Business & LicensingQuestion 1377 of 1605

An unlicensed person performs work requiring a license and sues the customer for nonpayment. What is the likely result under the license law?

a.The court will award full payment
b.The contractor recovers half the contract price
c.The contractor recovers only material costs
d.The unlicensed contractor is barred from bringing an action to collect compensation

Explanation

Under B&P Code section 7031, a person who performs work requiring a license without holding one may not bring or maintain any action to collect compensation for that work, regardless of the equities. Courts apply this strictly.

Law Reference: B&P Code §7031

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Reviewed by Abraham Chen Licensed California General Contractor (CSLB License #1101856 verify)
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