Contracts & ExecutionQuestion 733 of 1605
A contractor's payment schedule requires the owner to pay 80% of the price before any materials arrive or work begins. This violates §7159 because:
a.The owner must pay 100% up front
b.Payments may not exceed the value of work performed and materials delivered
c.Only cash payments are allowed
d.Payments must always be equal
Explanation
Front-loading payments so the owner pays far more than the value of completed work violates B&P §7159, which ties each payment to work actually performed and materials delivered.
Law Reference: B&P §7159(d)Practice all 1605 questions free — no signup required.
Related questions on this topic
- A home improvement contract is signed for $800. Does the written-contract requirement of §7159 apply?
- The three-day right to cancel a home improvement contract applies primarily to contracts that are:
- The 'Notice to Owner' that must accompany a home improvement contract primarily explains:
- Which scenario would DISQUALIFY a job from using the service and repair contract form?
- The required title 'Home Improvement' and the mandatory notices in a §7159 contract must be presented in a way that is:
- A home improvement contract must state the total price the buyer will pay, described as the:
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Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)