Under Arizona Revised Statutes, what is the maximum monetary penalty the ROC can assess for a single violation of contracting without a license?
Correct Answer
D) $10,000
A.R.S. 32-1154 allows the ROC to assess civil penalties up to $10,000 for contracting without a license.
Why This Is the Correct Answer
A.R.S. 32-1154 authorizes the Registrar of Contractors to assess civil penalties up to $10,000 per violation for contracting without a license. This significant penalty reflects Arizona's strong stance on protecting consumers from unqualified contractors.
Why the Other Options Are Wrong
Option A: $1,000
$1,000 significantly understates the maximum penalty authorized under A.R.S. 32-1154. A penalty this low would provide insufficient deterrence against unlicensed contracting and does not reflect the statute.
Option B: $2,500
$2,500 is not the maximum civil penalty established by A.R.S. 32-1154 for unlicensed contracting. This figure may be confused with penalties for other lesser violations or with other states' statutes.
Option C: $5,000
$5,000 is half the actual maximum and is a common distractor. While $5,000 may seem like a substantial penalty, Arizona's statute authorizes double that amount β $10,000 β for a single unlicensed contracting violation.
Memory Technique
Remember '$10,000 = no license, no mercy.' Arizona takes unlicensed contracting seriously β the maximum fine is a five-figure number: $10,000. Think 'ten thousand reasons to get licensed.'
More Arizona Questions
What is the current minimum bond amount required for a residential contractor license in Arizona?
A contractor files a preliminary 20-day notice on January 15th for work that began on January 10th. The preliminary notice was delivered to the owner on January 18th. Under A.R.S. 33-981, is this notice valid for lien purposes?
Under Arizona law, which entity has the authority to investigate complaints against licensed contractors and impose disciplinary actions?
Under Arizona ROC regulations, what is the maximum amount a residential contractor can collect as a down payment before beginning work?
A contractor's license expires on June 30th. The contractor submits a renewal application on July 15th. Under Arizona ROC regulations, what penalty applies?
A contractor's workers compensation policy lapses for 15 days due to non-payment of premiums. Three employees are injured during this period, resulting in $85,000 in medical costs. Under Arizona law, what is the contractor's potential liability?
According to A.R.S. Title 32, which of the following can serve as a qualifying party for multiple contracting businesses?
A residential contractor enters into a contract for $15,000 to remodel a kitchen. Under Arizona law, what is the required down payment limitation?
A residential contractor completed $45,000 in work and materials. The homeowner paid $35,000 but disputes the remaining $10,000. How long does the contractor have to file a mechanics lien after recording the notice of completion?
A contractor has 8 employees working on various projects. The annual workers' compensation premium is $24,000. If the contractor fails to maintain coverage, what is the maximum daily penalty exposure?
People Also Study
Business & Financial Management
120 questions Β· 70% to pass
Contract Administration
60 questions Β· 70% to pass
Project Management
60 questions Β· 70% to pass
Related Study Resources
Previous Question
A contractor receives a Notice of Claim for lien from a subcontractor for $12,000. Under A.R.S. 33-981, if the contractor wants to bond around the lien, what is the minimum bond amount required?
Next Question
Under Arizona law, a contractor completes a $35,000 home addition on March 15th. The final payment of $5,000 becomes due April 1st but remains unpaid. If the contractor files a lien on July 20th, what is the status of this lien?
