Licensing Requirements and Eligibility Flashcards

What happens to a contractor certificate if the qualifying individual leaves the company?

Answer: The license may be suspended until a new qualifier is approved

If the designated qualifier leaves, the license is typically placed on inactive or suspended status until a new qualifier is approved by the licensing board.

Which of the following is NOT typically a requirement for obtaining a contractor certificate?

Answer: Owning real estate property

Owning property is not a standard prerequisite; the board cares about trade competency, background, and proper documentation.

A contractor who performs work without a required license may face which consequence?

Answer: Fines, stop-work orders, and inability to file a mechanics lien

Unlicensed contracting can result in civil fines, criminal charges, stop-work orders, and the loss of lien rights to collect payment.

What is the purpose of a 'provisional' or 'temporary' contractor license?

Answer: To allow a contractor to work while the full application is being processed

A provisional license is a short-term authorization issued while the board reviews and processes the full license application.

How is a sole proprietor contractor license typically different from a corporation contractor license?

Answer: A sole proprietor license is tied to the individual; a corporate license is tied to the business entity

A sole proprietor license is personal and non-transferable, while a corporate license allows the business entity to hold the credential independently of individual ownership changes.

Which exam provider is commonly used for contractor licensing examinations in the US?

Answer: PSI Exams or Prometric

PSI Exams and Prometric are the most widely used third-party testing vendors contracted by state licensing boards to administer contractor exams.