Dangers of Hiring Unlicensed Workers
Poor qualifications: . Unlicensed individuals have not demonstrated the education, insurance, or qualification required of a licensed contractor. This can leave you with poor quality work or unfinished projects, which means you could spend more money hiring another contractor to repair or finish the project.
Possible criminal background: . Unlicensed individuals often have criminal backgrounds that may include fraud, theft, violent crime, sexual offenses, and substance abuse.
Likelihood of being the victim of a scam: Unlicensed individuals often disappear after taking your money, leaving you with very few options to help you get your money back or your work completed.
No coverage under homeowner’s policy: Homeowner's insurance does not cover unlicensed contractors, and by law the homeowner is held responsible for hiring an unlicensed contractor and is held accountable for any work associated with the contractor. If an unlicensed contractor's carelessness leads to injury or damage to you or your neighbor’s property, the problem is yours.
Noncompliance with building codes: . Most projects, even small ones, require permits and inspections that unlicensed contractors ignore or are unfamiliar with. If your project isn't permitted or doesn’t comply with the building code, you may have to remove or repair the work at your own expense and be subject to fines by local government.
Voided warranties: Installations performed by an unlicensed contractor void the manufacturer's warranty so you could be spending thousands of dollars on a unit that is not covered if it fails.
If a contractor files bankruptcy or skips out while working on your home, you are responsible for all fines and unpaid bills to suppliers. You're also responsible for the wages of employees who worked for the unlicensed contractor.
In addition, hiring an unlicensed contractor is a violation of Florida Statute 455.228 which can result in a civil penalty of up to $5,000 for the home or business owner and you could be liable for the court costs on top of that.
These tips from the Sarasota County Building department can protect you from predatory contractors:
• You can verify a State of Florida Licensed Contractor at www.MyFloridaLicense.com. Ask your contractor for a license number. Always verify the license number! Make sure the license is in the owner’s name.
• Get a signed, detailed contract that spells out the work to be done, when, and for how much.
• Ask for local references and check them.
• Verify the company's reputation with organizations such as the Chamber of Commerce.
• Do not make a large down payment and do not pay in full until the work is complete.
If you have a smart phone you can search for the Florida DBPR Mobile App – it's free, and will let you easily search for companies and individuals to make sure they are licensed.
Besides it being illegal to hire unlicensed contractors, unlicensed contractors are subject to arrest and prosecution for working without a license.
Unlicensed contractors are dangerous because they expose you to significant financial harm if injury or property damage happens.
If an unlicensed contractor offers services to you
#1 Do not hire the unlicensed individual.
#2 Keep copies of all information provided by the unlicensed individual (ads, flyers, cards).
#3 Report the unlicensed person by sending the information to the Department of Business &
Professional Regulation.
Report Unlicensed Activity
1.866.532.1440
www.MyFloridaLicense.com
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