Business & LicensingQuestion 451 of 690
Which statement most accurately summarizes the licensing rule a contractor must satisfy to recover compensation in a lawsuit over a construction contract?
a.The contractor needs a license only when filing the lawsuit
b.The contractor must have been duly licensed at all times during the performance of the work
c.The contractor needs a license only at the time of final payment
d.Licensing is irrelevant if the work was done well
Explanation
Under §7031, a contractor suing to recover compensation must allege and prove that it was a duly licensed contractor at all times during performance of the contract. A lapse during the work can bar recovery.
Law Reference: Bus. & Prof. Code §7031Practice all 690 questions free — no signup required.
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