EstatePass
or-supplementOregon Business & Lawmedium

A contractor begins work on Monday and the homeowner cancels the contract on Wednesday under Oregon's right to cancel law. What must the contractor do?

Correct Answer

A) Return all payments within 10 days

Under Oregon law, when a homeowner exercises the right to cancel, the contractor must return all payments within 10 days.

Answer Options
A
Return all payments within 10 days
B
Complete the work as contracted
C
Charge a 25% cancellation fee
D
Charge only for materials purchased

Why This Is the Correct Answer

Under Oregon law, when a homeowner exercises the right to cancel, the contractor must return all payments within 10 days.

Was this explanation helpful?

More or-supplement Questions

Under ORS 701, what is the minimum amount of public liability insurance required for a CCB licensed contractor?

An employee is injured on a job site. The contractor's workers compensation premium was $2,400 annually. If they were operating without coverage, what is the minimum penalty multiplier applied to the premium?

A contractor completes a $12,000 deck project but the homeowner claims defective work. Under ORS 87, how long does the contractor have to file a lien for unpaid amounts?

Under ORS 701, what is the maximum amount a residential contractor can collect as a down payment before starting work?

A homeowner cancels a $8,000 roofing contract within the 3-day right to cancel period. The contractor had already ordered $1,200 in custom materials. How much can the contractor retain?

A general contractor hires a subcontractor who performs $15,000 worth of electrical work. The property owner pays the general contractor but the general contractor fails to pay the subcontractor. Calculate the subcontractor's maximum lien claim under ORS 87.

A renovation project in a 1972 home will disturb 15 square feet of painted trim. The contractor is not RRP certified. What must they do under Oregon lead regulations?

What is the minimum experience requirement for obtaining an Oregon CCB contractor license?

A homeowner hired an unlicensed contractor who abandoned a $25,000 project. The homeowner wants to file a claim with the CCB. What is the likely outcome?

A residential contractor completes a $35,000 kitchen remodel but fails to obtain required permits. Under Oregon law, what is the potential penalty?

People Also Study

Related Study Resources

Practice More Contractor Exam Questions

Access all practice questions with progress tracking and adaptive difficulty to pass your Florida General Contractor exam.

Start Practicing

Disclaimer: EstatePass is an independent exam preparation platform and is not affiliated with, endorsed by, or connected to any state contractor licensing board, the Construction Industry Licensing Board (CILB), the Department of Business and Professional Regulation (DBPR), NASCLA, Pearson VUE, PSI, or any government agency. Exam requirements, fees, and regulations change frequently. Always verify current requirements with your state's licensing board before making decisions. Information shown was last verified on the dates indicated and may not reflect the most recent changes.