A specialty contractor in Hawaii wants to bid on a project worth $2,500. Do they need a contractor's license for this work?
Correct Answer
B) Yes, all contractors need licenses regardless of project value
Hawaii requires contractor licensing for all contracting work regardless of the project value, with very limited exceptions.
Why This Is the Correct Answer
Hawaii's contractor licensing law (HRS Chapter 444) requires a valid contractor's license for all contracting work. Unlike some states that exempt small projects under a dollar threshold, Hawaii has no general dollar-amount exemption. Any contracting work — regardless of project value — requires a license.
Why the Other Options Are Wrong
Option A: No, projects under $1,000 are exempt
$1,000 is not a Hawaii licensing exemption threshold. Hawaii does not have a dollar-amount exemption for small projects. This threshold exists in some other states but not in Hawaii.
Option C: No, projects under $5,000 are exempt
$5,000 is not a Hawaii exemption threshold either. This is a common distractor because some states use a $500 or $1,000 threshold — but Hawaii has no such general exemption.
Option D: Yes, but only a handyman license is required
Hawaii does not have a 'handyman license' category that substitutes for a standard contractor's license. The proper license is a contractor's license under HRS 444, and it is required regardless of project value.
Memory Technique
Hawaii = 'Always Licensed.' There is no dollar escape hatch. Whether the project is $500 or $5,000,000, you need your Hawaii contractor's license before you touch the job.
More Hawaii Questions
What is the minimum general liability insurance coverage required for Hawaii contractors under HRS 444?
A contractor's license expires on June 30th. What is the late renewal penalty fee in Hawaii?
A contractor completes $85,000 worth of work on a residential project in Hawaii. The property owner fails to pay. Under HRS 507, what is the maximum lien amount the contractor can claim?
A contractor's insurance policy has a $1 million aggregate limit and a $500,000 per occurrence limit. Two separate incidents occur: one causing $400,000 in damages and another causing $300,000. How much will the insurance cover?
Under Hawaii's mechanics lien law, a subcontractor must provide preliminary notice within how many days of first furnishing labor or materials?
A subcontractor provides $28,000 worth of plumbing work but is not paid by the general contractor. Under HRS 507, what is the priority of the mechanics lien compared to a mortgage recorded before construction began?
A contractor discovers contaminated soil during excavation of a residential property. Under Hawaii environmental regulations, who must be notified immediately?
A contractor working on a project in a Hawaii historic district must obtain approval from which entity before beginning work?
A contractor fails to obtain required building permits before starting work. The property owner discovers this and terminates the contract. Under Hawaii law, what is the contractor's right to payment?
A contractor has 12 employees with a total annual payroll of $480,000. If the workers compensation rate is $12.75 per $100 of payroll, what is the annual premium?
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