Contracts & ExecutionQuestion 765 of 1605
The down payment limit of $1,000 or 10% (whichever is less) applies to:
a.Home improvement contracts, per §7159
b.Only jobs under $500
c.Public works contracts
d.New commercial construction
Explanation
The $1,000-or-10%-whichever-is-less down payment cap is a home improvement contract rule under B&P §7159, protecting residential owners.
Law Reference: B&P §7159(d)Practice all 1605 questions free — no signup required.
Related questions on this topic
- A residential re-roofing job is priced at $9,500. Which is required?
- A key difference between a service and repair contract and a standard home improvement contract is that the service and repair contract:
- A contractor promises a homeowner a 'model home discount' if they let their house be used for advertising, to induce the signing. If false, this is:
- A homeowner signs a contract that does not include the contractor's license number. This omission:
- The primary purpose of requiring detailed written home improvement contracts is to:
- Which is a required condition for a service and repair contract under §7159.10?
Last reviewed: · editorial process
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)