A contractor's license expires on June 30th. They submit renewal application and fees on July 15th. What additional penalty must they pay?
Correct Answer
D) 50% of the renewal fee
South Carolina charges a late penalty equal to 50% of the renewal fee for license renewals submitted after the expiration date.
Why This Is the Correct Answer
South Carolina law imposes a late renewal penalty of 50% of the standard renewal fee when a contractor submits their renewal after the expiration date. This penalty applies regardless of how shortly after expiration the application is filed — even a submission 15 days late triggers the 50% surcharge.
Why the Other Options Are Wrong
Option A: No penalty if within 30 days
South Carolina does not provide a grace period that waives the late penalty. Even renewals submitted within 30 days of expiration are subject to the 50% penalty. There is no penalty-free late window under SC contractor licensing rules.
Option B: 100% of the renewal fee
A 100% penalty (doubling the renewal fee) is not the South Carolina standard for late renewal. Some states use a 100% penalty, but South Carolina's penalty is 50% of the renewal fee, not the full renewal fee amount again.
Option C: Must retake the examination
Retaking the examination is not required solely because of a late renewal in South Carolina. Examination retakes may be required if a license lapses for an extended period (typically more than one renewal cycle), but a brief post-expiration renewal triggers only the financial penalty.
Memory Technique
Remember 'SC charges half for being late' — South Carolina adds half (50%) of the renewal fee as the late penalty. Think of the state abbreviation SC as 'Sixty-Cents on the dollar... wait, no — Fifty percent Charge.'
More sc-supplement Questions
What is the maximum contract value a Tier 1 residential contractor can undertake in South Carolina?
Under South Carolina law, a contractor discovers a material defect in their work 6 months after project completion. The owner demands immediate correction. What is the contractor's legal obligation?
A contractor has 15 employees and annual payroll of $780,000. The workers compensation rate is $4.25 per $100 of payroll. What is the annual premium?
According to SC building codes, what is the maximum allowable deflection for a residential floor joist with a 16-foot span under live load?
A subcontractor completes $25,000 of electrical work but is not paid by the general contractor. The general contractor was paid by the owner. What is the subcontractor's lien priority against the property?
A contractor receives a stop work order from the building official. Work continues for 3 additional days before stopping. What penalty applies per South Carolina building codes?
Under South Carolina workers compensation law, which of the following employees would be exempt from coverage requirements?
Under South Carolina contractor licensing law, how many hours of continuing education are required annually for license renewal?
A Class B contractor wants to bid on a $750,000 commercial project. What must the contractor do to be eligible?
A contractor holds a Class C license allowing projects up to $200,000. Due to change orders, a project increases from $185,000 to $235,000. What action is required?
People Also Study
Business & Financial Management
120 questions · 70% to pass
Contract Administration
60 questions · 70% to pass
Project Management
60 questions · 70% to pass
Related Study Resources
Previous Question
Under South Carolina building codes, what is required for construction in flood hazard areas?
Next Question
A South Carolina contractor has 8 employees with a total annual payroll of $320,000. If the workers compensation rate is 4.5% for their classification, what is their annual premium?