Capitol Connection 04/19/2021
Adding A Class With DBA, HVAC Refrigerants, and Unsatisfied Judgements
Our first question is a ‘gas’! Yes, a contractor’s misstep won’t disappear until it’s ‘satisfied’ and the ‘company’ you keep can, in some ways, add to your contractor license’s scope…
Q: Our company currently holds a “C-20” (HVAC) license and we are coming upon jobs that are requiring a “C-38” (Refrigeration) license because we are using refrigerants. Do you know if that is a requirement?
A: It is completely acceptable for a “C-20” Contractor to handle refrigerants. The CSLB doesn’t really regulate the use of refrigerants, the Industry handles the regulations through requiring HVACR technicians to receive the proper training and carry the CFC card. However, from a CSLB perspective, it is permissible for a “C-20” Contractor to handle refrigerants.
Q: I currently have Sole Proprietorship license and I have a buddy who I would like to help get licensed. He doesn’t have the necessary experience, so we are discussing forming a Corporation where I would act as the Responsible Managing Officer (RMO) and own at least 20% of the company. I understand that after five years he would meet the experience requirement and qualify to waive the exams. However, in the event there was a complaint or judgement against the corporation, I certainly wouldn’t want it to affect my personal license, nor would I want to be held responsible. Can you tell me how it works in these circumstances?
A: Any time there is an unsatisfied judgement, claim, or complaint against a license you are associated with, it will follow you and any other individuals associated with the license, to all other licenses each person is listed on.
Q: Our company currently has both a “C-61”/”D-12” (Synthetic Products) and a “C-8” (Concrete) license. We want to branch out the Concrete portion of our business, however we don’t want to form an entirely separate company. Our intention is to obtain another license with a different business name which would specifically emphasize “Concrete”. Do you have any recommendations?
A: Typically, what companies do in the situation you described is obtain a new license under the existing entity, but with a “dba” (doing business as) name attached to it with your “Concrete” specific business name. That way you aren’t forming a whole separate entity, but it allows you to separate the concrete portion of the business with a different name. Being that it is the same entity, you can use the same Qualifying Individual you have on your current existing license.