2023 South Carolina Code of Laws › Title 40 - Professions and Occupations › Chapter 10 - Fire Protection Sprinkler Systems Act › Section 40-10-110. Offenses warranting disciplinary actions; civil penalties; revocation or cancellation of license; work in progress.

(A) The board may impose any disciplinary action authorized by this chapter, Chapter 1, or any regulation promulgated under these chapters upon a licensee or qualifying party who is found guilty of any of the following:
(1) engaging in the fire sprinkler business without a primary qualifying party;
(2) failing or refusing to render service to a client as agreed between the parties and for which compensation has been paid or rendered in accordance with the agreement of the parties;
(3) failing to maintain the required certificate of comprehensive general liability insurance;
(4) obtaining a license or certificate by fraud or deceit or failing to disclose proper information on the license application, renewal, or qualifying party certificate application or renewal;
(5) performing substandard work or engaging in negligence, incompetence, or misconduct in the practice as a fire sprinkler contractor;
(6) abandoning a project or refusing to perform a project after submitting a contract on work without legal excuse for the abandonment or refusal;
(7) violating any provision of this chapter or a regulation promulgated under this chapter;
(8) being convicted in a court of competent jurisdiction of this or any other state, district, or territory of the United States, or of a foreign country of the offense of forgery, embezzlement, obtaining money under false pretenses, theft, extortion, or conspiracy to defraud or other like offense related to fire sprinkler system work;
(9) being convicted of a felony or pleading nolo contendere to any such offense; as used in this chapter, "felony" including any offense which, if committed in this State, would be deemed a felony, without regard to its designation elsewhere;
(10) aiding or abetting an entity or certificate holder to evade the provisions of this chapter by combining or conspiring with an improperly registered or licensed entity or certificate holder or allowing one's license to be used by any entity to evade the requirements of this chapter or, acting as agent, partner, or associate, of an unregistered or unlicensed entity or obtaining a building permit or permit application in the registrant's, qualifying party's, or licensee's name and listing the registrant, qualifying party, or licensee as the entity or individual that will engage or supervise any contracting work or activity when the registrant or licensee does not have a proper contract with the property owner or does not have a proper registration, license, or certificate to engage in the work or activity or performing work for an entity that is not properly licensed;
(11) failing to pay monies when due in excess of two hundred dollars for material or services rendered in connection with fire sprinkler system work without legal excuse or valid reason;
(12) hiring an entity to perform work that is not properly licensed;
(13) engaging or offering to engage in fire sprinkler system work or submitting a bid when not properly licensed or while a license is under suspension or revocation;
(14) discovering facts which if known at the time of the issuance or renewal of a license or certification would have been grounds to deny the issuance or renewal of the license or certification;
(15) failing to obtain a building permit if required by a local or state government before engaging in fire sprinkler system work;
(16) failing to take appropriate corrective action as directed by the department, hearing officer, or board to comply with the provisions of this chapter or any regulations promulgated under this chapter without valid justification within a reasonable period of time after receiving the written directive;
(17) failing to comply with an order of the board;
(18) failing to provide pertinent records and documents as requested by the department or board;
(19) failing to comply with a directive of the department or hearing officer;
(20) failing to meet the requirements for a renewal application;
(21) failing to work in accordance with plans, industry specifications, local or state building codes, or ordinances;
(22) failing to notify the department or board of the end of employment of the licensee's qualifying party within the applicable time;
(23) failing to obtain a substitute or a primary qualifying party as provided by this chapter;
(24) attempting to serve in the capacity of the primary qualifying party while serving a jail sentence;
(25) failing to notify the department of changes in information required in an original or renewal application;
(26) committing a wrongful or fraudulent act as a contractor, including the failure to pay subcontractors or suppliers after drawing payment for work or materials performed or provided by those subcontractors or suppliers;
(27) departing from an applicable building code or ordinance within the State or any of its political subdivisions;
(28) failing to maintain a business address accessible to the public;
(29) failing to properly prepare shop drawings;
(30) failing to submit shop drawings or fire sprinkler system specification sheets as required under this chapter;
(31) failing to properly test, size, or hydraulically calculate a fire sprinkler system;
(32) failing to have each branch office properly licensed;
(33) failing to have a primary qualifying party assigned to the licensee's main office or each branch office;
(34) failing to properly notify the proper authority having jurisdiction to inspect work.
(B) Disciplinary action may be taken against an entity or individual who the board determines to be responsible for violations of this chapter regardless of changes in corporate identity or federal employer identification subsequent to the violation. In determining responsibility, the board may consider, but is not limited to, an individual's:
(1) participation in management or supervision related to the violation;
(2) position as sole proprietor, partner, officer, or qualifying party.
(C) The board may, in addition to all other disciplinary actions, require a licensee, certificate holder, or other entity or individual to pay a civil penalty of up to five thousand dollars for each violation of this chapter or of a regulation promulgated under this chapter and may order an unlicensed contractor to cease and desist from violating a provision of this chapter.
(D) All costs, penalties, and fines imposed pursuant to this chapter must be paid in accordance with and are subject to the collection and enforcement provisions of Chapter 1 and of Chapter 56, Title 12, the "Setoff Debt Collection Act".
(E) A license or certificate that is canceled by the department or revoked by the board must be returned to the department within fifteen days of notification by the department.
(F) A person whose license or certificate has been revoked is eligible for licensure no sooner than one year after the date of revocation or such other time, if ever, as ordered by the board. An applicant seeking licensure or certification after having his license or certificate revoked shall complete an application for initial licensure, meet all requirements for initial licensure or certification, and appear before the board in support of the application.
(G) The licensee may complete work in progress if the licensee's license is revoked or suspended in accordance with the following:
(1) no new work may be bid or started after revocation or suspension of a license upon proper notification by the department;
(2) unless otherwise directed by the board, the revocation, suspension, or restriction of a license or certificate becomes effective following the delivery to the licensee or qualifying party of a written decision of the board. Service of a petition for a review of the decision does not stay the board's decision pending completion of the appellate process in accordance with the Administrative Procedures Act.
(H) When a licensed contractor entity is dissolved for any reason, the department must cancel the entity's license.
(I) The board may revoke, suspend, or restrict an individual license or certification without effect to other licenses, license classifications, or certifications.
(J) It is a violation of this chapter for an entity to conduct work, submit a bid, or offer for any regulated fire sprinkler system work within this State on a project that requires licensure under this chapter if the entity is not properly licensed in accordance with this chapter.
(K) If more than one violation is committed during the course of a single project, these multiple violations must be treated as one offense.
HISTORY: 2005 Act No. 177, Section 1.