AZ, NV & CA Contractor Licensing, Business Names & Asbestos Requirement

When a client says they will ‘take our word for it’ there is no greater compliment. With more than 30 years assisting contractors at Capitol Services we know the greatest measure of success is satisfied customers. It’s just one of the reasons contractors often come back with another question knowing they will find an answer…

 

Q: I used to work for our local Builder’s Exchange and because of that, I know you’re the right person to address this question to: If a contractor is using their last name as their business name – “Smith Construction Company” owned by John Smith – is a fictitious business name statement required?

 

A: I looked up the individual you are referring to and he is licensed under the company name of “Smith Construction Co”. The CSLB does not require proof that he has a fictitious business name on file; however, we suggest that he file a dba with the city or county where he is doing business.

Q: You helped us get our license in CA, NV, and AZ and we’ve had an issue come up recently.  We have re-structured our corporation and ownership has shifted.  Are we required to inform the Contractors Board or file something with the Secretary of State’s offices to inform them of the change?

 

A: Nice to hear from you again.  You’re not required to inform the CSLB or the Secretary of State of your ownership changes. However, if officers have changed, then you should update both the Contractor’s Board and the Secretary of State in all three states. Please note that ownership changes may affect tax liability so we suggest also conferring with a tax specialist.

 

Q:  At a school in the State of Nevada, a 1 sq ft of possible ACM drywall/joint compound was removed without a contractor’s license for abatement; can they be cited for that?  Isn’t non-regulated asbestos less than 10 sq ft?

 

A:  The Nevada Statute that deals with your question states that if a licensed contractor who is engaging in activity for the abatement of asbestos has not obtained a contractor’s license, which is classified for the removal of asbestos (sub-classification A-23), the licensed contractor may not: “Remove more than 25 linear feet or 10 square feet of asbestos-containing material, as defined in 29 C.F.R. 1926.1101(b)”

Q:  I just purchased a company, which provides construction materials to contractors.  The company never had a contractor’s license and I was told they did not require one.  Now a contractor who wants to use our materials says he thinks I should be licensed and does not want to accept my bid unless I can prove whether a license is required.  He has read your column for years and said he’ll take you at your word to settle this issue.  Do I need a license?

 

A:  Based on our discussion, it does not appear your company is required to hold a contractors license since you’re only supplying these materials.  To cite ‘chapter and verse’ in the B&P Code, 7052 states a contractor’s license is not required for any person “who only furnishes materials or supplies without fabricating them into, or consuming them in the performance of the work of the contractor”