Florida law puts deadlines on a contractor who takes a large deposit on residential work. If the contractor receives more than 10% of the contract price up front, they must apply for the permits within 30 days and start the work within 90 days after the permits are issued. The same chapter makes unlicensed contracting a crime.

The 10 percent deposit rule

Under s. 489.126, a contractor who takes more than 10% on a residential job must:

• "Apply for permits necessary to do work within 30 days after the date payment is made"
• "Start the work within 90 days after the date all necessary permits for work, if any, are issued"

The deadlines do not apply if the contractor has just cause or you agreed in writing to a longer period. Read any clause that extends the timeline before you sign it.

Unlicensed contracting is a crime

It is unlawful to engage in the business of contracting without being "duly registered or certified" (s. 489.127). A first offense is a first-degree misdemeanor. A repeat offense is a third-degree felony.

A contract with an unlicensed contractor

Florida law says contracts entered into by an unlicensed contractor "shall be unenforceable in law or in equity" (s. 489.128). That is a risk for everyone involved, and a reason to check the license before money changes hands.

Before you pay

• Look the contractor up in DBPR's license search.
• If you are asked for more than 10%, write the permit and start dates into the contract.
• Ask for a copy of the permit application.
• Report unlicensed work to DBPR at 1-866-532-1440 (DBPR).

More on looking up a license: how to check a Florida contractor license with DBPR.

FAQ

How much can a Florida contractor take up front? The law does not set a cap in s. 489.126, but a contractor who takes more than 10% on residential work must apply for permits within 30 days and start within 90 days after the permits are issued, unless there is just cause or you agreed in writing to a longer period.

Is unlicensed contracting a crime in Florida? Yes. A first offense is a first-degree misdemeanor and a repeat offense is a third-degree felony, under s. 489.127.

Is a contract with an unlicensed contractor valid? Florida law says contracts entered into by an unlicensed contractor are unenforceable in law or in equity, under s. 489.128.

Sources: Fla. Stat. 489.126, Fla. Stat. 489.127, Fla. Stat. 489.128, DBPR license search, DBPR unlicensed activity.

Florida licenses general, building and residential contractors, along with air conditioning, mechanical, plumbing and electrical contractors, through the Department of Business and Professional Regulation (DBPR). Look any of them up in DBPR's license search before you sign, and report unlicensed work to DBPR's hotline.

Certified or registered

Florida law uses two words. A certified contractor "possesses a certificate of competency issued by the department." A registered contractor "has registered with the department pursuant to fulfilling the competency requirements" (s. 489.105). DBPR's application center says "Certified licenses are statewide and allow you to work as a contractor anywhere in Florida" (DBPR).

The same law defines the contractor categories: general, building, residential (one to three family homes), air conditioning (Class A, B and C), mechanical and plumbing, among others.

Electrical contractors

Electrical contractors have their own board, the Electrical Contractors' Licensing Board, and the same certified and registered split (s. 489.505).

How do I look one up?

Use DBPR's license search. You can search by name, license number, city or county, or license type. The same page links to Verify a Licensee and File a Complaint.

How do I report unlicensed work?

DBPR says "If you suspect someone is operating without a required license, report it to DBPR." Call the unlicensed activity hotline at 1-866-532-1440 or email ULA@myfloridalicense.com (DBPR unlicensed activity).

Unlicensed contracting is a crime in Florida, and a contract with an unlicensed contractor can be unenforceable. See Florida contractor deposits and unlicensed work.

FAQ

Who licenses contractors in Florida? The Department of Business and Professional Regulation (DBPR). Electrical contractors are licensed through its Electrical Contractors' Licensing Board.

What is the difference between a certified and a registered contractor? A certified contractor holds a certificate of competency from DBPR, and DBPR says certified licenses are statewide. A registered contractor has registered with DBPR after meeting competency requirements.

Where do I look up a Florida contractor? In DBPR's license search at myfloridalicense.com. You can search by name, license number, city or county, or license type.

How do I report an unlicensed contractor in Florida? Call DBPR's unlicensed activity hotline at 1-866-532-1440 or email ULA@myfloridalicense.com.

Sources: Fla. Stat. 489.105, Fla. Stat. 489.505, DBPR license search, DBPR application center, DBPR unlicensed activity.