, conversion, improvement, modernization,
remodeling, repair, or replacement of a building or part of a building that is used
or was designed to be used as a residence or dwelling place, or a structure
adjacent to that building, or an improvement to land adjacent to that building .
Rationale: The legal definition is broad and covers most residential construction
work. It specifically includes the property and adjacent structures, not just the
main dwelling.
2. Is the building of a swimming pool, deck, pier, or porch included in home
improvement?
Answer: Yes .
Rationale: These are specifically enumerated as home improvements because they
are attached to or adjacent to the residence.
3. Is work done on apartment complexes of more than 4 units considered home
improvement?
Answer: No .
Rationale: Home improvement law applies to residential dwellings with up to 4
units. Apartment buildings with 5+ units are considered commercial property.
,4. Is work done on individual condominium units considered home
improvement?
Answer: Yes .
Rationale: Individual condominium units are considered dwellings, so work on
them falls under home improvement law.
5. Is installation in a residence of an alarm, awning, or fire alarm considered
home improvement?
Answer: Yes .
Rationale: These are considered home improvements because they are
installations within or attached to a residence.
6. Is now removal or grass cutting considered home improvement?
Answer: No .
Rationale: Basic landscaping maintenance like lawn mowing is not considered a
home improvement. It is excluded from the definition.
7. Does a handyman need a license under Maryland law?
Answer: Yes .
Rationale: Any person performing home improvement work for compensation
must hold a valid MHIC license. There is no "handyman" exemption.
8. Define a "Contractor" under the Home Improvement Law.
Answer: A person who performs or offers or agrees to perform a home
improvement for an owner .
, Rationale: The definition is intentionally broad to cover anyone who contracts to
do home improvement work for compensation.
9. Define a "Subcontractor."
Answer: A subcontractor enters into contracts with contractors or other
subcontractors to perform home improvement. A subcontractor is NOT authorized
to enter into an agreement directly with the owner .
Rationale: Subcontractors work for the contractor, not directly for the homeowner.
This distinction is important for liability and contract law.
10. Define a "Salesperson."
Answer: A person who sells a home improvement .
Rationale: Salespeople must also be licensed to legally sell home improvement
contracts in Maryland.
11. Define a "Home Improvement Contract."
Answer: An agreement between a homeowner and a contractor to perform a
home improvement. The law requires contracts to be in writing and signed by the
parties to the agreement .
Rationale: All home improvement contracts must be in writing, not verbal, to be
enforceable and comply with Maryland law.
12. Define "Owner."
Answer: Owner, owner's agent, tenant, or other person authorized to enter into a
home improvement contract .
(PSI)WITH COMPLETE SOLUTIONS.
SECTION 1: DEFINITIONS & SCOPE OF HOME IMPROVEMENT
1. Define "home improvement" under Maryland law.
Answer: The addition, alteration, conversion, improvement, modernization,
remodeling, repair, or replacement of a building or part of a building that is used
or was designed to be used as a residence or dwelling place, or a structure
adjacent to that building, or an improvement to land adjacent to that building .
Rationale: The legal definition is broad and covers most residential construction
work. It specifically includes the property and adjacent structures, not just the
main dwelling.
2. Is the building of a swimming pool, deck, pier, or porch included in home
improvement?
Answer: Yes .
Rationale: These are specifically enumerated as home improvements because they
are attached to or adjacent to the residence.
3. Is work done on apartment complexes of more than 4 units considered home
improvement?
Answer: No .
Rationale: Home improvement law applies to residential dwellings with up to 4
units. Apartment buildings with 5+ units are considered commercial property.
,4. Is work done on individual condominium units considered home
improvement?
Answer: Yes .
Rationale: Individual condominium units are considered dwellings, so work on
them falls under home improvement law.
5. Is installation in a residence of an alarm, awning, or fire alarm considered
home improvement?
Answer: Yes .
Rationale: These are considered home improvements because they are
installations within or attached to a residence.
6. Is now removal or grass cutting considered home improvement?
Answer: No .
Rationale: Basic landscaping maintenance like lawn mowing is not considered a
home improvement. It is excluded from the definition.
7. Does a handyman need a license under Maryland law?
Answer: Yes .
Rationale: Any person performing home improvement work for compensation
must hold a valid MHIC license. There is no "handyman" exemption.
8. Define a "Contractor" under the Home Improvement Law.
Answer: A person who performs or offers or agrees to perform a home
improvement for an owner .
, Rationale: The definition is intentionally broad to cover anyone who contracts to
do home improvement work for compensation.
9. Define a "Subcontractor."
Answer: A subcontractor enters into contracts with contractors or other
subcontractors to perform home improvement. A subcontractor is NOT authorized
to enter into an agreement directly with the owner .
Rationale: Subcontractors work for the contractor, not directly for the homeowner.
This distinction is important for liability and contract law.
10. Define a "Salesperson."
Answer: A person who sells a home improvement .
Rationale: Salespeople must also be licensed to legally sell home improvement
contracts in Maryland.
11. Define a "Home Improvement Contract."
Answer: An agreement between a homeowner and a contractor to perform a
home improvement. The law requires contracts to be in writing and signed by the
parties to the agreement .
Rationale: All home improvement contracts must be in writing, not verbal, to be
enforceable and comply with Maryland law.
12. Define "Owner."
Answer: Owner, owner's agent, tenant, or other person authorized to enter into a
home improvement contract .