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Law & BusinessLicensingmedium11% of exam part

A prime contractor plans to use an unlicensed subcontractor for cabinet installation work requiring a license. What should the prime do?

Correct Answer

A) Use a properly licensed subcontractor.

Work requiring a contractor license should be performed by the properly licensed contractor or subcontractor.

Answer Options
A
Use a properly licensed subcontractor.
B
Let the unlicensed subcontractor borrow the prime's license.
C
Have the customer sign the subcontract instead.
D
Rename the work as delivery labor.

Why This Is the Correct Answer

Work requiring a contractor license should be performed by the properly licensed contractor or subcontractor.

Why the Other Options Are Wrong

Option B: Let the unlicensed subcontractor borrow the prime's license.

Let the unlicensed subcontractor borrow the prime's license. does not satisfy the required party, deadline, proof, license, bond, insurance, or agency trigger for subcontractor licensing.

Option C: Have the customer sign the subcontract instead.

Have the customer sign the subcontract instead. does not satisfy the required party, deadline, proof, license, bond, insurance, or agency trigger for subcontractor licensing.

Option D: Rename the work as delivery labor.

Rename the work as delivery labor. does not satisfy the required party, deadline, proof, license, bond, insurance, or agency trigger for subcontractor licensing.

Memory Technique

Approving Subcontract envelope: right person, right date, right contents.

Reference Hint

Study anchor (closed-book): memorize Subcontractor licensing from CSLB licensing guidance; CSLB 2026 Law Book; California Business and. / Business and Professions Code subcontractor licensing and discipline provisions; know the rule or calculation trigger without relying on exam-room lookup.

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