Business & LicensingQuestion 1424 of 1605
A home improvement contractor may collect progress payments in what manner?
a.Payments that do not exceed the value of work performed or material delivered
b.All money up front
c.Double the value of work done
d.Only after full completion
Explanation
Under B&P Code section 7159.5, after the down payment, payments requested may not exceed the value of work performed or materials delivered. This prevents contractors from getting too far ahead of the work.
Law Reference: B&P Code §7159.5Practice all 1605 questions free — no signup required.
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Sen Lin, PrepPass Founder · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)