Unlicensed Contractors and The Homeowner

[Alias]

Thoughts on how to handle the situation where the homeowner is pulling the permit and states that "so and so", a contractor, will be helping on the project. The dilemma I have is that as far as I know, after checking the CSLB's website, the contractor's license expired in 2007.

Do I........

1. hand the homeowner the CSLB's info on owner-builders, or

2. tell the homeowner that from my research that the contractor isn't licensed, or

3. ask the homeowner if the contractor has a city business license, or

4. your option here

This is the same "contractor" that installed the woodstove that I posted about in the residential mechanical thread. He and his partner/local businessman also have a big contract for a large governmental building............ help!?!

 

[KZQuixote]

It's possible that the contractor is not charging for his/her help and therefore is not violating any laws, you just don't know. I'd do #'s 1 & 2 above and leave it at that.

Bill

 

[pete_t]

Hand the homeowner the CSLB owner/builder information sheet and highlight the section where it states that if a homeowner hires an unlicensed contractor he in effects becomes employer and may be liable for taxes and workers comp insurance.

 

[Jobsaver]

It's possible that the contractor is not charging for his/her help and therefore is not violating any laws, you just don't know. I'd do #'s 1 & 2 above and leave it at that.Bill

Good to hear from you Bill.

Hand the homeowner the CSLB's info on owner-builders, and any other item you would normally do for an owner pulling a permit.

We also maintain an admin policy that only the permit holder can pay by check or card for the permit or inspection fees.

Any complaints . . . we refer to the State Contractor's Licensing Board.

 

[Alias]

I just handed him the CSLB info and mentioned that I was including that as he is an owner builder. We'll see what happens when I go out for inspections.

Meanwhile, I will be doing this for all owner-builders, even if I order more sheets from the CSLB. I'm also looking at a form for the owner to initial stating the ins and outs of being an owner-builder.

 

[Alias]

It's possible that the contractor is not charging for his/her help and therefore is not violating any laws, you just don't know. I'd do #'s 1 & 2 above and leave it at that.Bill

I went with option #1, just gave him the info.

 

[pete_t]

Sue

You can also make up your own handout.

http://www.cslb.ca.gov/Consumers/KnowRisksOfOwnerBuilder/

The Risks of Being an Owner/Builder

If you are considering doing a construction job as an "owner/ builder" there are a number of important issues to be aware of. Legal obligations and risks may outweigh the financial benefits. This section will guide you through some of the facts that owner/builders face.

You may find it helpful to reference the QuickLinks menu on the left for further information.

What is an Owner/Builder?

This section defines what an owner builder is and the laws surrounding the practice.

The responsibilities of an owner/builder.

This section outlines the job responsibilities of a property owner when they decide to handle their own construction projects as an owner/builder.

The downside of being an owner/builder.

This section presents some additional issues that should be taken into consideration before deciding to become an owner/builder.

There is also this CSLB handout:

http://www.cslb.ca.gov/Resources/GuidesAndPamphlets/OwnerBuilders.pdf

 

[Alias]

pete

I also have a couple of 'borrowed' handouts from other jurisdictions that I plan to customize. Just have to find a few minutes........before the CSLB info is gone........ : )

 

[brudgers]

Back when I was behind the counter...

When a homeowner came in with their "consultant" we would of course inform the homeowner that anyone they hired had to be either a licensed contractor or their employee and covered by worker's comp.

We would also tell them that Florida law did not require them to pay for any work done by unlicensed contractors.

I hate to admit it, but is was one of the things I loved about that job.

 

[RJJ]

I see this all time. The best you can do is give the information. Then make a spot check of the project and if the contractor is working on the site raise the flag.