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Exam (elaborations)

Louisiana Business and Law – study guide / exam preparation material

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The material is designed to support exam preparation by reinforcing foundational business and legal principles used in construction and general business environments within Louisiana. It is useful for candidates preparing for licensing and certification exams.

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Institution
Business Analytics
Course
Business Analytics

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Louisiana Business and
Law
1. The purpose of the contractor licensing laws is to Protect the public
from
fraudulent contractors
Protect against inexperi-
enced contractors
Protect the health,
safety
and general welfare of
the public

2. Any construction project other than Commercial project
residential homes, a single residential
duplex, tri-plex, or four-plex.

3. A contractor is a person that works on a project valued
$50,000 at or more for commercial purposes other
than residential duplexes, tri-plexes or four-plexes.

4. A is the person who contracts directly with General
contractor
the owner.

5. A contractor that works on a preexisting owner Home improvement
occu- pied building is considered a . con- tractor
6. A residential contractor is one who constructs a $75,000
fixed structure when the cost exceeds .

7. The state licensing board is comprised of 15

mem- bers.
Sue unlicensed contrac-
8. The board has the power to do any of the tors
following EXCEPT:
1/
42

, Louisiana Business and
Law
9. Licenses and renewals expire on . The anniversary date
the
license was issued




2/
42

, Louisiana Business and
Law
10. An applicant must furnish the board with $10,000
proof of financial responsibility including
proof of net worth of at least .

11. Is an applicant permitted to furnish a bond yes
in lieu of proof of net worth?

12. When a qualifying party of a construction 30 days
company leaves employment, the company has
how many days to inform the board?

13. A qualifying party can be which of the following: A co-partner
A stockholder
An employee who
has been with the
company at least 120
days
All of the above

14. An owner of a property who is improving True
their home for their own use does not have
to have a license to do construction work.

15. If you fail to comply with the rules of the True
board, you are subject to revocation or
suspension of your li- cense.

16. If you have been found guilty of violating the 3
rules of the board more than twice in one year,
you will not be permitted to bid on a public
project for up to years
6 months
17. If a license has been denied by the board, the
appli- cant has to appeal.
3/
42

, Louisiana Business and
Law
18.




4/
42

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Institution
Business Analytics
Course
Business Analytics

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Uploaded on
May 29, 2026
Number of pages
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Written in
2025/2026
Type
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