MNO Corporation wants to obtain a contractor license. The qualifying individual owns 15% of the corporate stock. Is this sufficient?
Correct Answer
D) No, must own at least 20%
Under B&P Code Section 7068.1, a qualifying individual for a corporation must own at least 20% of the voting stock.
Why This Is the Correct Answer
Under B&P Code Section 7068.1, a qualifying individual for a corporation must own at least 20% of the voting stock.
More ca-license-law Questions
A Class C-10 electrical contractor has annual gross receipts of $3.2 million. What is the required bond amount under current California law?
Under B&P Code Section 7125.4, what is the fee for initial Home Improvement Salesperson registration?
According to B&P Code Section 7125, what is the maximum penalty the CSLB can impose for contracting without a license?
A home improvement contract for $8,500 requires a 3-day right to cancel notice. The contract is signed on Tuesday at 2 PM. When does the cancellation period expire?
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A homeowner discovers that an unlicensed contractor performed $25,000 worth of work on their property. Under B&P Code Section 7031, what remedy is available to the homeowner?
A Class B general building contractor wants to perform electrical work valued at $750. According to the B&P Code, this contractor:
A contractor's qualifying individual leaves the company. How many days does the contractor have to replace them before the license becomes invalid?
According to B&P Code Section 7031, what happens to a contractor's right to payment if they perform work while unlicensed?
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A contractor's license bond has been paid out to a claimant for $8,000. How many days does the contractor have to restore the bond to its full amount to avoid license suspension?
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A contractor's surety bond is $25,000. If a claimant is awarded $18,000 and bond costs are $2,000, what amount remains available for future claims?