| A | B |
|---|
| All licensed contractors whose licenses are currently active must post a? | Bond in conjuction with the license. |
| A bond is | A guarantee of money against any loss, damage, or misconduct attributed to a licensee in the course of his work as a contractor. |
| This bond must be issued by | An amitted Surety in favor of the state of California and filed with the Registrar. |
| In actuality two seperate bonds are required unless | the qualifying individual owns at least 10% in equity of the licensee. |
| In replace of the bond the licensee may post | a cash deposit |
| 1st reason a bond must be posted | A homeowner damaged by a violation of the contractors License Law after contracting for improvments on his home |
| 2nd Reason a bond must be posted | Any person damaged by a delebirate violation of the contractor License Law or fraud on the part of a license while carrying out a contract. |
| 3rd reason a bond must be posted | An employee of a licensee who suffers damage due to the licensee's failure to pay his/her wages. |
| 4th reason a bond must be posted | the trustee of any trust fund damaged by the licensee failure to pay employee fringe benefits. |
| The amount of the required bond is | $10,000 |
| if the licensee has committed certain violations of the law the board may require a bond of no less than | $15,000 |
| displaying what in your advertising will result in disciplinary action | Advertising your bond. |
| If the bond is not posted and work is contracted what happens | The Registrar can order the imeddiate suspension or revocation of the license. |
| if a claim is made and wins what happens the licensee | The Registrar is notified, the licensee is required to repay the surety for the claim ammount, and the license will be suspended untill the amount is repayed. |
