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Exam (elaborations)

CSLB Law and Business review questions with complete solutions

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CSLB Law and Business review questions with complete solutions

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January 12, 2026
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CSLB Law and Business review
questions with complete solutions15

Which of the following statements about advertising is correct?

A)An unlicensed contractor may advertise for jobs submitting an application for a contractors
license

B) Unlicensed contractors may advertise for jobs under $500 if the ads state they are
unlicensed.

C) A licensed general engineering or building may not advertise as a "general contractor."

D) All of the above - ANSWERS-B) Unlicensed contractors may advertise for jobs under $500 if
the ads state they are unlicensed.



Which of the following requires a contractors license?

A) A person who hires employees to build structures on his or her own property.

B) A person who installs satellite antenna systems on residences.

C) A person who only installs electric fire alarm systems.

D) A person who only installs security alarm systems. - ANSWERS-C) A person who only installs
electric fire alarm systems.



A contractor must notify the Registrar in writing of a change of business address within ____
days.

A)15

B)20

C)60

D)90 - ANSWERS-D)90

, A contractor may renew an expired license up to ___ years from the date it expired.

A) 1

B)2

C)5

D)7 - ANSWERS-C) 5



An active contractor's license must be renewed every ___ years.

A) 2

B) 3

C) 4

D) 10 - ANSWERS-A) 2



Which of the following is NOT true of an inactive license?

A) An inactive license must be renewed every four years.

B) Inactivating a license will not prevent disciplinary action against the contractor.

C) You may not practice as a contractor until the license has been reactivated.

D) An inactive license requires a contractors bond. - ANSWERS-D) An inactive license required a
contractors bond.



Which of the following is NOT a cause for disciplinary action by the Registrar?

A) Abandonment of a job without lawful excuse.

B) Not paying subcontractors immediately upon receipt of a progress payment.

C) Diversion of funds or materials from one job to another.

D) Willful departure from or disregard of approved plans or specifications. - ANSWERS-B) Not
paying subcontractors immediately upon receipt of a progress payment.



How many days does a contractor have to appeal a citation from the Registrar?

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