Experienced legal representation isn’t just a luxury for well-established construction companies. They are a crucial guide for ensuring that contractors are prepared and licensed to begin work in their respective states. In this four-part series, we’re discussing how even small construction businesses can benefit from having an attorney on retainer. Now, we will discuss how a lawyer can help you obtain and keep your contractors license. To ensure that you are starting your business off on the right foot, consult with a Nashville license defense attorney at Cotney Construction Law.
Obtaining Your License
Depending on your speciality, state, and even county, you may be required to obtain a specific contractors license. The State of Tennessee requires general contractors to obtain a license to work on projects over $25,000 in cost. Total project cost will also determine if subcontractors performing electrical, mechanical, plumbing, HVAC, roofing, or masonry work are required to obtain a license. Determining which license is right for you can be done with the aid of a Nashville license defense lawyer.
Many states forbid unlicensed contractors from bidding on projects. While obtaining a license may seem like a trivial matter, violating the licensing requirements in Tennessee is a Class A misdemeanor and can result in a civil penalty of up to $5,000 per offense. Offenders may even have their licenses suspended or revoked.
Additionally, under the Tennessee Consumer Protection Act, injured parties can hold deceitful contractors personally responsible for compensatory damages, punitive damages, treble damages, and attorney’s fees. Even if a contractor has a limited liability company or corporation, it will not shield them from being personally responsible for damages.
You and your company can both face financial collapse if you decide to misrepresent yourself as a licensed contractor in the State of Tennessee. No small construction business can last when faced with the full extent of these penalties. Your company can’t afford to face uncertainty alone. Partner with an experienced Nashville license defense lawyer to ensure that every precaution is taken when obtaining and defending your contractors license.
If you are just joining us, you can catch up on this series by reading parts one and two, where we discussed how an attorney can aid with conflict resolution and mechanic’s liens, respectively. For more on how a small construction business can benefit from partnering with an attorney, read part four.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.