Legal Question in Construction Law in California

Re: licensed Contractor using unlicensed sub

The general has to complete the job, for the price of the contract and with workman-like quality work. If he fails to do so, then he is liable for the additional cost of hiring licensed subs to correct the problems. By definition, a sub-contractor is a licensed contractor. If he is hiring unlicensed subs, then they really are just his employees (have him go ask EDD if he can pay them as independent contractors if they don't have a license!). Either way, as the general he is liable for any uncompleted work and/or poor quality work. Did you have a provision in your contract for retention? As for remedies, you can go to the Contractor's State License Board, file a claim against his bond, and if all else fails you can sue him.

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