BILL NUMBER: SB 354	CHAPTERED  10/05/07

	CHAPTER  299
	FILED WITH SECRETARY OF STATE  OCTOBER 5, 2007
	APPROVED BY GOVERNOR  OCTOBER 5, 2007
	PASSED THE SENATE  APRIL 23, 2007
	PASSED THE ASSEMBLY  AUGUST 30, 2007
	AMENDED IN SENATE  MARCH 26, 2007

INTRODUCED BY   Senator Margett

                        FEBRUARY 20, 2007

   An act to amend Section 7114 of the Business and Professions Code,
relating to contractors.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 354, Margett. Contractors: aiding unlicensed persons.
   Existing law, the Contractors' State License Law, authorizes the
Contractors' State License Board to conduct all functions and duties
relating to the licensing, regulation, and discipline of licensees
and requires the board to appoint a registrar of contractors to
perform specified duties. Existing law authorizes the registrar of
contractors to issue a citation, instead of initiating disciplinary
proceedings, to a licensee when the registrar has probable cause to
believe that the licensee has committed acts in violation of the
Contractors' State License Law. Existing law authorizes the citation
to include an order for payment by a licensee of a specified sum to
an injured party. Existing law provides that it is grounds for
disciplinary action for a licensed contractor to aid an unlicensed
person in evading the Contractors' State License Law or to allow an
unlicensed person to use his or her license.
   This bill would authorize the registrar of contractors to order a
licensee to pay a specified sum to an injured party if the registrar
finds that a licensee has aided an unlicensed person in evading the
Contractors' State License Law or allowed an unlicensed person to use
his or her license.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 7114 of the Business and Professions Code is
amended to read:
   7114.  (a) Aiding or abetting an unlicensed person to evade the
provisions of this chapter or combining or conspiring with an
unlicensed person, or allowing one's license to be used by an
unlicensed person, or acting as agent or partner or associate, or
otherwise, of an unlicensed person with the intent to evade the
provisions of this chapter constitutes a cause for disciplinary
action.
   (b) A licensee who is found by the registrar to have violated
subdivision (a) shall, in accordance with the provisions of this
article, be subject to the registrar's authority pursuant to Section
7099 to order payment of a specified sum to an injured party,
including, but not limited to, payment for any injury resulting from
the acts of the unlicensed person.