Is this contractor licensed?

Question

Hello BP community,

I recently connected with a contractor and when I asked if he was licensed and insured as a GC in DC this was his response:

Yes we are. In Dc we work as partners with "XYZ Company" (I removed the name of the company for BP posting) Dc license "123." And yes we are insured.

So it looks to me like he is not the licensed party. Is he? If I decide to hire him will I actually be contracting with the other company? Is this a common practice? Am I being mislead?

Any advice is greatly appreciated.

Many thanks,

Tamara

Jeff Bridges · Answer

Tamara,

The DC, MD, and VA license databases are electronically available. I suggest always checking here even if they show you a card or paperwork suggesting they are licensed. If they don't show up there, their license is not current (or was possibly revoked) and you need to ask them why and consider finding someone who is. References from recent projects are just as important to make sure people are happy with their past work.

You want to be signing a contract with the company who holds the license to be a general contractor so they have to defend their license if something goes wrong and is not done per terms of their contract. If the contract lists something different than what's on the license information, red flag.

DC license check database:

http://pivs.dcra.dc.gov//BBLV/Default.aspx

@Manolo D. also rightly suggested to request a copy of insurance (proof of workmans comp and general liability need to be shown on the form). You can get a generic proof at first for initial vetting, but you'll want a custom one generated by the insurance company with your name on it right around the time you are ready to sign a contract with them to prove that their insurance is still current at the start of the rehab.

Some contractors let their insurance policies lapse during the off season or do other things to save money since paying their policy premium can get expensive. If this insurance is not current, you could have liability issues if someone were to be injured on your work site. You'll find many contractors who will try to avoid sending you insurance information or providing proof of insurance. You now know to move on from these folks...

Tamara V. · Answer

Thank you @Jeff Bridges! I have been checking the names of businesses online at DCRA and found this to be invaluable.

Account Closed thank you!! I will do exactly that. I need to find out who can do what and where.

Account Closed · Answer

Tamara V., working as "partners" with XYZ Company... that sounds like a smooth talker to me... commonplace, yes, but if he isn't the licensee, or an employee of the licensee, then beware.  Equally, I'm leery of a licensee who allows others to illegally work under their license.

And so you know, DC, MD and VA all have separate licensing requirements and none of them convey to the other... the jurisdictions don't offer reciprocity either when seeking a license.  I believe, in VA, one may be granted a 45 day license, so long as they have submitted an application and paid the fees (they may have had to pass the exam too, but I'm not sure).

As well, the licensing type among each of the three areas is very different... a GC license in MD doesn't license one to work on residential properties of 1-4 dwelling spaces, or the interiors of condos... for that, they need a MHIC license (and there are three types, contractor, subcontractor and salesperson).  Subcontractors are only licensed to work for contractors.  And if you want to build a new residential home, that's another license altogether different from a a GC or MHIC license.

Yet in VA, one gets a "Class" license (which is based on the dollar amount of business they do) and then has a specialty attached to it (e.g., Class A- BLD).

DC has different licenses too... GC and HI (home improvement).  If memory serves me correct, GC allows one to work on residential or commercial, while the HI only allows residential.

I suggest you contact the licensing departments of each municipality you'll be working and gain a thorough understanding of the requirements if you wish to comply.

Feel free to contact me anytime for more information.

Tamara V. · Answer

Thank you Josh. I would feel more comfortable hiring him if I was just looking for a handyman for small things like tile or backsplash or locks. Yes, this would be an extensive remodel that includes all major systems.

My next question to the BP community is are subcontractors in the DMV area required to be licensed or just carry insurance?

Is this contractor licensed?

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