An electrical contractor was fined by the DBPR for hiring an unlicensed individual as a subcontractor, despite not knowing that the person did not have an electrical contractor’s license.
The electrical contractor’s company was hired to install hot food cabinets at multiple 7-Eleven locations throughout Florida. The work required the installation of new subpanels, new circuits, outlets, and breakers, thus requiring that a licensed electrical contractor perform the work.
To help complete the work, the electrical contractor hired an individual as a subcontractor to perform some of the work. Though it was disputed before the Electrical Contractor’s Licensing Board whether the individual represented that he was a licensed electrician, in reality, he did not have an electrical contractor’s license.
At the first project, the individual failed to provide any license or insurance information to the electrical contractor. Rather than terminate him from the project, the electrical contractor ultimately offered to hire him as an employee by the third 7-Eleven project. When the individual refused, they continued to try to work out the terms of the individual’s employment. Ultimately, the individual worked on nine different 7-Eleven locations.
At the end of this work, the individual asked to be paid the amount he was offered as a subcontractor—$1,400.00 per project. The electrical contractor refused, because the individual was unlicensed. The unlicensed individual then placed liens on all nine properties. The electrical contractor ultimately reported the unlicensed individual to the DBPR for subcontracting without a license. This ultimately led to an investigation of the electrical contractor as well.
The Electrical Contractor Licensing Board determined that the electrical contractor’s conduct constituted aiding and abetting the unlicensed practice of electrical contracting. Specifically, the ECLB found that hiring the individual without verifying his license and allowing him to continue to work once it became clear he was unlicensed were violations of section 455.227(1)(j) and 489.533(1)(a), Florida Statutes.
In response, the electrical contractor argued that he should not be found in violation because he did not intend to help the unlicensed contractor perform electrical contracting. The ECLB determined the electrical contractor’s intent was irrelevant and still constituted a violation. But, in taking into account the electrical contractor’s lack of any prior disciplinary history with the ECLB, the ECLB only imposed a $1,000.00 fine, costs, and two additional hours of CEU.
The key takeaway from from this ECLB decision is that licensed contractors must be careful to check the licenses of their subcontractors. Failing to do so, even unintentionally, can result in a mark against your license.