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CALIFORNIA CONTRACTORS LICENSE LAW EXAM/QUESTIONS AND ANSWERS

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CALIFORNIA CONTRACTORS LICENSE LAW EXAM/QUESTIONS AND ANSWERS

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  • April 9, 2024
  • 5
  • 2023/2024
  • Exam (elaborations)
  • Questions & answers
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CALIFORNIA CONTRACTORS LICENSE
LAW EXAM/QUESTIONS AND ANSWERS
The address of the contractors State license Board is required to appear on
all contracts. - -TRUE

-Business licenses are required by state and they can be acquired at any
state office. - -FALSE

-Rights of lien can be waived in certain cases if supplier or sub signs such a
waiver. - -FALSE

-The purpose of a surety bond is to protect the contractors should anything
go wrong - -FALSE

-Customers may appeal the results of arbitration if the decision was
unfavorable - -FALSE

-A suspended license may not be reinstated unless the contractor waits one
year. - -FALSE

-Any substitution of a sub on the Public Works job must be approved by the
boarding authority. - -TRUE

-The prime contractor awarded the Public Works job by an awarding
authority would lose his bond should he decide not to begin the job. - -TRUE

-Customers must use the cancellation form furnished by the contractor if
they wish to cancel the contract. - -FALSE

-The language of the contract must reflect the language by which the
contract was sold to the customer. - -TRUE

-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. -
-FALSE

-A contractor may ask customers to waive their right to cancel in emergency
cases only. - -TRUE

-As a general rule, owner/builders do not need a contractors license. - -
TRUE

, -A general contractor may contract to do any work in the construction
industry. - -FALSE

-The license of a sole ownership may be transferred to any family member. -
-FALSE

-An individual license can be transferred to a partnership or corporation if
individual is the part of the new company. - -FALSE

-A qualifier may only qualify for one license at a time. - -FALSE

-A RME may qualify for a corporation and also maintain his own license
active. - -FALSE

-If you allow your license to lapse three years you will lose license. - -FALSE

-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. - -TRUE

-A license number is required on all contracts bids and any form of
advertising. - -TRUE

-Permits for construction are obtainable from the county records office. - -
FALSE

-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. - -
FALSE

-An inactive license must be renewed every four years. - -TRUE

-The holder of an inactive license can sign contracts and carry on the work
of a contractor while waiting for the reinstatement of license - -FALSE

-The responsible managing employee of a company license is the person
who has qualified the company for its license. - -TRUE

-The person qualifying on behalf of an individual or company shall be
responsible for supervising and controlling the construction operations of the
individual company. - -TRUE

-A responsible managing employee cannot qualify 2 active licenses. - -TRUE

-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 - -TRUE

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