Advertising for Contractors in California

What Is It Advertising Defined As?
You already know about advertising in newspapers, magazines, and on radio and television airwaves but, for licensed contractors, advertising is more than that.
It’s also:
• Your business card;
• Any contract proposal;
• Lettering on your trucks and other vehicles;
• Any sign or billboard identifying you or your company as a contractor;
• Any electronic transmission, including your company’s website content;
• Any soliciting brochure, pamphlet, circular, or Internet ad you or anyone else posts or
distributes;
• Any clothing or giveaway items that include your company name or logo; and
• Any directory or listing that states or implies you are a contractor requesting or looking for the kind of work that requires a contractor license under California Contractors License Law.

Identifying Business Vehicles
C-36 Plumbing, C-45 Sign, and C-57 Well-Drilling contractors must display the following information on each side of every business vehicle with commercial registration in letters at least 1½ inches high (B&P Section 7029.5):
• Business name;
• Permanent business address; and
• Contractor license number.
All other licensed contractors must display their business names and contractor license numbers on every one of their commercially-registered vehicles. The name and number must be in a clearly visible location in letters at least ¾ inch high and wide (B&P Section 7029.6).

It is a misdemeanor to use false, misleading, or deceptive advertising to induce clients to enter into home improvement or other improvement contracts if the public might be mislead or injured (B&P Section 7161). It is also illegal to include in an ad for home or other improvements any false, deceptive, or misleading assertions or representations you don’t intend to honor. (Ads subject to and in compliance with Federal Trade Commission rules and regulations shall not be
deemed false, deceptive, or misleading.)

In addition to complying with all other relevant advertising guidelines, ads soliciting to remove asbestos from buildings or structures must include the name you are registered under and two special numbers:
1. The asbestos certification number issued by CSLB (B&P Section 7058.5); and
2. The registration number required under Labor Code Section 6501.5 for anyone doing asbestos work (B&P Section 7099.11).
Failure to include these numbers will result in a notice to comply with this requirement from the Registrar. Failure to comply with this notice, or advertising to remove asbestos without being properly certified and registered, will result in a citation and potential civil penalty between $100
and $1,500.

Advertising Beyond the Scope of Your License B&P Section 7027.1 prohibits you from advertising for construction work outside of areas for which you are licensed. For example, a C-29 Masonry contractor who advertises to do electrical work can be charged with a misdemeanor—unless he or she also has a C-10 Electrical contractor license. (An exception to this provision permits licensed “A” General Engineering and “B” General Building contractors to advertise as general contractors.)
The civil penalty for the advertising violations in Section 7027.1 is between $700 and $1,000, plus any other punishment established by the Registrar or a court.

Like legitimate contractors, unlicensed operators sometimes use advertising to find new clients. Ads without license numbers or with numbers that are not issued by CSLB are frequently used as CSLB sting targets. CSLB and other enforcement agencies use two sections of the law. B&P Sections 7027.1 and 7099.10