Under B&P Code Section 7125, what is the maximum administrative penalty that can be assessed for unlicensed contracting activity?
Correct Answer
B) $15,000
B&P Code Section 7125 allows for administrative penalties up to $15,000 for unlicensed contracting violations.
Why This Is the Correct Answer
B&P Code Section 7125 explicitly caps the maximum administrative penalty for unlicensed contracting violations at $15,000. This is a statutory ceiling designed to deter unlicensed activity while keeping the penalty within a defined administrative (not criminal) framework.
Why the Other Options Are Wrong
Option A: $20,000
$20,000 exceeds the statutory maximum under Section 7125. This figure is a distractor that sounds plausible but is not supported by the code.
Option C: $5,000
$5,000 is significantly below the maximum allowed. While smaller penalties may be assessed for minor or first-time violations, it is not the ceiling set by Section 7125.
Option D: $10,000
$10,000 is a common distractor that falls between other answer choices but does not represent the statutory maximum under Section 7125.
Memory Technique
Think '7125 = 15K max.' The digits 1+2+5 = 8, and $15,000 is the answer. Or remember: '15 is the limit under 7125.'
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