In Florida, a construction license is given to an individual and not a business organization. If a business organization is not qualified and enters into contracts for the improvement of real property, it may be engaged in unlicensed activity. To avoid this, construction licensees should understand the means and methods to have their business organization qualified in Florida. Section 489.119, Florida Statutes, sets forth the requirements of the construction license holder to qualify a business organization.
However, there may be times when a qualifying agent decides that he/she does not want to qualify the construction company anymore and they pull their license. This can be the result of contractor being terminated from the company, contractor resignation or sometimes the unfortunate scenario of when a contractor becomes deceased. The article will discuss some common questions that business owners and contractors face in the event the qualifier pulls the license.
1. What happens if my qualifying agent resigns or I have to fire him?
When a qualifying agent resigns or is fired, the company must obtain another qualifying agent within 60 days. The company can request a temporary, non-renewable license that will allow it to continue working for up to 60 days to complete any existing contracts.
2. What happens if my qualifying agent dies?
If your qualifying agent dies, you must notify the Construction Industry Licensing Board office within 30 days, if not immediately. You can request a temporary, nonrenewable license that will allow you to continue any jobs contracted prior to the qualifying agent’s death, regardless of whether a permit had already been obtained.
3. What is a Temporary, nonrenewable license?
The temporary nonrenewable license is permission from the CILB to continue operations for a short period of time while the company searches for a new qualifying agent. You must send a request in writing to the Executive Director of the Construction Industry Licensing Board, 2601 Blair Stone Road, Tallahassee, Florida 32399-1039 in order to receive the temporary license. If the qualifying agent dies, you have to demonstrate that you have personal knowledge of the projects, along with the ability to complete them. If the qualifying agent resigns or is fired, you must indicate that you are an officer or partner of the company and must state that you will assume all the responsibility of a primary qualifying agent. If the qualifying agent dies, the temporary, nonrenewable license is good until all projects are finished. If the qualifying agent resigns or is fired, the temporary, nonrenewable license is good for 60 days and cannot be extended.
4. I am the licensed contractor who left the company, what do I have to do?
You must file a change of status application. You may access the application online at https://www2.myfloridalicense.com/construction-industry/.
5. I am a licensed contractor. Would I be required to finish jobs if a business I am qualifying happens to go out of business?
You would be responsible, as a qualifying agent, for jobs that were not completed. You are financially responsible unless there is a licensed financially responsible officer appointed.
For more information on Qualifying an Additional Business Entity in Florida, review our prior articles https://cobbgonzalez.com/florida-construction-licensing-qualifying-an-additional-business/ or call us for a consultation.
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