Contracts & ExecutionQuestion 62 of 690
A contractor abandons a job without justification after receiving a substantial deposit. The contractor may face:
a.A civil fine only
b.Only a requirement to refund the deposit
c.License suspension or revocation and criminal charges
d.A warning letter from CSLB
Explanation
Abandonment without legal excuse exposes a contractor to license discipline (suspension/revocation), civil liability for breach of contract, and potentially criminal charges for misappropriation of funds.
Law Reference: Bus. & Prof. Code §7107Practice all 690 questions free — no signup required.
Related questions on this topic
- A contractor and homeowner agree to change the scope of work during a project. This agreement must be:
- A contractor may demand final payment from the homeowner:
- Which statement about arbitration clauses in construction contracts is TRUE?
- Who is primarily responsible for obtaining building permits on a construction project?
- A contract clause that shifts responsibility for delays outside the contractor's control to the owner is called:
- An owner includes a liquidated damages clause of $500 per day for late completion. This clause is enforceable if:
Last reviewed: · editorial process
PrepPass Editorial Team · Verified against California CSLB Contractor License Law & Business Exam · How we review