A remodeler's printed contract for a single-family home carries an arbitration provision in the same 9-point type as the rest of the document, under the heading 'Dispute Resolution', with no separate space for the owner to initial. What does Bus. & Prof. Code §7191 make of it?

a.It is valid, because arbitration clauses are enforced in California without any special format
b.It is void, because arbitration provisions are unlawful in residential construction contracts
c.It may not be enforced against anyone other than the licensee, because the format is wrong
d.It is valid as soon as the owner signs the contract, which adopts every clause inside it

Giải thích

Arbitration clauses are lawful in California. What §7191 polices is the presentation: on residential property of four or fewer units the provision must be clearly titled ARBITRATION OF DISPUTES, set in at least 10-point roman boldface in a printed contract, and separately initialed after the statutory notice. A provision that fails those requirements is not simply thrown out — subdivision (c) leaves it unenforceable against any person OTHER than the licensee, so the contractor is still bound by the clause it drafted.

Trích dẫn luật: Bus. & Prof. Code §7191(a), (c)

Luyện miễn phí toàn bộ 1632 câu hỏi — không cần đăng ký.

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

Câu hỏi liên quan cùng chủ đề

Cập nhật gần nhất: · quy trình kiểm tra

Đội ngũ PrepPass · Đối chiếu với California CSLB Contractor License Law & Business Exam · Quy trình kiểm tra
Người kiểm duyệt Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — kiểm tra)
Báo lỗi