Legal Memorandum: Recovery from a Licensed Contractor in CA

Issue: Under California law, is a plaintiff permitted to seek recovery from a licensed contractor under Cal. Bus. & Prof. Code 7031(b)?

Area of Law: Business Organizations & Contracts, Litigation & Procedure
Keywords: Licensed contractor; Contracts; California Contractors' State License Law (CSLL)
Jurisdiction: California
Cited Cases: 36 Cal. 4th 412
Cited Statutes: Cal. Bus. & Prof. Code 7031(b)
Date: 11/01/2008

In MW Erectors, Inc. v. Niederhauser Ornamental & Metal Works Co. (2005) 36 Cal. 4th 412, the court held that “the CSLL*FN1 does not automatically void all contracts entered by unlicensed contractors.  36 Cal. App. 4th at 440.  “No compelling reason exists to conclude that the public protective services of the CSLL can only be served by deeming such contracts illegal, void and unenforceable on that basis alone.”  Id. at 441.


*FN1 California  Contractors’ State License Law (CSLL)


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