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Should I be classified as a General Contractor if I'm directly contracted with the Property Owner in California?

California

For a landscaping company that is often contracted directly with the Property Owner on residential jobs, do I follow the preliminary notice & lien requirements for the General Contractor or not? I am not licensed as a General Contractor in California, but want to make sure I am meeting the correct preliminary notice requirements.

3 replies

Oct 8, 2019
Good afternoon, Do you have a proper C-27 license and avoid taking contractors that would require a Class B license?    Assuming you have a proper C-27 and are direct with the property owner, you still need to serve a preliminary notice if there is a third party lender (someone other than the fee owner of the property) financing the improvements.
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Oct 8, 2019
So if I was contracted directly with the owner and paid by the owner with no knowledge of a lender?  Yes I’m a true C-27
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Oct 9, 2019
Generally, the law requires you to do some diligence to identify whether there is a third party lender, e.g., checking the building department records (permit) and County Recorder's Office for a construction trust deed or other deed which may indicate the identity of a lender funding the project.  Pursuant to an appellate case from 2010, it may be sufficient to rely upon a written "job information sheet" provided by your customer/the owner that declares the identity of the lender and if there is none, to so clearly state that there is no lender and the project is owner-financed.
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