C33 - C-33 California Painting Contractor License California Painting Contractor Business Organization 1 — Questions and Answers
Question 1: When a C-33 painting contractor changes their business structure from a sole proprietorship to a corporation, what must they do regarding their CSLB license?
- Transfer the existing license to the new corporation using a change-of-entity form
- Apply for a brand-new license in the corporation's name (Correct answer)
- Continue operating under the sole proprietorship license until it expires
- Notify CSLB within 90 days and pay a reissuance fee to keep the same license number
Correct answer: Apply for a brand-new license in the corporation's name
A corporation is a separate legal entity from an individual. CSLB licenses are issued to a specific legal entity, so changing entity type requires applying for an entirely new license in the corporation's name — the sole proprietorship license cannot simply be transferred.
Question 2: Under CSLB rules, if the qualifying individual (RME or RMO) disassociates from a C-33 licensed company, how many days does the licensee have to replace the qualifier before the license is automatically suspended?
- 30 days
- 60 days
- 90 days (Correct answer)
- 120 days
Correct answer: 90 days
Per Business and Professions Code Section 7068.2, when a qualifier disassociates from a license, the licensee has 90 days to replace them with a new qualifying individual. Failure to do so within 90 days results in automatic license suspension.
Question 3: A C-33 painting contractor operating as a Limited Liability Company (LLC) must carry what additional insurance that a sole proprietor licensee is NOT required to maintain?
- Errors and omissions (professional liability) insurance
- Workers' compensation insurance for all employees
- At least $1,000,000 per-occurrence general liability insurance (Correct answer)
- Umbrella liability insurance of at least $2,000,000
Correct answer: At least $1,000,000 per-occurrence general liability insurance
CSLB requires LLC licensees to maintain a minimum of $1,000,000 per-occurrence general liability insurance as a condition of licensure. This requirement is specific to the LLC business structure and does not apply to sole proprietors or general partnerships.
Question 4: What is the contractor's license bond amount currently required by CSLB for a C-33 painting contractor?
- $10,000
- $15,000
- $25,000 (Correct answer)
- $50,000
Correct answer: $25,000
As of January 1, 2023, CSLB increased the required contractor's license bond to $25,000. This bond protects consumers if the contractor fails to perform work or violates the Contractors State License Law.
Question 5: A C-33 contractor operating under a fictitious business name (DBA) in California must:
- Register the DBA with CSLB only — no county filing is required
- File the fictitious business name with the county clerk AND notify CSLB of the name (Correct answer)
- Obtain a separate CSLB contractor's license for each DBA they use
- Post the fictitious business name on all job-site signage within 10 days of adoption
Correct answer: File the fictitious business name with the county clerk AND notify CSLB of the name
California law requires contractors using a fictitious business name to file it with the county clerk where their principal place of business is located AND to inform CSLB of the DBA so it is associated with their license record. Failing to do both can expose the contractor to disciplinary action.
Question 6: A C-33 painting contractor holds a license qualifying them only for painting work and wishes to add the C-54 (Ceramic and Mosaic Tile) classification to the same license. The current qualifying individual must:
- Automatically qualify for any related specialty classification without additional testing
- Pass a separate CSLB trade examination for the C-54 classification (Correct answer)
- Designate a different RMO or RME specifically for the C-54 classification
- Wait until the next renewal period to add any additional classification
Correct answer: Pass a separate CSLB trade examination for the C-54 classification
Each CSLB license classification has its own trade examination. A qualifier must pass the applicable trade exam for each classification they wish to add, unless they qualify for an exemption based on documented experience. Holding one classification does not automatically grant another.
When a C-33 painting contractor changes their business structure from a sole proprietorship to a corporation, what must they do regarding their CSLB license?