The statute also establishes an arbitration program for resolving disputes, plus a guaranty fund to compensate homeowners for unpaid judgments. The guaranty fund is unusual. In Illinois and many other states, the law provides criminal penalties for errant contractors without providing for restitution for victims. That means defrauded homeowners have to sue the contractor if they hope to get their money back. But such a lawsuit could be long, costly, and fruitless, because by the time the case comes to trial the contractor may have nothing left to pay.
Localities can also have tough laws against unscrupulous contractors.
Putnam County, New York, has a local law that includes such punishments as suspension or revocation of the contractor's license, both criminal and civil penalties, and punitive damages against the contractor. To find out the legal protections and enforcement options in your state, contact your state or local consumer protection agency, or the consumer fraud division of the local prosecutor's office. Everything you need for court related issues. The Intelligent Alternative to Court. Excellent legal service at your convenience.