Michigan Residential Builder Licensing Exam 2022
Questions Latest Update, A+ Passed
Save
Terms in this set (150)
A = Carpentry
B = Concrete
D = Excavation
G = Insulation Work
M&A contractors include:
I = Masonry
J = Painting & Decorating
K = Siding
M = Roofing
If more than one office is used for work, Licensed
the branch office must be __________
The one who obtains the residential Qualifying Officer
builder's license is called a _____________
____________
First Offense for practicing without a Misdemeanor fine of $5,000 - $25,000
license or prison for not more than 1 year, or both.
Second offense for practicing without a Misdemeanor fine of $5,000 - $25,000
license or prison for not more than 2 years, or both.
Death or serious injury Felony fine of $5,000 - $25,000 or prison for not more than 4 years, or both.
A person or entity who is involved in the construction of a residential structure or
Define a Residential Builder
a combination residential and commercial structure.
Person who for a fixed sum/price other than wages for personal labor for the
Define M&A contractor repair, alteration, or addition/improvement to residential/commercial or residential
structure.
employee of agent other than a qualifying officer who sells business for the
Salesperson
contractor.
who reissues licenses for salespeople? LARA (The Department)
Which types of trade work require a Plumbing, Electrical, and Mechanical.
different type of license other than the
resi license?
Who issues the license? LARA
How is the director of LARA appointed? by the governor
4 Licensed residential builders
What types of people make up the Board
2 M&A contractors
of Residential Builders?
3 members of the public
1. Interpretation of a license requirement
What are the duties of the board of 2. Aid in investigations
residential builders? (4) 3. Set acceptable practice standards
4. Assess penalties for those who are licensed and are in violation of rules
What happens if the qualifying officer's The entity's license is revoked as well.
license is revoked?
, How can a foreign entity get a license? Only if authorized by the Corporations and Securities Commission.
Non residents must file this to be An Irrevocable consent to service of process
considered for a license.
T or F, Builders must maintain a place of True
business in the state they operate in.
T of F, Contractors must maintain an True
accurate set of books/records open to
inspection by the department (LARA).
If the department inquires, licensees must sworn financial statements
submit ___________ _____________ ___________ showing
licensee's current financial status, and
must do so within 30 days of inquiry.
T or F, Advertising must not misrepresent True
material facts.
Licensee shall include ____________, name, license number, and actual business address
_______________, and ________________ in all
advertising
Is it legal to pay money or give gifts to No.
customers in exchange for the use of their
home as a model for potential clients?
All agreements between builders and True, change orders
customers should be in writing and
signed. (T or F). All changes require
___________ ____________ added to the contract.
Licensee violations include: 1. Abandonment
1. _________________ without legal excuse of 2. Diversion
contract 3. Departure, disregard
2. ______________ of funds/property 4. Violation
3. willful _____________ from or ______________ of 5. Agreement/contract
plans/specs without authorization of 6. salesperson
owner 7. Aiding, abetting
4. Willful ___________ of building laws 8. license
5. Failure to deliver entire _______________. 9. commission, bonus, consideration
6. If a _______________ fails to pay money 10. Insolvent (filing for bankruptcy)
received to the contractor. 11. Workmanship
7. _____________ or _______________ an unlicensed
person
8. Allowing a _____________ to be used by an
unlicensed individual.
9. Accepting a _____________, ______________, or
_______________ by a salesperson
10. becoming _______________
11. poor ____________
Other violations of license 1. Fraud
1 _________ in obtaining license 2. Fraud
2 _____________ in practicing an occupation 3. Violation
3 _______________ of a rule of conduct 4. Lack
4 _______ of good moral character 5. Negligence
5 commit of acts of gross ______________ 6. Advertising
6 Practice in false ______________ 7. Incompetence
7 demonstrate ________________ 8. comply
8 fail to __________ with subpeona 9. citation
9 fail to respond to __________ 10. Order
10 fail to comply with final __________ issued
by the board.
Questions Latest Update, A+ Passed
Save
Terms in this set (150)
A = Carpentry
B = Concrete
D = Excavation
G = Insulation Work
M&A contractors include:
I = Masonry
J = Painting & Decorating
K = Siding
M = Roofing
If more than one office is used for work, Licensed
the branch office must be __________
The one who obtains the residential Qualifying Officer
builder's license is called a _____________
____________
First Offense for practicing without a Misdemeanor fine of $5,000 - $25,000
license or prison for not more than 1 year, or both.
Second offense for practicing without a Misdemeanor fine of $5,000 - $25,000
license or prison for not more than 2 years, or both.
Death or serious injury Felony fine of $5,000 - $25,000 or prison for not more than 4 years, or both.
A person or entity who is involved in the construction of a residential structure or
Define a Residential Builder
a combination residential and commercial structure.
Person who for a fixed sum/price other than wages for personal labor for the
Define M&A contractor repair, alteration, or addition/improvement to residential/commercial or residential
structure.
employee of agent other than a qualifying officer who sells business for the
Salesperson
contractor.
who reissues licenses for salespeople? LARA (The Department)
Which types of trade work require a Plumbing, Electrical, and Mechanical.
different type of license other than the
resi license?
Who issues the license? LARA
How is the director of LARA appointed? by the governor
4 Licensed residential builders
What types of people make up the Board
2 M&A contractors
of Residential Builders?
3 members of the public
1. Interpretation of a license requirement
What are the duties of the board of 2. Aid in investigations
residential builders? (4) 3. Set acceptable practice standards
4. Assess penalties for those who are licensed and are in violation of rules
What happens if the qualifying officer's The entity's license is revoked as well.
license is revoked?
, How can a foreign entity get a license? Only if authorized by the Corporations and Securities Commission.
Non residents must file this to be An Irrevocable consent to service of process
considered for a license.
T or F, Builders must maintain a place of True
business in the state they operate in.
T of F, Contractors must maintain an True
accurate set of books/records open to
inspection by the department (LARA).
If the department inquires, licensees must sworn financial statements
submit ___________ _____________ ___________ showing
licensee's current financial status, and
must do so within 30 days of inquiry.
T or F, Advertising must not misrepresent True
material facts.
Licensee shall include ____________, name, license number, and actual business address
_______________, and ________________ in all
advertising
Is it legal to pay money or give gifts to No.
customers in exchange for the use of their
home as a model for potential clients?
All agreements between builders and True, change orders
customers should be in writing and
signed. (T or F). All changes require
___________ ____________ added to the contract.
Licensee violations include: 1. Abandonment
1. _________________ without legal excuse of 2. Diversion
contract 3. Departure, disregard
2. ______________ of funds/property 4. Violation
3. willful _____________ from or ______________ of 5. Agreement/contract
plans/specs without authorization of 6. salesperson
owner 7. Aiding, abetting
4. Willful ___________ of building laws 8. license
5. Failure to deliver entire _______________. 9. commission, bonus, consideration
6. If a _______________ fails to pay money 10. Insolvent (filing for bankruptcy)
received to the contractor. 11. Workmanship
7. _____________ or _______________ an unlicensed
person
8. Allowing a _____________ to be used by an
unlicensed individual.
9. Accepting a _____________, ______________, or
_______________ by a salesperson
10. becoming _______________
11. poor ____________
Other violations of license 1. Fraud
1 _________ in obtaining license 2. Fraud
2 _____________ in practicing an occupation 3. Violation
3 _______________ of a rule of conduct 4. Lack
4 _______ of good moral character 5. Negligence
5 commit of acts of gross ______________ 6. Advertising
6 Practice in false ______________ 7. Incompetence
7 demonstrate ________________ 8. comply
8 fail to __________ with subpeona 9. citation
9 fail to respond to __________ 10. Order
10 fail to comply with final __________ issued
by the board.
