California Contractors License Law Practice Exam

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Prepare for the California Contractors License Exam with comprehensive study materials that include flashcards and multiple-choice questions, all designed to enhance your understanding of California's contractor licensing laws.

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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What happens when a contractor's license lapses?

They may continue working until resolved
They must stop work immediately
They can work under another contractor
Only civil penalties apply

The correct answer is: They must stop work immediately

When a contractor's license lapses, the appropriate action is for the contractor to stop all work immediately. Operating without a valid license is against California law, and continuing work while unlicensed can lead to serious legal repercussions and penalties. This regulation is in place to protect consumers and ensure that all construction activities meet safety and quality standards set by the state. In California, a contractor is legally required to have a valid license for all contracting work. If the license has lapsed, the contractor is not authorized to perform any work until the license is renewed. The licensing board holds this stance to prevent unqualified individuals from undertaking construction projects, which could pose risks to public safety and welfare. The other choices present scenarios that do not align with the regulations enforced by the California Contractors State License Board. For example, continuing work while unlicensed could result in various legal issues, and working under another contractor does not absolve the contractor of the need for a valid license. Additionally, while civil penalties may apply, stopping work is the immediate responsibility upon license expiration.