Under B&P Code 7159, which of the following must be included in a home improvement contract for work valued at $2,500?
Correct Answer
D) The contractor's license number and business address
B&P Code 7159 requires home improvement contracts to include the contractor's license number and business address among other mandatory provisions.
Why This Is the Correct Answer
B&P Code 7159 specifies numerous mandatory elements for home improvement contracts. Among these, the contractor's license number and business address are explicitly required. These identifiers protect consumers by ensuring they can verify the contractor's license status with the CSLB and have an official address for dispute resolution or legal service.
Why the Other Options Are Wrong
Option A: Only the total contract price
Including only the total contract price is insufficient. B&P Code 7159 requires a comprehensive set of disclosures, not just the price. A contract that contains only the price is materially deficient and likely unenforceable.
Option B: Proof of workers' compensation insurance
While contractors are required to carry workers' compensation insurance, proof of that insurance is not listed as a mandatory element that must be included within the text of the home improvement contract itself under Section 7159. The licensing requirement handles insurance verification separately.
Option C: A detailed materials list with supplier names
A detailed materials list with supplier names is not required by B&P Code 7159. The contract must describe the work and materials in general terms, but specifying supplier names is not a statutory requirement and goes beyond what the code demands.
Memory Technique
B&P 7159 = 'Who are you and where are you?' — the contract must identify WHO the contractor is (license number) and WHERE they are (business address). These two pieces of information are the consumer's lifeline for verification and accountability.
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