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California · Contractor Dispute

California Contractor Demand Letter

California homeowners working with contractors post-wildfire, earthquake, or renovation have strong protections under the Contractors State License Law (Cal. Bus. & Prof. Code § 7000 et seq.). Contractors doing work valued over $500 must be licensed by the CSLB. California also prohibits contractors from demanding more than 10% or $1,000 (whichever is less) as a down payment before starting work, a common disaster-zone fraud pattern.

California's Contractors State License Board (CSLB) licenses, investigates, and can revoke contractor licenses, an unlicensed contractor doing work over $500 is committing a misdemeanor in California.

Governing law

Cal. Bus. & Prof. Code § 7000 et seq. (Contractors State License Law) + Cal. Civ. Code § 3260 (prompt payment)

Start Your California Contractor Demand

Cites Cal. Bus. & Prof. Code § 7000 et seq. (Contractors State License Law) + Cal. Civ. Code § 3260 (prompt payment). Formatted for USPS Certified Mail. Instant PDF.

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California Contractor Dispute FAQs

How do I verify a California contractor's license?

Use the CSLB's online license check at cslb.ca.gov/onlineservices/checklicenseii. A valid contractor license shows the license number, type, expiration date, and any disciplinary history. Always verify before signing any contract for work over $500.

What can I do if my California contractor abandoned the job or did substandard work?

Send a formal written demand letter citing the contract terms and any California contractor law violations. File a complaint with the CSLB online, the CSLB Arbitration Program resolves disputes up to $50,000. If the contractor is bonded (required for CSLB licensees), you can also make a claim on their contractor's bond.

Can California contractors demand large upfront payments after a disaster?

No. Cal. Bus. & Prof. Code § 7159.5 limits the down payment to the lesser of 10% or $1,000 for most home improvement contracts. Demanding more is a CSLB violation and a criminal misdemeanor. Price gouging after a declared state of emergency is also criminally prohibited under Cal. Penal Code § 396.

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