Business & LicensingQuestion 1365 of 1632

A Responsible Managing Officer qualifies a corporation's license. What does the 'officer' in that title mean?

a.That the person is an outside consultant retained by the board
b.That the person is an employee, but never a shareholder of it
c.That the person is a bona fide officer of that corporation
d.That the person is a licensed engineer employed by the firm

Explanation

B&P §7068(b)(3) lets a corporation qualify through the appearance of a responsible managing officer or a responsible managing employee, so an RMO is an officer of the corporation itself, holding the office as well as the experience; an RME is the employee version of the same role. (a) is the opposite of a bona fide officer, and an outside consultant cannot supply the supervision §7068.1 demands. (b) confuses the RMO with the RME and adds a shareholding bar that does not exist — §7071.9(c) actually rewards an RMO who owns 10 percent or more of the voting stock by waiving the qualifier's bond. (d) imports a professional credential the classification does not require.

Law Reference: B&P Code §7068(b)(3) / §7071.9(c)

This topic, taught in full in the CSLB Law & Business guide. CSLB Law & Business — Complete Study Guide (2026) — PDF + EPUB, $24.99 · 14-day refund →

Practice all 1632 questions free — no signup required.

Own the complete CSLB Law & Business guide — PDF + EPUB, $24.99 →

Related questions on this topic

Last reviewed: · editorial process

PrepPass team · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)
Report