CSLB Law and Business
2026 Questions and
Answers
WhatBisBtheBminimumBbondBamountBrequiredBforBaBcontractorBlicenseBinBCalifornia?
B-BAnswerB$25.000
WhatBisBtheBpenaltyBforBactingBasBaBcontractorBwithoutBaBlicenseBinBCalifornia?B-
BAnswerBitBisBaBMISDEMEANOR
WhatBdoesBtheBCSLBBissueBtoBaBcontractorBforBaBminorBviolationBasBaBwarning?B-
BAnswerBAdvisoryBNotice
HowBlongBareBcitationsBagainstBlicensedBcontractorsBdisclosedBtoBtheBpublic?B-
BAnswerB5Byears
WhatBisBtheBmaximumBallowableBdownBpaymentBforBaBhomeBimprovementBcontractBi
nBCalifornia?B-BAnswerB$1,000BorB10%BofBtheBcontractBprice,BWhicheverBisBless
HomeBimprovementsBcontractsBmustBincludeBwhichBofBtheBfollowing?B-
BAnswerB•descriptionBofBmaterialsB
•startBandBcompletionBdates
•permissibleBdelays
WhichBbusinessBstructuresBprovidesBliabilityBprotectionBsimilarBtoBaBcorporationBbutBh
asBdifferentBtaxBtreatment?B-BAnswerBLimitedBLiabilityBCompanyB(LLC)
WhatBtypeBofBbondBguaranteesBbothBjobBcompletionBandBpaymentBofBallBlaborBandB
materials?B-BAnswerBContractBBond
, WhatBisBtheBminimumBliabilityBinsuranceBrequiredBforBaBlimitedBliabilityBcompanyB(LL
C)BwithB5BorBfewerBpersonnel?B-BAnswerB$1Bmillion
WhatBisBtheBpurposeBofBaBdisciplinaryBbondBforBaBcontractor?B-
BAnswerBToBensureBcomplianceBwithBlicensingBrulesBfollowingBdisciplinaryBaction
WhatBagencyBisBresponsibleBforBlicensingBandBregulatingBcontractorsBinBCalifornia?B-
BAnswerBContractorsBStateBLicensingBBoardB(CSLB)
WhatBisBtheBmainBpurposeBofBtheBcontractorsBstateBlicenseBboard?B(CSLB)B-
BAnswerBToBprotectBconsumersBbyBregulatingBtheBconstructionBindustry
WhichBofBtheBfollowingBviolationsBcouldBbeBleadBtoBaBcontractorsBlicenseBsuspension?
B-BAnswerB•advertisingBwithoutBaBlicenseBnumberB
•failingBtoBpayBsubcontractorB
•poorBworkmanship
WhichBlicenseBclassificationBrequiresBworkers'BcompensationBinsurance,BevenBifBtheBco
ntractorBhasBnoBemployees?B-BAnswerBC-39BRoofing
WhatsBisBtheBroleBofBtheBStatewideBInvestigativeBFraudBTeam?B(SWIFT)B-
BAnswerBToBinvestigateBunlicensedBcontractorsBactivity
WhatBisBtheBmaximumBcivilBpenaltyBCSLBBcanBimposeBforBseriousBviolations?B-
BAnswerB$30,000
WhatBisBtheBfirstBstepBCSLBBtakesBwhenBaBcomplaintBisBfiledBagainstBaBlicenseBcontr
actor?B-
BAnswerBReviewBtheBcomplaintBtoBdetermineBifBitBfallsBunderBCSLBBjurisdiction
2026 Questions and
Answers
WhatBisBtheBminimumBbondBamountBrequiredBforBaBcontractorBlicenseBinBCalifornia?
B-BAnswerB$25.000
WhatBisBtheBpenaltyBforBactingBasBaBcontractorBwithoutBaBlicenseBinBCalifornia?B-
BAnswerBitBisBaBMISDEMEANOR
WhatBdoesBtheBCSLBBissueBtoBaBcontractorBforBaBminorBviolationBasBaBwarning?B-
BAnswerBAdvisoryBNotice
HowBlongBareBcitationsBagainstBlicensedBcontractorsBdisclosedBtoBtheBpublic?B-
BAnswerB5Byears
WhatBisBtheBmaximumBallowableBdownBpaymentBforBaBhomeBimprovementBcontractBi
nBCalifornia?B-BAnswerB$1,000BorB10%BofBtheBcontractBprice,BWhicheverBisBless
HomeBimprovementsBcontractsBmustBincludeBwhichBofBtheBfollowing?B-
BAnswerB•descriptionBofBmaterialsB
•startBandBcompletionBdates
•permissibleBdelays
WhichBbusinessBstructuresBprovidesBliabilityBprotectionBsimilarBtoBaBcorporationBbutBh
asBdifferentBtaxBtreatment?B-BAnswerBLimitedBLiabilityBCompanyB(LLC)
WhatBtypeBofBbondBguaranteesBbothBjobBcompletionBandBpaymentBofBallBlaborBandB
materials?B-BAnswerBContractBBond
, WhatBisBtheBminimumBliabilityBinsuranceBrequiredBforBaBlimitedBliabilityBcompanyB(LL
C)BwithB5BorBfewerBpersonnel?B-BAnswerB$1Bmillion
WhatBisBtheBpurposeBofBaBdisciplinaryBbondBforBaBcontractor?B-
BAnswerBToBensureBcomplianceBwithBlicensingBrulesBfollowingBdisciplinaryBaction
WhatBagencyBisBresponsibleBforBlicensingBandBregulatingBcontractorsBinBCalifornia?B-
BAnswerBContractorsBStateBLicensingBBoardB(CSLB)
WhatBisBtheBmainBpurposeBofBtheBcontractorsBstateBlicenseBboard?B(CSLB)B-
BAnswerBToBprotectBconsumersBbyBregulatingBtheBconstructionBindustry
WhichBofBtheBfollowingBviolationsBcouldBbeBleadBtoBaBcontractorsBlicenseBsuspension?
B-BAnswerB•advertisingBwithoutBaBlicenseBnumberB
•failingBtoBpayBsubcontractorB
•poorBworkmanship
WhichBlicenseBclassificationBrequiresBworkers'BcompensationBinsurance,BevenBifBtheBco
ntractorBhasBnoBemployees?B-BAnswerBC-39BRoofing
WhatsBisBtheBroleBofBtheBStatewideBInvestigativeBFraudBTeam?B(SWIFT)B-
BAnswerBToBinvestigateBunlicensedBcontractorsBactivity
WhatBisBtheBmaximumBcivilBpenaltyBCSLBBcanBimposeBforBseriousBviolations?B-
BAnswerB$30,000
WhatBisBtheBfirstBstepBCSLBBtakesBwhenBaBcomplaintBisBfiledBagainstBaBlicenseBcontr
actor?B-
BAnswerBReviewBtheBcomplaintBtoBdetermineBifBitBfallsBunderBCSLBBjurisdiction