MN HF3944

Residential contractors may not bring or maintain legal actions to recover compensation for work requiring licensure under Minnesota Statutes section 326B.805 unless they were duly licensed at all times during performance of the work.

Persons who hire unlicensed contractors may bring an action in any Minnesota court to recover all compensation paid to the unlicensed contractor.

Security interests or liens taken to secure payment for licensed contractor work are unenforceable if the contractor performing the work was not duly licensed at all times during performance.

When a contractor's licensure is disputed, the contractor must prove licensure by producing a commissioner-issued certificate, with the burden of proof on the licensee.

Substantial compliance doctrine does not apply to contractors who have never been duly licensed in Minnesota, but may apply to previously licensed contractors who acted in good faith to maintain licensure and promptly remedied licensure failures upon discovery.