Page 1 of 72
CSLB Law & Business Exam QUESTIONS
AND CORRECT ANSWERS LATEST UPDATE
THIS YEAR NEW!!
QUESTION: An applicant for a contractor's license receives a notice from the Contractors' State
License Board, dated October 1, that the applicant passed the written exams. To receive an
active license, the applicant must file a license bond and fee no later than:
31-Oct
29-Oct
30-Dec
1-Jan - ANSWER-30-Dec
QUESTION: Is it legal for a contractor to hire professional strikebreakers to replace striking
employees?
1
,Page 2 of 72
Yes. It is legal to hire professional strikebreakers.
No. The contractor is subject to a maximum fine of $500 and/or a maximum jail sentence of 30
days.
No. The contractor is subject to a maximum fine of $1,000 and/or a maximum jail sentence of
90 days.
The contractor has not committed a crime but may be subject to legal action. - ANSWER-No.
The contractor is subject to a maximum fine of $1,000 and/or a maximum jail sentence of 90
days.
QUESTION: When a subcontractor does work on a public works contract, the public agency
considers the subcontractor to be:
an employee of the agency
a subcontractor of the agency
an employee of the prime contractor
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,Page 3 of 72
a subcontractor of the prime contractor - ANSWER-an employee of the prime contractor
QUESTION: As part of the safety training process, contractors' supervisors are required to
conduct "toolbox" or "tailgate" safety meetings. How often must these meetings be held?
daily
The correct answer is B.
at least once every ten working days
at least once a month
at least once a quarter - ANSWER-at least once every ten working days
QUESTION: Of the following, which document is usually delivered first in a transaction involving
a home improvement contract?
three-day notice of right to cancel
the contract
3
, Page 4 of 72
"Notice to Owner"
20-day preliminary notice - ANSWER-"Notice to Owner"
Q; How long does a client have to cancel a contract for repairs that are the result of an event
for which a State of Emergency was declared?
5 business days
5 calendar days
7 business days
7 calendar days - ANSWER-7 Business Days
QUESTION: How many days does a contractor have to notify the Registrar after being issued a
workers' compensation insurance policy?
5 days
10 days
4
CSLB Law & Business Exam QUESTIONS
AND CORRECT ANSWERS LATEST UPDATE
THIS YEAR NEW!!
QUESTION: An applicant for a contractor's license receives a notice from the Contractors' State
License Board, dated October 1, that the applicant passed the written exams. To receive an
active license, the applicant must file a license bond and fee no later than:
31-Oct
29-Oct
30-Dec
1-Jan - ANSWER-30-Dec
QUESTION: Is it legal for a contractor to hire professional strikebreakers to replace striking
employees?
1
,Page 2 of 72
Yes. It is legal to hire professional strikebreakers.
No. The contractor is subject to a maximum fine of $500 and/or a maximum jail sentence of 30
days.
No. The contractor is subject to a maximum fine of $1,000 and/or a maximum jail sentence of
90 days.
The contractor has not committed a crime but may be subject to legal action. - ANSWER-No.
The contractor is subject to a maximum fine of $1,000 and/or a maximum jail sentence of 90
days.
QUESTION: When a subcontractor does work on a public works contract, the public agency
considers the subcontractor to be:
an employee of the agency
a subcontractor of the agency
an employee of the prime contractor
2
,Page 3 of 72
a subcontractor of the prime contractor - ANSWER-an employee of the prime contractor
QUESTION: As part of the safety training process, contractors' supervisors are required to
conduct "toolbox" or "tailgate" safety meetings. How often must these meetings be held?
daily
The correct answer is B.
at least once every ten working days
at least once a month
at least once a quarter - ANSWER-at least once every ten working days
QUESTION: Of the following, which document is usually delivered first in a transaction involving
a home improvement contract?
three-day notice of right to cancel
the contract
3
, Page 4 of 72
"Notice to Owner"
20-day preliminary notice - ANSWER-"Notice to Owner"
Q; How long does a client have to cancel a contract for repairs that are the result of an event
for which a State of Emergency was declared?
5 business days
5 calendar days
7 business days
7 calendar days - ANSWER-7 Business Days
QUESTION: How many days does a contractor have to notify the Registrar after being issued a
workers' compensation insurance policy?
5 days
10 days
4