“Unlicensed contractors are a risk to consumers who hire them to assist with home improvement projects. Licensed contractor shave passed tests and background checks and have workers’ comp insurance when employing others to help.”
CSLEA President Alan Barcelona
BAKERSFIELD –On August 14-15, 2024, the Contractors State License Board (CSLB) along with the Kern County District Attorney’s Office and the California Department of Insurance conducted an undercover sting operation at a home in Bakersfield that found 12 people allegedly contracting without a license.
The 12 individuals were issued a Notice to Appear in criminal court as a result of the They submitted bids as high as $5,000 for jobs including electrical work, painting, flooring, and landscaping. California law requires contractors who advertise or contract for construction work valued at $500 or more (including labor and materials) to be licensed. The individuals advertised their services without stating that they are unlicensed, which is in violation of state law.
Unlicensed contractors can face legal consequences including administrative fines up to $15,000 and misdemeanor charges with sentences of up to six months in jail and a $5,000 criminal fine. Repeat offenders face harsher penalties, including a mandatory 90-day jail sentence and a fine of $5,000 or 20 percent of the contract price – whichever is greater.
Additionally, six of the 12 individuals were issued a Stop Order precluding performing work with employees because they did not have the required workers’ compensation insurance. Two unlicensed individuals requested excessive down payments. In California, a down payment for home improvement contracts cannot exceed $1,000 or 10 percent of the contract price, whichever is less.
“Sting operations like these are crucial to protecting consumers and supporting licensed contractors who comply with consumer protection requirements,” said David Fogt, CSLB Registrar. “CSLB will continue to take action against those who seek to operate outside the law, and we encourage consumers to always verify a contractor’s license before hiring them.”
Consumers should use CSLB’s online tools to check the license status of any contractor they are considering hiring.
