Law Flashcards

(151 cards)

1
Q

What is a payment bond?

A

It guarantees everyone gets paid

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2
Q

What is a performance bond?

A

It guarantees that the contractor will complete the project

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3
Q

What is a bid bond?

A

It is something given to the owner by the contractor to guarantee the contractor will do the work if they win

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4
Q

“All Risk Builders Insurance” is purchased by who?

A

Whoever owns the property

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5
Q

What are the Workers Compensation benefits for death on the job?

A

The dependents receive 80% of the after tax wage for 500 weeks

It also covers up to $6000 in funeral costs

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6
Q

Can horseplay be compensable under Workers Compensation?

A

Yes, though if it was intentional misconduct then it would not be

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7
Q

True or False – Certain workers can get a Workers Compensation exclusion.

A

TRUE

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8
Q

Can a Sole Proprietor be covered under Workers Compensation?

A

No

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9
Q

What is the threshold that requires your company to have Workers Compensation?

A

If you have one employee that works more than 35 hours per week for 13 or more weeks in a year

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10
Q

Through workers compensation you can be paid up to what percent of your after tax wages?

A

80%

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11
Q

In order to collect workers compensation you must be off work how long?

A

1 Week

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12
Q

What form must be submitted for a workers compensation injury report?

A

Form 100

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13
Q

Employers must prevent asbestos exposure in excess of _______.

A

0.1 Fiber per cubic cm

or 1% of air as an 8 hour weighted average

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14
Q

What is the Radon Take Action Level?

A

4 PCI/L

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15
Q

What is used to help control radon

A

4” of gravel under floor slabs and a 6 mil vapor barrier

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16
Q

How long does lead stay in the blood?

A

30 days

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17
Q

How long does lead stay in the soft organs?

A

6 - 8 month

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18
Q

How long does lead stay in the bones and teeth?

A

Forever

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19
Q

Are you required to provide owner and tenants the “Renovate Right” pamphlet and obtain proof of delivery when working on a home that may have lead paint?

A

Yes

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20
Q

You cannot disturb more than _____ of lead paint without being lead certified.

A

Interior –> 6 square feet

Exterior –> 20 square feet

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21
Q

Lead based paint can be in homes built before what date?

A

1978

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22
Q

Employers must protect employees against lead exposure in order to keep it below _______.

A

50 micrograms per meter squared of air over an 8 hour period

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23
Q

Substantial completion of work is obtained when?

A

The owner can take possession and use the property as intended

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24
Q

What is the implied warranty period?

A

1 year

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25
What is included in a "Cost Plus Percentage of Cost" contract?
Time and material plus overhead
26
What is included in a "Cost Plus a Fee" contract?
Materials + Labor + Construction Management Fee
27
What is included in a "Unit Price" contract?
Based on the units not sure much the total is since you do not know how many units
28
What is the most common contract?
Lump sum
29
What is a short term contract that often comes back to bite you call?
Letter of Intent
30
What must you file if you are registering as an "LLC"
Articles of Organization
31
What must you file if you are registering as an "Corporation"
Articles of Incorporation
32
What is a "Joint Venture"
It is when more than one existing businesses join together to form one organization
33
What are the benefits of an "LLC"?
They have the limited liability of a corporation and have the tax advantage of a partnership
34
What are the requirements of an "S" Corporation?
Must be a US Citizens and approved to be taxed as a partnership
35
What is a Corporation
Shareholders pay taxes as does the Corporation
36
What is a "Limited Partnership"?
They have a "Silent Partner" and have complex legal documentation
37
What is a "General Partnership"?
When you merge assets, credit, equipment and each partner is liable for the business debts of the other partner(s)
38
What is a "Sole Proprietorship"?
Owner is liable and that includes personal assets
39
How long must I-9 forms be retained by employers?
3 years or 1 year after employment ends (whichever is longer)
40
The I-9 must be completed within how many days of starting employment?
3
41
For minors school plus work cannot exceed how many hours?
48
42
Minors for the sake of employment is anyone between the ages of _______.
14 and 17
43
What is the minimum wage for 16 - 17 year olds?
85% of the general minimum wage
44
What are the training wage requirements?
16 - 19 year olds can be paid $4.25/hour for the first 90 days
45
What is the Elliot Larson Civil Rights Act?
Don't discriminate
46
If you fail to pay your employees or your check to them bounces you will get ______.
A fine up to $1000 and or a year in jail
47
Are you required to put fringe benefits in writing?
Yes
48
The Family Medical Leave Act gives up to 12 weeks of unpaid leave in a 12 month period for employers with ______ or more employees.
50
49
What does the "Davis Bacon" Act 1931 require?
For Federal Funded projects the prevailing wage must be paid
50
Should you always hire the most qualified person regardless of disability?
Yes
51
Your first ADA violation is a fine of _____ and your second is _____.
$55,000 for the first offense $110,000 for the second offense
52
Anything over ________ must be in writing.
$1000
53
Act 227 - Home Solicitation Sale Act What if you break it and how long can they cancel?
Break it and you get up to 6 months in jail and or a $500 fine They have a 3 day cancellation period
54
What is the maximum riser height for stairs?
8 1/4"
55
What is the minimum tread length for stairs?
9"
56
Modular homes are inspected when?
At the factory
57
Each building department must have a board of appeals and must act on appeals within how many days?
30
58
What does Act 230 do?
It makes code rules into laws
59
How soon must you discharge a lien once you have been paid?
As soon as possible (immediately)
60
The foreclosure redemption period is ________.
4 months
61
Once you lien a property how long do you have to sue?
1 year
62
You must send the General Contractor and the Home Owner a Proof of Service of a Claim of Lien within _______ days of putting the lien on.
15 days
63
You must lien the property within _____ days of finishing the work.
90 days
64
What does a "Full Conditional Waiver" show?
The final payment amount in the future
65
When do you get a "Full Unconditional Waiver"?
When the work and payment is fully complete
66
A "Partial Unconditional Waiver" indicates what?
Receipt for partial payment for on-going work
67
What is a waiver?
A receipt that you have been paid
68
What is a sworn statement?
A notarized list of people who have provided labor or materials to a project who are owed money
69
The "Proof of service of notice of furnishing" goes to who and why?
The General Contractor and the Home Owner to prove we were on the site. VERIFY!!!!!!!
70
The "notice of furnishing" must be submitted within how many days?
CONTRACTORS --> within 20 days of providing services LABORERS --> 30 days after wages are due
71
Who supplies the "notice of commencement" and within ______ days of the request?
The Home Owner within 10 days
72
What does the "Building Contract Fund" require?
Once the Home Owner pays you, you must pay suppliers and subs before using money for personal or business related items
73
How much does it cost for a duplicate license?
$10
74
If you change your address or personal name you must notify the department within how many days?
30 days
75
An "investigative conference" is with who?
Just the Licensee and their attorney if they want one
76
Who determines if a complaint is legit?
The local building inspector
77
How many days do you have to respond to the department after a complaint?
15
78
How many days do you have to provide a sworn financial statement?
35 days
79
TRUE OR FALSE - You must keep good and accessible books
TRUE
80
Are you required to build per the plans and models?
Yes
81
Do agreements need to be in writing and signed.
Yes
82
What needs to be included in all advertising?
You license number though no one does this
83
If there is a change in the qualifying officer you must notify LARA within how many days?
10
84
If your license is suspended how many days do you have to turn it in?
10
85
If you are required by LARA to have a bond due to a limited license and the bond is canceled what will happen?
Your license will be suspended
86
The department may deny a license for _______.
Good and sufficient cause
87
How many days does an applicant have to submit a requested financial statement?
60 days
88
You have how many days after work is done to put a lien on a property?
90 days
89
Final orders must be posted on the department website within how many days of the decision being made?
30 days
90
Complaint justification verification is done by who?
The Building Department
91
Who initiates the alternative dispute resolution procedure?
The contractor
92
The sales person must turn over funds received _______.
Immediately
93
To avoid abandonment send a certified letter with the following statement ________.
"We look forward to completing the project once the issue is resolved"
94
Home Owners have how long to make a complaint?
18 months
95
A sales person can work for how many builders?
One and only one at a time
96
A non-resident of Michigan may become licensed by filing what?
Irrevocable consent to service of process
97
What are the continuing competency requirements?
1st renewal 21 hours 2nd renewal 21 hours 3rd and beyond 3 hours with an hour of each of the following: Code, Safety, and Legal Issues
98
True or False -- You must have your builders license number on your contracts
TRUE
99
You must keep records of continuing competency for how many years?
5 years
100
True or False -- You must maintain a place of business in Michigan
TRUE
101
Is a license required if you are building for local government?
No
102
Can property be taken in order to pay a penalty?
Yes
103
Can your license be suspended until restitution is made?
Yes
104
The maximum administrative fine is what?
$10,000
105
Who can remove a limitation on a license?
Both LARA and the Board
106
Can someone involved in the hearing also participate in determining the penalty?
No
107
The penalty determined by the Board is call what?
The Final Order
108
Within how long must the Board review the hearing report and determine the penalty?
60 days
109
If an informal conference does not resolve things the next step is to move to what?
A Hearing
110
As the respondent you must respond within how many days?
15 days
111
You can appeal a decision like a "Cease and Desist" as long as the appeal is made within ________.
30 days
112
What is an informal conference?
Where LARA brings together the complainant and respondent to attempt to resolve the issue
113
How many days does the investigative unit have to report to the director on the status of the investigation?
30 days
114
Who issues the subpoena?
Circuit court
115
Once a complaint is received by LARA they have how many days to let them know it was received?
15 days
116
Who is the respondent?
The person the complaint was against
117
Who can file a complaint?
Anyone
118
If you fail to renew your license in time you can renew with a late fee of $20 within _______.
60 days
119
Who issues the penalty after a hearing?
The Board If the Board fails to do so after 60 days the department can issue the penalty
120
Can a Board member participate in an informal conference?
Yes
121
Who appoints Board members?
The Governor
122
Who has physical dominion over the files of the Board?
The department and these files are available to the public
123
Who reviews test questions?
The Board and the Department
124
The department director is chosen by who?
The Governor with the consent of the Senate
125
Rules are made by who?
The department and the board and they ARE NOT law only rules
126
What is physical dominion?
Control and possession
127
True or False -- A limitation can only be added to your license after an investigation and a hearing
TRUE
128
Who is part of the General Public?
Anyone who is 18 or older and lives in Michigan
129
True or False -- A complaint can be written or in oral form
TRUE
130
What does Censure mean?
It is an expression of disapproval of a licensee's conduct. Not necessarily a violation of ACT 299 (take it as a warning to get your act together)
131
What is the name of the Board?
Residential Builders and Maintenance and Alteration Contractors Board
132
What is the Department name?
LARA - Licensing and Regulatory Affairs
133
You must notify the department of a change in control or direction of a business within how many days?
10 days
134
You have how many months to file a complaint?
18 months
135
You have how many days to repay the construction lien fund in order to avoid suspension of your license?
90 days
136
What is the duration of a renewed builders license as of June 2008?
3 years
137
What is the penalty in the case of death or serious injury?
Not less than $5,000 or more than $25,000 and/or 4 years in prison
138
If you practice without a license and it is your second offense what is the penalty?
Not less than $5,000 or more than $25,000 and/or 2 years in prison
139
If you practice without a license and it is your first offense what is the penalty?
Not less than $5,000 or more than $25,000 and/or 1 year in jail
140
What is the time allotted for a residential builder to return a sale person's license and for the sales person to return their I.D. card by certified mail?
5 days
141
Time allotted to license person to notify them of an investigative conference.
10 days
142
You must notify the department if you have a change of name or address of the licensed person within how many days?
30 days
143
How long do you have to submit financial records once the Board notifies you?
30 days
144
How long do you have to request that a limitation be removed after you receive the notice?
30 days
145
The Department has how many days to acknowledge the receipt of a complaint to the complainant?
15 days
146
The Board has how long to determine penalties after an administrative hearing?
60 days
147
You can renew your license within how many years without needing to re-take the exam?
3 years
148
Board members consist of who?
4 licensed builders 2 licensed maintenance and alteration contractors 1 building inspector 2 from the general public Totaling 9
149
Board members much meet a minimum of how many times per year?
2 times per year minimum
150
What is the term of a Board member?
4 years and no more than 2 consecutive terms
151
What is ACT 299
The Occupational Code