CSLB Practice Law B Questions and Correct
Answers | Latest Update
A subcontractor or material supplier has _____ days to file a lien once a notice of completion
has been recorded.
30
How must a client submit a claim for service or repair of a defect on fit and finish items after a
remodel?
By certified mail
By overnight mail
By personal delivery
A contractor meets Mr. Jones at his home to discuss remodeling. The contractor and Mr. Jones
sign a contract that includes a three-day cancellation form. After the contractor leaves, Mr.
Jones decides not to have the work done. Instead of using the cancellation form, Mr. Jones
sends the contractor a letter by first-class mail stating that he is canceling the contract. Is Mr.
Jones' cancellation effective?
Yes. Mr. Jones' letter does cancel the contract because it indicates his
intention not to be bound by the contract.
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If a contractor forgets to renew his or her license on time, the expired license may be renewed
any time within _____ after its expiration without reapplying for a license and fulfilling the
exam or waiver requirements again.
Five years
You are the qualifier for an active contractor's license. How do you inactivate the license?
Write to the CSLB, requesting that the license be made inactive.
When a subcontractor does work on a public works contract, the public agency considers the
subcontractor to be:
a subcontractor of the prime contractor
A contractor hires a subcontractor to demolish a concrete wall. Who is responsible for
supplying safety goggles?
subcontractor
Sometimes contracts prove to be too vague to interpret without disagreement between owner
and contractor. Which of the following steps would best prevent such problems?
Review the plans and specifications with the owner.
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A contractor is looking for an insurance policy to cover a high degree of exposure to risk. Of
the following, which policy would be best for this purpose?
umbrella
To whom do you report and pay sales tax?
Board of Equalization
The federal Employer Identification Number (EIN) is issued by the:
Internal Revenue Service
When purchasing insurance, what is the best way to choose among different companies?
cost and coverage
As required by the Immigration Reform and Control Act, all employees hired on or after
November 7, 1986 must complete Form _____ to verify their employment eligibility status.
I-9
If required safety devices are missing from tools, what should an employee do?
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Notify the contractor, who is responsible for safety.
Of the following, which document is usually delivered first in a transaction involving a home
improvement contract?
"Notice to Owner"
Who is ultimately responsible for seeing that safety equipment is actually put to use on the
jobsite?
contractor
A mechanics' lien is a written document that must be signed and verified by the claimant. The
first and third steps a contractor should take in filing a lien are listed below. Step 1: Obtain
the exact legal description of the property. Step 2: Step 3: Find out if the person requesting
the work of improvement is the owner. What is Step 2?
Find out the name of the legal owner of the property as well as the
percent of ownership.
A(n) _____ represents a company's financial position on a specified date.
balance sheet
When you get an approved set of plans, what should you do first?
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