CALIFORNIA CONTRACTORS LICENSE
LAW
The address of the contractors State license Board is required to appear on all contracts. -
ANSTRUE
Business licenses are required by state and they can be acquired at any state office. -
ANSFALSE
Rights of lien can be waived in certain cases if supplier or sub signs such a waiver. -
ANSFALSE
The purpose of a surety bond is to protect the contractors should anything go wrong -
ANSFALSE
Customers may appeal the results of arbitration if the decision was unfavorable - ANSFALSE
A suspended license may not be reinstated unless the contractor waits one year. -
ANSFALSE
Any substitution of a sub on the Public Works job must be approved by the boarding
authority. - ANSTRUE
The prime contractor awarded the Public Works job by an awarding authority would lose his
bond should he decide not to begin the job. - ANSTRUE
Customers must use the cancellation form furnished by the contractor if they wish to cancel
the contract. - ANSFALSE
The language of the contract must reflect the language by which the contract was sold to the
customer. - ANSTRUE
On a contract that has been canceled by customer, the contractor is entitled to
compensation for any work done up to the date of cancellation. - ANSFALSE
A contractor may ask customers to waive their right to cancel in emergency cases only. -
ANSTRUE
As a general rule, owner/builders do not need a contractors license. - ANSTRUE
A general contractor may contract to do any work in the construction industry. - ANSFALSE
The license of a sole ownership may be transferred to any family member. - ANSFALSE
, An individual license can be transferred to a partnership or corporation if individual is the part
of the new company. - ANSFALSE
A qualifier may only qualify for one license at a time. - ANSFALSE
A RME may qualify for a corporation and also maintain his own license active. - ANSFALSE
If you allow your license to lapse three years you will lose license. - ANSFALSE
It is a misdemeanor for an unlicensed contractor to put out cards signs or other devices or to
list his name or business name in a classified ad or directory which would indicate that he is
a contractor. - ANSTRUE
A license number is required on all contracts bids and any form of advertising. - ANSTRUE
Permits for construction are obtainable from the county records office. - ANSFALSE
Any person engaged in the business of contracting with or without the license can sue in any
court for collection of work done for a customer. - ANSFALSE
An inactive license must be renewed every four years. - ANSTRUE
The holder of an inactive license can sign contracts and carry on the work of a contractor
while waiting for the reinstatement of license - ANSFALSE
The responsible managing employee of a company license is the person who has qualified
the company for its license. - ANSTRUE
The person qualifying on behalf of an individual or company shall be responsible for
supervising and controlling the construction operations of the individual company. -
ANSTRUE
A responsible managing employee cannot qualify 2 active licenses. - ANSTRUE
It is the duty of the responsible managing employee and/or the contractor to notify the
registrar that they RME is leaving or is disassociating - ANSTRUE
A Contractors license will be suspended if the surety bond is not maintained in full force and
current - ANSTRUE
The required surety bond necessary for most contractors is valued at $2500. - ANSFALSE
A surety bond is required to benefit a person damaged by a violation of the contractors
license law or any employee damage by the contractor for failure to pay wages or fringe
benefits. - ANSTRUE
LAW
The address of the contractors State license Board is required to appear on all contracts. -
ANSTRUE
Business licenses are required by state and they can be acquired at any state office. -
ANSFALSE
Rights of lien can be waived in certain cases if supplier or sub signs such a waiver. -
ANSFALSE
The purpose of a surety bond is to protect the contractors should anything go wrong -
ANSFALSE
Customers may appeal the results of arbitration if the decision was unfavorable - ANSFALSE
A suspended license may not be reinstated unless the contractor waits one year. -
ANSFALSE
Any substitution of a sub on the Public Works job must be approved by the boarding
authority. - ANSTRUE
The prime contractor awarded the Public Works job by an awarding authority would lose his
bond should he decide not to begin the job. - ANSTRUE
Customers must use the cancellation form furnished by the contractor if they wish to cancel
the contract. - ANSFALSE
The language of the contract must reflect the language by which the contract was sold to the
customer. - ANSTRUE
On a contract that has been canceled by customer, the contractor is entitled to
compensation for any work done up to the date of cancellation. - ANSFALSE
A contractor may ask customers to waive their right to cancel in emergency cases only. -
ANSTRUE
As a general rule, owner/builders do not need a contractors license. - ANSTRUE
A general contractor may contract to do any work in the construction industry. - ANSFALSE
The license of a sole ownership may be transferred to any family member. - ANSFALSE
, An individual license can be transferred to a partnership or corporation if individual is the part
of the new company. - ANSFALSE
A qualifier may only qualify for one license at a time. - ANSFALSE
A RME may qualify for a corporation and also maintain his own license active. - ANSFALSE
If you allow your license to lapse three years you will lose license. - ANSFALSE
It is a misdemeanor for an unlicensed contractor to put out cards signs or other devices or to
list his name or business name in a classified ad or directory which would indicate that he is
a contractor. - ANSTRUE
A license number is required on all contracts bids and any form of advertising. - ANSTRUE
Permits for construction are obtainable from the county records office. - ANSFALSE
Any person engaged in the business of contracting with or without the license can sue in any
court for collection of work done for a customer. - ANSFALSE
An inactive license must be renewed every four years. - ANSTRUE
The holder of an inactive license can sign contracts and carry on the work of a contractor
while waiting for the reinstatement of license - ANSFALSE
The responsible managing employee of a company license is the person who has qualified
the company for its license. - ANSTRUE
The person qualifying on behalf of an individual or company shall be responsible for
supervising and controlling the construction operations of the individual company. -
ANSTRUE
A responsible managing employee cannot qualify 2 active licenses. - ANSTRUE
It is the duty of the responsible managing employee and/or the contractor to notify the
registrar that they RME is leaving or is disassociating - ANSTRUE
A Contractors license will be suspended if the surety bond is not maintained in full force and
current - ANSTRUE
The required surety bond necessary for most contractors is valued at $2500. - ANSFALSE
A surety bond is required to benefit a person damaged by a violation of the contractors
license law or any employee damage by the contractor for failure to pay wages or fringe
benefits. - ANSTRUE
