|Term|| Acronym|| Definition |
| Accusation || ||
A public written statement of charges CSLB has filed with the Office of the Attorney General that specifies statutes and rules
a contractor or home improvement salesperson is alleged to have violated. It may result in a hearing to determine whether a
licensee has violated the law and whether the license should be revoked, suspended, and/or placed under some type of
restriction by the Registrar. |
| Active License Status || ||
Contractor is licensed and able to perform work. |
| Administrative Law Judge || ALJ || The hearing officer provided by the Office of
Administrative Hearings to decide CSLB disciplinary cases. |
| Alternative Dispute Resolution || ADR || A process to economically and efficiently resolve
disputes outside of court, such as arbitration, mediation, conciliation, negotiation, etc. |
| Asbestos Certification || ASB || The certification required by contractors who perform asbestos
related work. Before performing any asbestos related work, a licensee must also be registered with the Department of
Industrial Relations, Division of Occupational Safety and Health. |
| Attorney General, Office of the || AG || The state agency that represents the CSLB in
administrative and some criminal matters before trial, appellate and supreme courts. |
| Bond of Qualifying Individual || BQI || The bond required for the qualifying individual who is
a responsible managing employee (RME) or is a responsible managing officer (RMO) who owns 10% or less of the voting
stock/equity of the license entity. |
| Business and Professions Code || B&P || The section of the California Codes where the
Contractors License Laws can be found. |
| California Code of Regulations || CCR || The code, which includes CSLB rules and regulations.
| California Licensed Contractor || CLC || A quarterly newsletter published by the CSLB.
| Certification || ||
The Asbestos Abatement or Hazardous Substance Removal certifications offered to licensed contractors who hold
classifications directly related to this type of work. |
| Certificate of Insurance || ||
A certificate issued by a contractor’s insurance company and submitted to the CSLB as proof of workers’ compensation
| Civil remedies || ||
Usually refers to money damages sought through suit in civil court (small claims court, municipal court, superior
| Classification || ||
Refers to the type of work a contractor may perform, for example, plumbing, electrical, etc. There are 43 license
| Complaint || ||
A written complaint filed with the Board alleging failure of a licensed contractor to fulfill the terms of an
agreement. Alleged violations in a complaint could involve poor workmanship; requiring a down payment in excess of amount
allowed by law; abandonment; failure to pay subcontractors or material suppliers; building code violations; use of false,
misleading or deceptive advertising; violations of the Home Improvement Act; and violations of the Swimming Pool Act, etc.
| Complaint Disclosure || ||
Process approved by law, which allows the Board to make information available to the public about contractors with
probable violations or a history of violations. |
| Contractor’s Bond || CB || A bond required from all active licensees. Consumers can claim against
the bond for violations of the Contractors License Law by a licensee.
| Criminal Action || ||
A misdemeanor or felony filing in which a contractor is charged with a violation of criminal law in order to punish
violators by fine and/or imprisonment, to compel restitution and to deter (discourage) others from committing similar acts.
| Default || ||
A situation where the respondent fails to appear to provide a defense.
| Disciplinary Bond || DB || A bond that is required when disciplinary action has been taken
against a license.
| Doing Business As || DBA || The name under which a licensee will conduct business.
Example: John Smith dba Smith Construction or ABC Associates Inc. dba ABC Construction Services.
| Enforcement Representative
|| ER || The staff that investigate complaints.
| Entity || ||
The various types of businesses that can be licensed, such as, sole owner (individual), partnership, corporation or
| Exemption from Workers’ Compensation || ||
The form a contractor who does not hire employees must file with the CSLB.
| Hazardous Substances Removal Certification || HAZ || The certification required by
contractors who perform hazardous substance removal and remedial action. Only contractors holding certain license
classifications can obtain HAZ certification.
| Home Improvement || ||
Home improvement means the repairing, remodeling, altering, converting, modernizing of, or adding to, residential
property land or structures. It also covers providing home improvement goods and services.
| Home Improvement Salesperson || HIS || A person registered by the CSLB and employed by a
licensed contractor to solicit, sell, negotiate, or execute home improvement contracts.
| Inactive License Status || ||
The license status in which the contractor is still licensed but is not permitted to perform work.
| Industry Expert || IE || Licensed professionals recruited by the Board to inspect a job and
render an opinion on specific items of a complaint as directed by the CSLB’s Enforcement Representative.
| Injunctions || ||
A court order requiring individuals and/or firms to stop doing certain acts on grounds these acts are against the law.
| Issue Date || ||
The date a license was originally issued.
| Joint Venture || JV || A license issued to a combination of already licensed companies or
individuals. These companies or individuals must hold an active and current license at all times.
| Licensee Citation || ||
A written document that specifies violations of law performed by a licensee. A citation usually contains a civil
penalty and/or an order to correct.
| Mandatory Settlement Conferences || ||
An informal meeting in which the contractor must participate to settle a complaint and avoid a formal hearing.
| Non-Licensee Citation || ||
A written document that alleges a violation of law by a non-licensee and usually including an order to stop performing
| Non-Licensee Citation Settlements || ||
A settlement with the CSLB for less than the original citation amount.
| Notice to Appear || NTA || The letter mailed to candidates informing them of the time,
date and location of their examination. A notice to appear is also used when a person is arrested for a misdemeanor and
promises to appear in court rather than be taken in front of a magistrate.
| Occupational Analysis || OA || A description of current work performed by contractors in terms of
important tasks and knowledge. The OA is used to determine the content of licensing examinations.
| Office of the Attorney General || AG || The state agency that represents the CSLB in administrative
and some criminal matters before trial, appellate and supreme courts.
| On-Site Negotiation Program || OSN || A program that brings together the complainant, the
contractor and an industry expert at the job site where the CSLB’s Enforcement Representative attempts to negotiate a
resolution to a complaint.
| Owner-builder || ||
Any individual, or group of individuals, who own the property on which they plan to construct, alter, repair, improve,
or remodel a building or structure.
| Partnership || PT || A license that is issued to a group of individuals or companies.
| Qualifier || ||
The individual who qualifies a license by demonstrating the necessary experience and knowledge for the classification.
| Qualifying Individual || ||
The individual who meets the experience and examination requirements for a license. Every active license must have a
| Qualifying Partner || QPT || Title of the qualifying individual on a partnership license.
| Reissue or Reassigned Date || ||
The date a license is reissued or reassigned. Under specific provisions of the Contractors License Law, a license may
be reissued or reassigned.
| Respondent || ||
A licensee or registrant responding to a complaint made to the CSLB.
| Responsible Managing Employee || RME || Title of an employee who serves as the qualifying
individual on a sole owner, partnership or corporate license.
| Responsible Managing Officer || RMO || Title of an officer who serves as the qualifying
individual on a corporate license.
| Statement of Issues || SOI || A written statement that specifies statutes and rules that an
applicant for licensure or registration is alleged to have violated. The purpose of a statement of issues is to initiate a
hearing to determine whether a license will be issued or denied.
| Sting || ||
Undercover operation where CSLB staff invites suspected unlicensed contractors to bid on jobs that ordinarily require
licensure. When unlicensed individuals offer to perform work that requires a license, they are issued Notice to Appear
misdemeanor citations and ordered to appear in municipal court.
| Structural Defect || ||
According to California Code of Regulations (CCR) 861.5, a “structural” defect is defined as:
1. A failure or probable failure in the load bearing portions of a structure; and,
2. The failed portions were not constructed in compliance with the code (this requires a violation notice from the
building official); and
3. The failure or condition results in the inability to use the affected portion of the structure for the purpose for
which it was intended.
Also see SB 800 effective January 1, 2003, for definitions of structural defect in new home construction.
| Sweeps || ||
Operations by SWIFT Enforcement Representatives to verify license status of contractors working in a specific
geographical area or construction sites.
| SWIFT Unit || SWIFT || Statewide Investigative Fraud Team: Enforcement Representatives and
Consumer Service Representatives who conduct special investigations and proactive non-licensee investigations. |
| Underground Economy || ||
A term used to describe businesses that use cash payment transactions to avoid employment taxes, workers compensation
premiums and labor code regulations.
| Undercover Operations/Stings || ||
Investigations by SWIFT representatives at a residential or commercial property to receive bids from unlicensed
contractors and cite them.
| Warning of a Violation || ||
Notification provided to an individual that there is a minor violation and that a future occurrence may result in a
| Workers’ Compensation || ||
Insurance required by all contractors who have employees. |
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