EstatePass

Before signing a contract, why should the contractor confirm the entity license is active and properly classified?

California C-36 exam practice question · Business Organization & Licensing

Before signing a contract, why should the contractor confirm the entity license is active and properly classified?

  • AThe customer’s signature cures the defect
  • BA bond makes an inactive license active
  • CStatus matters only at final inspection
  • Discipline and lost payment rights

Why D is correct

License status and scope are threshold legal conditions, not paperwork that can be repaired by a customer or bond after performance begins.

Practice 30 more Business Organization & Licensing questions

Timed mock exams, a wrong book and flashcards — one subscription covers every contractor exam line.

Start studying free