South Carolina General Assembly
114th Session, 2001-2002

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Bill 3859


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Bill Number:                      3859
Type of Legislation:              General Bill GB
Introducing Body:                 House
Introduced Date:                  20010403
Primary Sponsor:                  Whipper
All Sponsors:                     Whipper, Breeland, Cato, Clyburn, 
                                  Gourdine, Hamilton, J. Hines, M. Hines, Hosey, 
                                  Leach, Littlejohn, Lloyd, Mack, Phillips, 
                                  Rivers, F.N. Smith and Thompson
Drafted Document Number:          l:\council\bills\skb\18275som01.doc
Residing Body:                    House
Current Committee:                Labor, Commerce and Industry Committee 26 
                                  HLCI
Subject:                          Contractors, unlicensed; limited to 
                                  bringing action against contracting or third 
                                  party for certain costs; Construction


                        History

Body    Date      Action Description                     Com     Leg Involved
______  ________  ______________________________________ _______ ____________
House   20010403  Introduced, read first time,           26 HLCI
                  referred to Committee


              Versions of This Bill

View additional legislative information at the LPITS web site.


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND SECTIONS 40-11-370 AND 40-59-130, CODE OF LAWS OF SOUTH CAROLINA, 1976, BOTH RELATING TO THE LICENSE REQUIRED FOR A GENERAL, MECHANICAL, RESIDENTIAL, OR RESIDENTIAL SPECIALTY CONTRACTOR, SO AS TO PROVIDE THAT, INSTEAD OF BARRING AN UNLICENSED CONTRACTOR FROM BRINGING AN ACTION TO ENFORCE PROVISIONS OF A CONTRACT, THE UNLICENSED CONTRACTOR IS LIMITED TO BRINGING AN ACTION AGAINST THE CONTRACTING PARTY OR A THIRD PARTY FOR THE COST OF MATERIALS AND PARTIAL LABOR COSTS.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION    1.    Section 40-11-370 of the 1976 Code is amended to read:

    "Section 40-11-370.    (A)    It is unlawful to use the term 'licensed contractor' or to perform or offer to perform general or mechanical construction without first obtaining a license as required by this chapter.

    (B)    It is unlawful to engage in construction under a name other than the name which appears on the license issued pursuant to this chapter.

    (C)    An entity which does not have a valid license as required by this chapter may not only bring an action either at law or in equity against the contracting party or a third party to enforce the provisions of a contract recover the cost of materials and forty percent of the labor costs."

SECTION    2.    Section 40-59-130 of the 1976 Code is amended to read:

    "Section    40-59-130.    Any residential builder or residential specialty contractor who undertakes or attempts to undertake the business of residential building or residential specialty contracting without first having procured a valid license or registered with the commission as required in Section 40-59-50 which has neither expired nor been revoked, or who knowingly presents to, or files with, the commission false information for the purpose of obtaining a license or becoming registered is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars or imprisoned for not less than thirty days.

    A residential builder who does not have a license or a residential specialty contractor who is not registered as required may not only bring any an action either at law or in equity against the contracting party or a third party to enforce the provisions of any contract for recover the cost of materials and forty percent of the labor costs for residential building or residential specialty contracting which he entered into in violation of this chapter.

    Whenever it appears to the commission that any residential builder or residential specialty contractor has violated, or is about to violate, the provisions of this chapter, the commission may in its own name petition an administrative law judge as provided under Article 5 of Chapter 23 of Title 1 to issue a temporary restraining order enjoining the violation of this chapter, pending a full hearing to determine whether or not the injunction must be made permanent."

SECTION    3.    This act takes effect upon approval by the Governor and applies to all cases filed on or after that date.

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