By Shauna Krause, President, Capitol Services, Inc.
It might sound like the same license, but when crossing state lines, it’s real meaning might be different in important ways. Our other questions illustrate why reading contractor law, re-reading and then calling an expert is often the best finish!...
Q: We have a General Building license “B” in California, and we have been approached to do some work for one of our large developers in Nevada. They are telling us we need to obtain “B-2” and “B-6” licenses in Nevada. Does that sound correct to you? Doesn’t NV have just a General License which is equivalent to California’s?
A: Nevada has a “B” license which is equivalent to the “B” in CA. However, in order to qualify for Nevada’s full “B” license, your Qualifier will need to show proof, in the way of references/verification statements, that they have done work on structures over three stories in height. If your Qualifier does not have that relevant experience, the “B-2” along with the “B-6” would be the appropriate classifications.
Q: Regarding the NV License that you are helping us with currently, I was reviewing the statute and noticed that there is a reference to an application regarding conversion of business organization of licensee (“NAC 624.667 Submission of application regarding conversion of business organization of licensee. A licensee shall submit an application to the Board regarding a conversion of the licensee conducted pursuant to chapter 92A of NRS before or within 30 days after such a conversion is made.”).
Can this application be used if the licensee merges with and into a new entity (i.e., can our currently licensed entity file this application and then merge with the new entity to hold the license), or is the application only meant for conversions (i.e., an entity converts from an LLC to a corporation)?
A: That latter, the conversion application only applies if the entity is converting from an LLC to a corporation, vice versa, or if the entity is converting in order to change its jurisdiction, etc. The conversion application will not work in your situation. We will need to stay on the same course of obtaining a brand-new license for your newly formed entity.
Q: I was looking into CA Business and Professions Code 7068.1(a)(3) which states that a person can act in the capacity of qualifying party if “the majority of the Partners, Officers, or Managers are the same”. Where are those changes to the Officers to made? With the CSLB or with the Secretary of State?
A: Both! The Officers listed with the CA Secretary of State need to match what you have listed on your Contractors License.
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While knowledge is power, knowing where to go for the answers is half the battle. Get expert assistance immediately when you call 866-443-0657, email info@cutredtape.com, or write us at Capitol Services, Inc., 3609 Bradshaw Rd, Ste H, #343, Sacramento, CA 95827. Search past columns at www.cutredtape.com.