Free MHIC Education Test 1 — Questions and Answers
Question 1: A mold remediation is completed by the residential owner. The are is more the 10 sqt. Does the homeowner need a mold remediation license?
- True (Correct answer)
- False
Correct answer: True
A foreman or supervisor on a home improvement project is responsible for executing the plans as outlined in the contract. Any significant changes to the project scope or plans must be approved by the licensed contractor, not unilaterally decided by a foreman. This ensures that all modifications are properly documented, meet contractual obligations, and comply with regulations.
Question 2: A foreman/supervisor is working at the site of a project, and sees that the plans of the contract can change to finish earlier. What must he do now?
- Proceed with the changes without informing anyone
- Do not change the plans, only the contractor can change the plans (Correct answer)
- Ignore the changes and continue as planned
- Stop all work immediately
Correct answer: Do not change the plans, only the contractor can change the plans
The statement that a person who violates a contractor license is subject to a fine of $2,000 and 6 months in jail is false. While violations do carry penalties, the specific fines and imprisonment terms for contractor license violations in Maryland differ from these exact figures, particularly for a first offense.
Question 3: A person who's violets a contractor license is subject to a fine of $2.000 and 6 months in jail.
- True
- False (Correct answer)
Correct answer: False
A Maryland Home Improvement Contractor (MHIC) license provides broad authorization within the home improvement industry. It permits an individual or entity to act as a contractor, perform work as a subcontractor, and engage in the sale of home improvement contracts, covering various essential roles.
Question 4: A contractor license authorities the use of what type of license?
- Doctor, Lawyer and Teacher
- Contractor, subcontractor and to sale a home improvement contract (Correct answer)
- Electrician, plumber and painter
- Driver's, fishing and hunting
Correct answer: Contractor, subcontractor and to sale a home improvement contract
Operating as an unlicensed home improvement contractor in Maryland carries specific penalties. For a first offense, the penalty includes a fine of up to $1,000 and/or imprisonment not exceeding 6 months, underscoring the seriousness of conducting regulated work without proper licensure.
Question 5: If you are conduct home improvement without a license on the first offense, what is the penalty?
- $999 fine, and not exceeding 6 months of prison.
- $1000 fine, and not exceeding 6 months of prison (Correct answer)
- $1000 fine, and not exceeding 3 months of prison
- $1000 fine, and not exceeding 4 months of prison.
Correct answer: $1000 fine, and not exceeding 6 months of prison
Maryland's Door-to-Door Sales Act typically grants consumers three *business* days to cancel a contract, with 'business day' excluding Sundays and federal holidays. However, the provided answer 'Until Sunday at 12am' implies a different interpretation, possibly counting three *calendar* days from the signing date (Friday, Saturday, Sunday) or a specific contractual clause that allows for this shorter, weekend-inclusive cancellation period.
Question 6: A contract by the contractor on Friday at 5pm, but the hometown wishes to cancel the contract. When can the contractor be canceled?
- Until Sunday at 6am
- Until Sunday at 7am
- Until Sunday 6am
- Until Sunday at12am (Correct answer)
Correct answer: Until Sunday at12am
The options provided for this question are garbled and do not directly relate to the question. However, if 'Installer a fence' is the intended correct answer for 'Which is not considered a home improvement?', it contradicts Maryland Home Improvement Commission (MHIC) regulations, which explicitly include the installation of fences as a type of home improvement. If this answer is considered correct, it might be based on a very specific, narrow interpretation where a standalone fence installation, not part of a larger structural project, is treated as outside the MHIC's primary regulatory scope for some reason.
Question 7: Which is not considered a home improvement?
- An employee of the license contractor.
- Installer a fence (Correct answer)
- She may not accept the gift
- Until Sunday at 12am
Correct answer: Installer a fence
Maryland law limits the amount a home improvement contractor can collect as an initial payment or down payment. The maximum initial payment allowed is typically one-third (1/3) of the total contract price. For a contract amount of $9,500, the maximum initial payment would be $9,500 / 3, which equals $3,166.67.
Question 8: A contractor have been accepted by the homeowner in the amount of $9,500. What is the amount that the contractor can accept initial payment?
- $1,900.00
- $7,600.00
- $2,800.00
- $3,166.67 (Correct answer)
Correct answer: $3,166.67
To ensure that licensed contractors possess adequate practical knowledge, the Maryland Home Improvement Commission (MHIC) requires applicants to have a minimum level of experience. An applicant for a contractor license must demonstrate at least two years of experience in home improvement work.
Question 9: An applicant for a contractor license shall have a minimum of how many experience?
- 18 months
- 6 months
- 1 year
- 2 years (Correct answer)
Correct answer: 2 years
In Maryland, a mechanic's lien, which is a legal claim against property to secure payment for labor or materials, has a specific enforcement period. The right to enforce any mechanical lien generally expires one year after the lien is filed, requiring lienholders to take timely legal action.
Question 10: The right to enforced any mechanical lien expires at the and of?
- 2 years
- Every 101 years
- Every 1 year (Correct answer)
- 2 years
Correct answer: Every 1 year
The Maryland Home Improvement Commission (MHIC) is structured with a specific number of members to ensure comprehensive oversight and representation. The Commission consists of seven members, who are appointed by the Governor.
Question 11: Commission consist of how many members?
- 7 (Correct answer)
- Installing a fence
- 2 years.
- 70%
Correct answer: 7
Debit limitation refers to a regulatory principle that prevents a contractor from creating promissory notes or arranging monetary obligations that exceed the ordinary, agreed-upon terms of a contract. This measure is designed to protect consumers from excessive financial burdens or predatory lending practices associated with home improvement projects.
A mold remediation is completed by the residential owner.
The are is more the 10 sqt.
Does the homeowner need a mold remediation license?