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CA SB342
Bill
Status
Engrossed
1/26/2026
Primary Sponsor
Tom Umberg
Click for details
AI Summary
- Allows contractors to recover compensation for work performed if they were licensed at the time the contract was executed and during the specific periods for which they seek payment, rather than requiring licensure throughout the entire project duration
- Modifies recovery rights for those who hired unlicensed contractors, limiting recovery to compensation paid only for work performed during periods when the contractor was actually unlicensed, rather than all compensation paid
- Maintains the prohibition on unlicensed contractors bringing legal actions to collect payment, but narrows the forfeiture to periods of unlicensed work rather than total forfeiture
- Preserves existing substantial compliance doctrine allowing courts to excuse brief licensing lapses if the contractor was previously licensed, acted in good faith to maintain licensure, and promptly remedied any lapse upon discovery
Legislative Description
Contractors: unlicensed work.
Last Action
In Assembly. Read first time. Held at Desk.
1/26/2026
Committee Referrals
Appropriations1/14/2026
Judiciary1/12/2026
Business, Professions and Economic Development3/26/2025
Rules2/12/2025
Full Bill Text
No bill text available