A contract header has the company name and project address, but no CSLB license number. What should be corrected before signing?
Correct Answer
C) Add the contractor's license number with the contractor identity information.
CSLB guidance says the contract should identify the contractor, business address, and contractor license number.
Why This Is the Correct Answer
CSLB guidance says the contract should identify the contractor, business address, and contractor license number.
Why the Other Options Are Wrong
Option A: Remove the company name so the form looks simpler.
Remove the company name so the form looks simpler. skips the written authority, scope, price, notice, or release control needed for project contracts.
Option B: Put the license number in the office record but leave it off the contract header.
Put the license number in the office record but leave it off the contract header. skips the written authority, scope, price, notice, or release control needed for project contracts.
Option D: Replace the license number with the owner's driver's license number, because the owner is the person signing the payment schedule.
Replace the license number with the owner's driver's license number, because the owner is the person signing the payment schedule. skips the written authority, scope, price, notice, or release control needed for project contracts.
Memory Technique
When cslb clashes with guidance, let the contract speak before Doing Final.
Reference Hint
Study anchor (closed-book): memorize Project contracts from CSLB 2026 Law Book; CSLB Home Improvement Contracts / Business and Professions Code Section 7159; know the rule or calculation trigger without relying on exam-room lookup.
More Law & Business Questions
A Fresno homeowner wants a $725 cabinet repair and trim adjustment. Which contract step best matches CA home improvement requirements?
A project has $6,500 retainage withheld. The owner releases 60 percent of retainage at substantial completion. How much cash is released?
Cash is $52,500 and monthly burn is $17,500. How many months of runway are available?
A supplier offers 1.5 percent early-pay discount on a $22,000 invoice. What is the discount?
A balance sheet lists assets of $310,000 and liabilities of $185,000. What is owner's equity?
A job is estimated to cost $135,000. What price gives a 25 percent gross margin?
A customer invoice of $4,000 has a stated late charge of 1.5 percent. What late charge is added?
A bid has direct labor of $18,000, materials of $12,500, and equipment rental of $3,500. If the contractor adds 20 percent markup on direct cost, what is the bid price?
A contractor wants a 25 percent gross margin on a job with estimated cost of $60,000. What selling price gives that margin?
A completed project sold for $150,000 and had total cost of $126,000. What gross margin percentage did the project earn?
