Illegal Contractors Advertising on Internet Still Being Caught
This is published from an from a email alert we received from the Contractors State License Board. See the link below if you would like to sign up for these kind of alerts.
Illegal Contractors Advertising on Internet Still Being Caught in Los Angeles Area CSLB Stings
Consumers urged to “Check the License First” before hiring
SACRAMENTO – Three more illegal contractors were caught in a Rolling Hills Estates undercover sting operation just one month after the Contractors State License Board (CSLB) arrested eight individuals who were contracting without required state licenses and other legal infractions in the same location.
CSLB’s Statewide Investigative Fraud Team (SWIFT)conducted the one-day sting in the southern Los Angeles area on June 19, 2013, with the assistance of the Los Angeles County Sheriff’s Department and the Department of Consumer Affairs’ Division of Investigation.
Undercover CSLB investigators sought bids for work on flooring, concrete, fencing, tree-trimming, and garage doors at the residential sting property. Suspects were contacted through business cards and ads that appeared in the online bulletin board craigslist.org.
“Property owners considering improvement projects should always consult CSLB’s online instant license check to ensure the individual is licensed and that their contractor license is in good standing,” said CSLB Registrar Steve Sands. “Consumers must remember that in California, CSLB-licensed contractors are required for all home improvement jobs totaling $500 or more in combined labor and material costs.”
Illegal contractors often put legitimate, tax-paying contractors at a competitive disadvantage, and, if a contractor isn’t properly licensed and insured, the homeowner could pay more than expected to get the job done right or could be liable for accidental onsite injuries. It only takes a few seconds to check a contractor license on CSLB’s website for peace of mind.
Two of the three suspects face misdemeanor charges of contracting without a license (Business and Professions Code section 7028). First-conviction penalties for contracting without a license include up to six months in jail and/or up to $5,000 in fines; subsequent convictions bring harsher penalties. One suspect was cited for requesting an excessive down payment (Business and Professions Code section 7159.5 (a)(3)(b)). The legal down payment limit is 10 percent or $1,000, whichever is less. Also, one citation was issued for failure to have the required CSLB Home Improvement Salesperson registration (Business and Professions Code section 7153). It is a misdemeanor for any home improvement company salesperson in California to write contracts for their employer without being CSLB-registered.
CSLB conducts sting operations throughout the state each week to protect consumers, help level the playing field for legitimate contractors, and to curb the underground economy.
The suspects must answer to the various illegal contracting charges on September 3, 2013, in Los Angeles Superior Court, 825 Maple Avenue, Torrance, CA 90503
Visit CSLB’s website for tips about how to hire a contractor.
The Contractors State License Board licenses and regulates California’s 300,000 contractors, and is regarded as one of the leading consumer protection agencies in the United States. It operates under the umbrella of the California Department of Consumer Affairs. In fiscal year 2011-12, CSLB helped recover nearly $36 million in ordered restitution for consumers. More information and publications about hiring contractors are available on CSLB’s website or by calling (800) 321-CSLB (2752). You also can sign up to receive CSLB email alerts.
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