I am trying to find what different states require of there home improvement contractors.
My reason for asking is, I’m a contractor operating in Maryland where we have some pretty strict laws… ever see the movie “Tin Men”??
I have been contacted by a large National company who wants me to install products for them. They will contract with the homeowner, supply material directly and pay me a set hourly rate. They have no licenses in Maryland and I’m having a rather difficult time explaining that they need one.
So the question is…. can a company contract for a home improvement in your state and not have a license?
Thanks
Replies
In WI you just have to show your Liability insurance and pay $30 bucks and you are a contrator. It helps to have a few tools also.
Liability ins. is no problem for this company.
Would it be fair to say they would have to post the 30 bucks before they would be able to contract with a homeowner?
This whole subject is of great interest to me because I cannot see how they can manage the different laws regarding home improvement in each state.
NJ is liability ins. and $90 fee.
But I think if all you do is sub-contract out all work, you don't need any liscense.
Only the hands-on folk need one.
So if I understand the regulations right, in NJ the company you're talking with probably wouldn't need the liscense, but you would.
The $90.00 fee is not a problem,the cost of the insurance is for retired or part time guys like myself. The state requires $500,000.00 in liability insurance,about $800.00 a year.Not much money for a full time contractor,but put me in full retirement now.
The only work I can do is for someone else.I've inquired if there are exceptions for people like myself. So far the only reply was " we want to put you fly by nights out of business".I installed three new locks for his mom two years ago after her home was broken into,charged her $100.00 for labor. Next time I guess i'll have to charge $990.00 for labor,takes care of insurance,fees and labor.
mike
I know a couple of retired guys who make a few bucks doing odd jobs.
I don't know if they've gotten a liscense, but I'm guessing not.
Once again, the honest carpenter has to pay for the few dishonest contractors out there.
Too bad we can't make politicians get a liscense with liability ins. for when THEY screw up.
If you want to pull a permit you have to have a license. You pay only $30 per year for the license and then the permit costs which depend on the costs of the job. I'm talking about carpentry jobs. Mechanical subs have other requirements.
Amazingly enough the over regulated state of CT requires no insurance, they only "recommend" it. Write a check and you too are a contractor... (about $250 IIRC)
"So the question is.... can a company contract for a home improvement in your state and not have a license?"
MO has no contractors license or registration at all. So the question is moot. However, some of the city do have one or the other.
But you asked a very specific question. Can a "company contract for" (ie, write a contract for home improvement work)? That is much different than does a company need a license to do home improvement WORK.
Depending on the exact wording the state laws they may need to licensed for one, but not the other, or for both.
I have not done much work in MD but from what I remember the MHIC registration was pretty prevalent.
I would check with the MHIC, they probably have some literature or even a help line that you could use to get more info.
Jon Blakemore
RappahannockINC.com Fredericksburg, VA
I know MD Home Improvement Law pretty well, and have been in contact with DLLR.
What this company wants to do in MD is not legal. I'm more interested in other states as they are rolling this option out nationwide.
Sorry, I must not have read your post carefully enough.
Jon Blakemore RappahannockINC.com Fredericksburg, VA
I live in Florida and use to be in charge of the licensing branch for our county building dept. Florida is one of the most developed licensed states. Costs me about $3k a year just to maintain my license as active. No company is able to obtain any permits without a "qualifier" i.e. a licensed contractor who pulls the permit.
Washington: buy liability insurance, send proof of same to Dept. of Licensing with a few bucks and you're a contractor. I think they'd let me pull a permit for a skyscraper if I wanted to.
MD allegedly has reciprocal licensing agreements with several states, but I have never been able to figure out which states those are. Have looked into several states licensing requirements, as MD is getting too crowded. Most seem less stringent, though as was pointed out, there are local requirements. When you say the company wants to do something illegal in MD, do you mean the product they want to install is illegal or that they want to flount the MHIC law and do it through unlicensed contractors?
The company proposes to contract for home improvements without a license.
That is not allowed in Maryland.
You have pointed this out to them and they intend to break the law regardless, and you still want to work for them?On another note, how effective is the MHIC in enforcement? I have never had a complaint filed against me, but this year I seem to be meeting a few more customers who have filed a claim because their contractor skipped or went out of business.
Big corporation with lots of little executives. My contact point is aware of the issues but since this profit center is his brainchild he has no incentive to point out its flaws.
In Minnesota, it depends on how narrow (specialized) the focus of the home improvement company is. A company can specialize in any one of the following without a license:
Excavation
Masonry
Carpentry
Interior Finishing (flooring, cabs, counters, insulation, painting, etc.)
Exterior Finishing
Drywall & Plaster
Garage Doors & Openers
Pools, Spas, & Hot Tubs
ETC.
Sounds nice, but it is hard to not cross a line and end up practicing in two categories. For instance, Carpenters can hang drywall, but not tape it. Interior finishing includes installing cabinets, but not trim carpentry. So if I were the cab guy, I could install cabs & crown on cabinets--but not casing & base in the same kitchen. Funny rules.
Roofers, and any company with work in two or more categories need licenses, most subs do not (GC has the license).
In Connecticut, you have to promise that you're not a felon. That's about it.
Andy
"Never try to teach a pig to sing. It wastes your time and annoys the pig." Robert A. Heinlein
"Get off your dead #### and on your dying feet." Mom
In NY, licenses are generally handled on the country level - and there are lots of counties in the state. You are supposed to include your license # in any written advertisements in soime counties.
The way the "big guys" like Home Depot, Sears, etc. get around it is to say "License # is available on request." Then they get the local subcontractor to provide the license # and cover it.
Don't know if that helps you or not. If you are doing the work for them, it's your neck on the line. Protect it.
Don K.
EJG Homes Renovations - New Construction - Rentals
No, not a big box. Depot tried that in Maryland and MHIC put the screws to them. They have 1 employee who carries their license. Bet he lives comfortably.
I can't name names so let me try to clear this up somewhat.
Say a garage door company had a 1 year warrenty parts and labor on their product and a 10 year parts only. You make a claim for a over 1 year old defective product, which they will ship you at no cost.... but give us a credit card number and we will be happy to send over someone to install your replacement.
In the past said garage door company just gave out names of qualified installers and this was a way of making up for their sub-par pay on warrenty work. Now they want the whole cake and in the state of Maryland what they are doing is illegal.
If I continue to work for them I am putting my license in jeopardy.
SLEDGE-
I only mentioned what has been done in NY. You obviously know what is required, and the ways that can get around it.
Good luck to you. I hope you make it work -- legally, and for your benefit.
Don K.
EJG Homes Renovations - New Construction - Rentals
Ooops... I must've missed that part.
;)
That's OK - They don't even enforce that requirement on the governor <G>Andy
"Never try to teach a pig to sing. It wastes your time and annoys the pig." Robert A. Heinlein
"Get off your dead #### and on your dying feet." Mom
LOLLLLLLLL... I almost (thankfully) forgot about him.
Currently, nothing is required in NH (the "Live Free or Die" state), although there has been talk about it in Concord.