CSLB Law & Business ExamContract Requirements and ExecutionMedium
A home improvement contract is negotiated on the contractor's behalf by a registered home improvement salesperson rather than the contractor personally. Under California law, what must the contract disclose regarding the salesperson?
- AThe salesperson's personal home address
- BThe salesperson's Social Security number
- CThe salesperson's name and registration number
- DThe salesperson's commission percentage on the sale
Show answer & explanationAnswer & explanation
Correct answer: C. The salesperson's name and registration number
California requires that a home improvement contract negotiated by a registered salesperson identify that salesperson by name and registration number, allowing the homeowner and CSLB to verify the individual's registration status.
Why the other options are wrong
- A. Home addresses are not part of the required salesperson disclosure.
- B. Social Security numbers are not required or appropriate on a contract.
- D. Commission arrangements are a private business matter, not a required disclosure.
Salesperson Registration Disclosure
If a home improvement salesperson negotiates the contract, the contract must state the salesperson's name and CSLB registration number.
- Applies when a salesperson, not the contractor, negotiates
- Helps verify the salesperson is properly registered
- Distinct from the contractor's own license number requirement
Memory trick: Know the seller's name and number before you sign.