An Intermediate General Contractor in NC is considering a $425,000 commercial renovation project. What is their legal status regarding this project?
Correct Answer
A) Can bid and perform the work
Intermediate General Contractors in NC can work on projects up to $500,000, so a $425,000 project is within their license limits.
Why This Is the Correct Answer
Intermediate General Contractors in NC are licensed for projects up to $500,000. Since $425,000 is below the $500,000 cap, the contractor can legally bid and perform this work without any additional requirements.
Why the Other Options Are Wrong
Option B: Must partner with an Unlimited contractor
There is no requirement for an Intermediate contractor to partner with an Unlimited contractor when the project falls within their license limit. Partnering would only be necessary if the project exceeded $500,000.
Option C: Cannot bid - exceeds license limit
The project does not exceed the license limit. The $500,000 cap for Intermediate General Contractors means $425,000 is within their authorized scope.
Option D: Can bid but needs additional insurance
NC licensing tiers are based on project dollar limits, not additional insurance requirements. The standard licensing and insurance requirements already apply; no special additional insurance is triggered by project size within the allowed tier.
Memory Technique
Use the mnemonic 'LIU' for the three NC tiers in ascending order: Limited ($125K), Intermediate ($500K), Unlimited (no cap). Think of the word 'LIU' as 'leveling it up' — each tier unlocks a higher project value.
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Under NC General Statutes Chapter 87, what is the minimum experience requirement for an individual to qualify as a qualifying party for an unlimited general contractor license?
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