Arkansas Administrative Code
Agency 033 - Contractors Licensing Board
Rule 033.00.08-001 - Exemption of Licensure for Developers and the Definition of "own residence" as contained within the Residential Licensing Law
Universal Citation: AR Admin Rules 033.00.08-001
Current through Register Vol. 49, No. 9, September, 2024
224-25-5-13. DEFINITIONS
(a) Ownership: When the terms
His own or Its own property is used in the
Residential Builder licensing law, it shall mean sole and exclusive right to
sell or convey the property.
(b)
Qualifying party: A person who has passed the appropriate examination. To act
as a "qualifying party" a person must be either:
(1) a sole owner;
(2) a partner of the partnership;
(3) an officer of the corporation who is
actively engaged in the day to day activities of the company;
(4) a member of the Limited Liability Company
who is actively engaged in the day to day activities of the company;
(5) a partner of the Limited Liability
Partnership who is actively engaged in the day to day activities of the
company; or
(6) a full time
employee.
(c) Full time
employee: A person who is an actual employee of the business, not an
independent contractor. The person must work, on average, 30 or more hours a
week for the business (1500 hours per year), must not be paid as an independent
contractor (not receive a "1099" for his earnings but receive a "W-2" for his
earnings). A full time employee is not someone who is hired "job to job" as
needed. Other factors to be considered in making this determination include,
but are not limited to: whether the business pays for workman's compensation
insurance on the individual, whether the business pays payroll taxes on the
individual, the amount of control the business has over the activities of the
individual, the ownership of the tools used by the individual and, whether the
individual maintains his own business separate from the business in
question.
(d) Single family
residence: Any project consisting of one (1) but not more than four (4) units
of new construction for residential occupancy, when the cost of the project is
twenty thousand dollars ($20,000) or more. This definition does not apply to
subcontractors of licensed residential building contractors or to remodeling
operations.
(e) Residential
Remodeling: Any construction on a single-family residence involving structural
changes, improvements, repairs or additions.
(f) Residential Building Contractor: The term
"Residential Building Contractor" as found in Ark. Code Ann. §
17-25-502(2)
does not include a developer who has constructed a residential project, if the
developer:
(1) Contracts with a properly
licensed contractor to perform a turnkey project; and
(2) The licensed contractor gives a written
warranty at closing of not less than one year to the buyer of the
residence.
Disclaimer: These regulations may not be the most recent version. Arkansas may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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