CONTRACTOR LICENSE CORRECT QUESTIONS &
ANSWERS!!
Does home improvement include work done on an individual condominium unit? - ANSWER Yes
Does home improvement include work done on a swimming pool? - ANSWER Yes
Does a home improvement contract HAVE to be in writing in order to preserve your lien rights? -
ANSWER Yes
A county or municipality in Maryland _____________ require a contractor to get authorization from an
official in that city to be able to contract in that municipality. - ANSWER Cannot
A county or municipality in Maryland _______________ regulate the character, performance and quality
of home improvement. - ANSWER Can
How many members are there in the Maryland Home Improvement Commission? - ANSWER 9
Of the 9 members on the Commission, how many are experienced in home improvement? - ANSWER 4
What is the term of a member on the Commission? - ANSWER 4 yrs.
How long must a person be a citizen and member of Maryland before they can be appointed to the
Commission? - ANSWER 5 yrs.
It is illegal for a member of the Commission to receive any compensation from a person regulated by the
Commission. - ANSWER True
How often does the Commission hold meetings at a minimum? - ANSWER 6 times a year
, The _______________ is a full time employee of the State. - ANSWER Executive Director
People hired to investigate complaints about home improvement projects work under: - ANSWER the
Director of the Commission
If the Commission decides to sue a contractor because they believe that the contractor has or will cause
harm to another person, they can sue for: - ANSWER -injunctive relief against the conduct,
-an order for satisfactory completion of the project,
-restitution.
Can the Commission request financial records at any time? - ANSWER Yes
The following are exempt from licensure requirements: - ANSWER -employees for labor services
-employees for clerical work
What is the minimum amount of liability insurance needed? - ANSWER $50,000
An applicant for licensure must have 2 years trade experience or comparable educational training. -
ANSWER True
The Commission can ask an applicant for information about the applicant's... - ANSWER -character
-experience
-financial stability
The financial information provided by an applicant is public information. - ANSWER No
If an application for a license is denied, the applicant can request a hearing within ______________ after
the notice of denial is mailed. - ANSWER 10 days
, A salesperson will not be issued a license until the salesperson becomes employed or contractually
involved with a licensed contractor. - ANSWER True
How many contractors may a salesperson represent? - ANSWER 2
If within ____________ after the Commission gives notice, a contractor on whose account a claim was
paid does not reimburse the fund in full, the Commission may sue the contractor for reimbursement. -
ANSWER 60 days
In addition to full reimbursement of the fund, a contractor is responsible to pay at least ___________
interest on the amount to reimburse. - ANSWER 10 percent
The state can record a lien against any real property owned by the contractor for a debt owed to the
fund. - ANSWER True
If the Commission pays a claim from the Fund based on the actions or omissions of a contractor, the
Commission may suspend the contractor's license until full reimbursement of the Fund plus at least 10%
interest. - ANSWER True
A home improvement contract in compliance with the home improvement laws would include all of the
following except: - ANSWER Names and license numbers of subcontractors
A salesperson may not represent 2 contractors at the same time for the same project. - ANSWER True
Can a salesperson legally accept money for themselves from the customer? - ANSWER No
It is against the law for building and permits departments to issue a permit to a contractor without the
contractor's license number. - ANSWER True
If a contractor fails to correct a violation of the building code within a reasonable time period, the county
or municipality inspecting the project shall notify the Commission. - ANSWER True
ANSWERS!!
Does home improvement include work done on an individual condominium unit? - ANSWER Yes
Does home improvement include work done on a swimming pool? - ANSWER Yes
Does a home improvement contract HAVE to be in writing in order to preserve your lien rights? -
ANSWER Yes
A county or municipality in Maryland _____________ require a contractor to get authorization from an
official in that city to be able to contract in that municipality. - ANSWER Cannot
A county or municipality in Maryland _______________ regulate the character, performance and quality
of home improvement. - ANSWER Can
How many members are there in the Maryland Home Improvement Commission? - ANSWER 9
Of the 9 members on the Commission, how many are experienced in home improvement? - ANSWER 4
What is the term of a member on the Commission? - ANSWER 4 yrs.
How long must a person be a citizen and member of Maryland before they can be appointed to the
Commission? - ANSWER 5 yrs.
It is illegal for a member of the Commission to receive any compensation from a person regulated by the
Commission. - ANSWER True
How often does the Commission hold meetings at a minimum? - ANSWER 6 times a year
, The _______________ is a full time employee of the State. - ANSWER Executive Director
People hired to investigate complaints about home improvement projects work under: - ANSWER the
Director of the Commission
If the Commission decides to sue a contractor because they believe that the contractor has or will cause
harm to another person, they can sue for: - ANSWER -injunctive relief against the conduct,
-an order for satisfactory completion of the project,
-restitution.
Can the Commission request financial records at any time? - ANSWER Yes
The following are exempt from licensure requirements: - ANSWER -employees for labor services
-employees for clerical work
What is the minimum amount of liability insurance needed? - ANSWER $50,000
An applicant for licensure must have 2 years trade experience or comparable educational training. -
ANSWER True
The Commission can ask an applicant for information about the applicant's... - ANSWER -character
-experience
-financial stability
The financial information provided by an applicant is public information. - ANSWER No
If an application for a license is denied, the applicant can request a hearing within ______________ after
the notice of denial is mailed. - ANSWER 10 days
, A salesperson will not be issued a license until the salesperson becomes employed or contractually
involved with a licensed contractor. - ANSWER True
How many contractors may a salesperson represent? - ANSWER 2
If within ____________ after the Commission gives notice, a contractor on whose account a claim was
paid does not reimburse the fund in full, the Commission may sue the contractor for reimbursement. -
ANSWER 60 days
In addition to full reimbursement of the fund, a contractor is responsible to pay at least ___________
interest on the amount to reimburse. - ANSWER 10 percent
The state can record a lien against any real property owned by the contractor for a debt owed to the
fund. - ANSWER True
If the Commission pays a claim from the Fund based on the actions or omissions of a contractor, the
Commission may suspend the contractor's license until full reimbursement of the Fund plus at least 10%
interest. - ANSWER True
A home improvement contract in compliance with the home improvement laws would include all of the
following except: - ANSWER Names and license numbers of subcontractors
A salesperson may not represent 2 contractors at the same time for the same project. - ANSWER True
Can a salesperson legally accept money for themselves from the customer? - ANSWER No
It is against the law for building and permits departments to issue a permit to a contractor without the
contractor's license number. - ANSWER True
If a contractor fails to correct a violation of the building code within a reasonable time period, the county
or municipality inspecting the project shall notify the Commission. - ANSWER True
