SB 342: Contractors: unlicensed work.

Session Year: 2025-2026
House: Senate
Latest Version Date: 2026-07-01

Current Status:

In Progress

(2026-08-05: August 5 set for first hearing. Placed on suspense file.)

Introduced

In Committee

Awaiting First Chamber Vote

Passed First Chamber

In Committee

Awaiting Second Chamber Vote

Passed Second Chamber

Enacted

Version:

Existing law, the Contractors State License Law, establishes the Contractors State License Board in the Department of Consumer Affairs to license and regulate contractors. Existing law prohibits a person engaging in the business or acting in the capacity of a contractor from recovering compensation for work performed that requires a contractors license unless the person was a duly licensed contractor at all times during the performance of the act or contract, except as specified.

This bill would instead allow that person to recover compensation for that work if the person was a duly licensed contractor at the time the contract was executed and during the portion of the times of the performance of that act or contract for which they are seeking to recover compensation.

This bill would further exempt an action for compensation arising from a contract for a public work of improvement, as specified.

Existing law authorizes a person who uses the services of an unlicensed contractor to bring an action to recover all compensation paid to the unlicensed contractor for performance of any act or contract. contract, except as provided.

This bill would instead authorize that person to recover the portion of compensation paid to the unlicensed contractor for work performed during the time in which the contractor was unlicensed.

This bill would additionally exempt an action for compensation arising from a contract for a public work of improvement, as specified.

Discussed in Hearing