A new law aimed at construction safety will make it harder for a contractor whose license has been revoked to simply turn around and work under the license of another business. The law takes effect on Jan. 1, 2007.
Under the new measure, A.B. 2897, an individual who was a member, officer, director, owner, or partner of a firm where license was revoked, and who meets specified criteria, will be barred from performing acts regulated by the law on behalf of a licensee, except as a bona fide nonsupervising employee. The law also requires such individuals to notify prospective employers of the license revocation, prior to becoming employed by an entity that is subject to licensure by the board. What’s more, a licensee is prohibited from knowingly hiring such individuals, except as bona fide nonsupervising employees.
Violations of the new law will carry fines of up to $4,500 and/or up to one year in jail.
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