This article was posted 03/19/2013 and is most likely outdated.

Mike Holt - Pitfalls of Hiring an Unlicensed Contractor
header
Pitfalls of Hiring an UnlicensedContractor

image1The Pitfalls of Hiring an Unlicensed Contractor

“Hi Mike,
I am a small contractor - myself and 1 or 2 other men.  I live in a farming community.  In many cases my customers are from word of mouth in our area. How can I educate my potential customers of the benefits of using a licensed contractor who will follow the Code; and let them understand the pitfalls and dangers of using unlicensed tradesmen? Thanks,
Dennis”

Dennis’s problem is quite common. In today’s environment, where work is scarce, there are many licensed contractors fighting to get jobs because unlicensed guys underbid all the time.

Elisabeth Leamy wrote an article for ABC News in 2006 that is just as relevant today. It is entitled “Unlicensed Contractors Will Rip You Off  and highlights pitfalls of hiring unlicensed tradesmen.  It is directed at the consumer, but this article will give you the talking points you need to educate your customers, write a flyer, or adapt for your marketing.

Unlicensed Contractors Will Rip You Off
By ELISABETH LEAMY (@elisabethleamy)
Nov. 3, 2006
Did you know you could be arrested for using an unlicensed contractor? It's true. In states that require licensing, hiring an unlicensed contractor is illegal. And if that's not bad enough, did you know an unlicensed contractor who gets hurt on your property could sue you -- and win? Unlicensed contractors are unlikely to carry proper insurance, so it has happened.

Click here to continue reading the article posted on ABC News.

footer
This newsletter was sent to 29508 Subscribers
Unsubscribe
Comments
  • As a licensed electrical contractor for 28 years and an electrical instructor for 30 years, There is nothing but sheer joy for being a licensed electrical contractor. I can wire anything legally, I take pride in my experience, knowledge and understanding of the national electric code.

    A lot of my work consist of going in after commercial electricians have attempted to wire up a building. I cannot express the importance of knowing the local ordinances of each city you work in.

    As far as on licensed electrical work in this area, we have a lot of it. If I want to buy a hot water heater for my home or a central air conditioner/furnace, I am not allowed to purchase this equipment nor am I qualified to put it in as a homeowner. Anyone can go buy a three phase 400 amp panel box. This is where I see the problem; the electrical supplies are not regulated as well as HVAC. So now we have people wiring buildings that should not be.

    Do the paperwork, do your homework, file for the permits, get the inspections and be done. Has anyone ever seen a electric range wired with 12 gauge copper Romex? I have seen it in rental property.

    I had a customer with a brand-new $ 150,000 machine. It was used to make plastic yard signs. This gentleman wanted me to tap into the main line side disconnect and installed some lights and limit switches. He did not want me to run a separate 120 volt circuit from 50 feet away, he just wanted me to tap into the "B" phase of the primary supply. This is a perfect example of when I just walked away, I gave the job to another electrician. I did not want to do it his way, let alone drill holes on a brand-new machine and void the warranty. So having an electrical license also allows you to be selective in your work.

    Michael D. Hockenberry  April 2 2013, 11:38 am EDT

Reply to this comment
* Your Name:
   Your name will appear under your comments.

* Your Email:
   Your email address is not displayed.
* Comments:

Email Notification Options:
Notify me when a reply is posted to this comment
Notify me whenever a comment is posted to this newsletter