CSLB Practice Law B Questions and
Answers
A subcontractor or material supplier has days to file a lien once a
notice of completion has been recorded. - Correct answer-30
How must a client submit a claim for service or repair of a defect on fit and
finish items after a remodel? - Correct answer-By certified mail
By overnight mail
By personal delivery
A contractor meets Mr. Jones at his home to discuss remodeling. The
contractor and Mr. Jones sign a contract that includes a three-day
cancellation form. After the contractor leaves, Mr. Jones decides not to have
the work done. Instead of using the cancellation form, Mr. Jones sends the
contractor a letter by first-class mail stating that he is canceling the
contract. Is Mr. Jones' cancellation effective? - Correct answer-Yes. Mr.
Jones' letter does cancel the contract because it indicates his intention not
to be bound by the contract.
If a contractor forgets to renew his or her license on time, the expired
license may be renewed any time within after its expiration without
reapplying for a license and fulfilling the exam or waiver requirements
again. - Correct answer-Five years
You are the qualifier for an active contractor's license. How do you
inactivate the license? - Correct answer-Write to the CSLB, requesting that
the license be made inactive.
When a subcontractor does work on a public works contract, the public
agency considers the subcontractor to be: - Correct answer-a
subcontractor of the prime contractor
A contractor hires a subcontractor to demolish a concrete wall. Who is
responsible for supplying safety goggles? - Correct answer-subcontractor
Sometimes contracts prove to be too vague to interpret without disagreement
between owner and contractor. Which of the following steps would best prevent
such problems? - Correct answer-Review the plans and specifications with the
owner.
A contractor is looking for an insurance policy to cover a high degree of
exposure to risk. Of the following, which policy would be best for this
purpose? - Correct answer- umbrella
,To whom do you report and pay sales tax? - Correct answer-Board of
Equalization
The federal Employer Identification Number (EIN) is issued by the: - Correct
answer- Internal Revenue Service
When purchasing insurance, what is the best way to choose among
different companies? - Correct answer-cost and coverage
As required by the Immigration Reform and Control Act, all employees hired
on or after November 7, 1986 must complete Form to verify their
employment eligibility status. - Correct answer-I-9
If required safety devices are missing from tools, what should an
employee do? - Correct answer-Notify the contractor, who is
responsible for safety.
Of the following, which document is usually delivered first in a transaction
involving a home improvement contract? - Correct answer-"Notice to
Owner"
Who is ultimately responsible for seeing that safety equipment is actually
put to use on the jobsite? - Correct answer-contractor
A mechanics' lien is a written document that must be signed and verified by
the claimant. The first and third steps a contractor should take in filing a
lien are listed below. Step 1: Obtain the exact legal description of the
property. Step 2: Step 3: Find out if the person requesting the work of
improvement is the owner. What is Step 2? - Correct answer-Find out the
name of the legal owner of the property as well as the percent of
ownership.
A(n) represents a company's financial position on a specified date.
- Correct answer-balance sheet
When you get an approved set of plans, what should you do first? - Correct
answer- Read any notes from the building department.
When bidding on work, which of the following would you NOT include in the
price of your bid? - Correct answer-worker's compensation insurance
premium
The purpose of a "Preliminary 20-day Notice" for private work is to: - Correct
answer- notify the property owner that the subcontractor or firm who sent
the notice will be making improvements on the property
When should you let your attorney see a construction contract? - Correct
answer-After the contract is prepared, but before you sign it.
, When is an employee allowed to view their own personnel file? -
Correct answer- whenever they wish to
Before beginning work, an employer or contractor must inquire whether
asbestos is present in any building constructed prior to: - Correct answer-
1978
Is it legal for a contractor to require employees to take lie detector tests? -
Correct answer-It is not legal for the contractor to require lie detector tests,
but it would be legal for a federal, state, or local public agency to require lie
detector tests of their employees.
When is the last day a customer can cancel a contract that was signed on
Friday, December 21st? - Correct answer-the following Wednesday
Which of the following provisions may not be included in a home improvement
contract?
- Correct answer-Owner must pay for materials before they are delivered.
When can a material supplier perfect a mechanics lien? - Correct answer-
After the goods have been installed in the structure.
Every employer of or more full- or part-time employees must keep
written health and safety records for years. - Correct answer-11 ... 5
The qualifying RME for a construction firm must work at least: - Correct
answer-32 hr per week or 80% of the work week
Where is the "Notice of Right to Cancel" found on a home improvement
contract? - Correct answer-near the client signature
An employer remits State disability taxes withheld from an employee's
wages to what agency? - Correct answer-Employment Development
Department
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: - Correct answer-30-Dec
A contract can be canceled when there is consent through fraud or duress
by: - Correct answer-the other party.
What possible reason would an owner have for requiring an unconditional
lien release from a subcontractor? - Correct answer-The owner's property
covered by the release may not be liened.
Equity is: - Correct answer-Total Assets less Total Liabilities.
Answers
A subcontractor or material supplier has days to file a lien once a
notice of completion has been recorded. - Correct answer-30
How must a client submit a claim for service or repair of a defect on fit and
finish items after a remodel? - Correct answer-By certified mail
By overnight mail
By personal delivery
A contractor meets Mr. Jones at his home to discuss remodeling. The
contractor and Mr. Jones sign a contract that includes a three-day
cancellation form. After the contractor leaves, Mr. Jones decides not to have
the work done. Instead of using the cancellation form, Mr. Jones sends the
contractor a letter by first-class mail stating that he is canceling the
contract. Is Mr. Jones' cancellation effective? - Correct answer-Yes. Mr.
Jones' letter does cancel the contract because it indicates his intention not
to be bound by the contract.
If a contractor forgets to renew his or her license on time, the expired
license may be renewed any time within after its expiration without
reapplying for a license and fulfilling the exam or waiver requirements
again. - Correct answer-Five years
You are the qualifier for an active contractor's license. How do you
inactivate the license? - Correct answer-Write to the CSLB, requesting that
the license be made inactive.
When a subcontractor does work on a public works contract, the public
agency considers the subcontractor to be: - Correct answer-a
subcontractor of the prime contractor
A contractor hires a subcontractor to demolish a concrete wall. Who is
responsible for supplying safety goggles? - Correct answer-subcontractor
Sometimes contracts prove to be too vague to interpret without disagreement
between owner and contractor. Which of the following steps would best prevent
such problems? - Correct answer-Review the plans and specifications with the
owner.
A contractor is looking for an insurance policy to cover a high degree of
exposure to risk. Of the following, which policy would be best for this
purpose? - Correct answer- umbrella
,To whom do you report and pay sales tax? - Correct answer-Board of
Equalization
The federal Employer Identification Number (EIN) is issued by the: - Correct
answer- Internal Revenue Service
When purchasing insurance, what is the best way to choose among
different companies? - Correct answer-cost and coverage
As required by the Immigration Reform and Control Act, all employees hired
on or after November 7, 1986 must complete Form to verify their
employment eligibility status. - Correct answer-I-9
If required safety devices are missing from tools, what should an
employee do? - Correct answer-Notify the contractor, who is
responsible for safety.
Of the following, which document is usually delivered first in a transaction
involving a home improvement contract? - Correct answer-"Notice to
Owner"
Who is ultimately responsible for seeing that safety equipment is actually
put to use on the jobsite? - Correct answer-contractor
A mechanics' lien is a written document that must be signed and verified by
the claimant. The first and third steps a contractor should take in filing a
lien are listed below. Step 1: Obtain the exact legal description of the
property. Step 2: Step 3: Find out if the person requesting the work of
improvement is the owner. What is Step 2? - Correct answer-Find out the
name of the legal owner of the property as well as the percent of
ownership.
A(n) represents a company's financial position on a specified date.
- Correct answer-balance sheet
When you get an approved set of plans, what should you do first? - Correct
answer- Read any notes from the building department.
When bidding on work, which of the following would you NOT include in the
price of your bid? - Correct answer-worker's compensation insurance
premium
The purpose of a "Preliminary 20-day Notice" for private work is to: - Correct
answer- notify the property owner that the subcontractor or firm who sent
the notice will be making improvements on the property
When should you let your attorney see a construction contract? - Correct
answer-After the contract is prepared, but before you sign it.
, When is an employee allowed to view their own personnel file? -
Correct answer- whenever they wish to
Before beginning work, an employer or contractor must inquire whether
asbestos is present in any building constructed prior to: - Correct answer-
1978
Is it legal for a contractor to require employees to take lie detector tests? -
Correct answer-It is not legal for the contractor to require lie detector tests,
but it would be legal for a federal, state, or local public agency to require lie
detector tests of their employees.
When is the last day a customer can cancel a contract that was signed on
Friday, December 21st? - Correct answer-the following Wednesday
Which of the following provisions may not be included in a home improvement
contract?
- Correct answer-Owner must pay for materials before they are delivered.
When can a material supplier perfect a mechanics lien? - Correct answer-
After the goods have been installed in the structure.
Every employer of or more full- or part-time employees must keep
written health and safety records for years. - Correct answer-11 ... 5
The qualifying RME for a construction firm must work at least: - Correct
answer-32 hr per week or 80% of the work week
Where is the "Notice of Right to Cancel" found on a home improvement
contract? - Correct answer-near the client signature
An employer remits State disability taxes withheld from an employee's
wages to what agency? - Correct answer-Employment Development
Department
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: - Correct answer-30-Dec
A contract can be canceled when there is consent through fraud or duress
by: - Correct answer-the other party.
What possible reason would an owner have for requiring an unconditional
lien release from a subcontractor? - Correct answer-The owner's property
covered by the release may not be liened.
Equity is: - Correct answer-Total Assets less Total Liabilities.
