What is the maximum fine that can be imposed for contracting without a license under B&P Code Section 7028?
Correct Answer
B) $15,000
Under B&P Code Section 7028, the maximum fine for contracting without a license is $15,000.
Why This Is the Correct Answer
B&P Code Section 7028 establishes the maximum civil penalty for contracting without a license at $15,000. This fine can be imposed by the CSLB per violation and is designed to deter unlicensed activity that exposes consumers to unqualified contractors. Willful or repeated violations can also result in criminal misdemeanor charges in addition to the civil fine.
Why the Other Options Are Wrong
Option A: $5,000
$5,000 is below the statutory maximum. While this figure might seem reasonable, B&P Code Section 7028 specifically sets the ceiling at $15,000 per violation.
Option C: $20,000
$20,000 exceeds the B&P Code Section 7028 maximum. This figure may be confused with fines under other code sections or combined penalties from multiple violations.
Option D: $10,000
$10,000 is a plausible-sounding figure but does not match the $15,000 statutory maximum established under B&P Code Section 7028.
Memory Technique
Think '$15K to stay legit' — a $15,000 fine for operating without a license. Picture a CSLB inspector handing a contractor a bill for $15,000. The number 15 is also easy to remember as three groups of $5,000, reflecting the severity of the offense.
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