Alabama Administrative Code › Title 465 - HOME BUILDERS LICENSURE BOARD › Chapter 465-X-3 - LICENSING › Section 465-X-3-.04 - Licensing

Current through Register Vol. 42, No. 9, June 28, 2024
(1)
Form of
			 License
.
Licenses shall be issued only to individuals,
			 partnerships, corporations, limited liability companies, and not-for-profit
			 organizations:
(a) An individual applying for
			 a license personally must satisfy all the licensure requirements.
(b) A partnership, corporation, limited
			 liability company, and not-for-profit organization applying for a license must
			 satisfy all licensure requirements.
1. A
			 general partnership, limited partnership, corporation, limited liability
			 company, or not-for-profit organization applying for a license must designate
			 as its qualifying representative an individual who is either a general partner
			 (in the case of any partnership) or an officer (in the case of a corporation)
			 or a member (in the case of a member-managed limited liability company) or a
			 manager (in the case of a manager-managed limited liability company) and who
			 either holds a license individually or meets the experience and ability
			 requirements for licensure. The entity seeking the license may rely upon the
			 designated qualifying representative's experience, ability, and successful
			 completion of any examination (testing experience and ability, conducted either
			 by the Board or a third party under contract with the Board), but must present
			 evidence to the Board that it satisfies all other licensing requirements. The
			 name of the partnership, corporation, or limited liability company, along with
			 that of its designated qualifying representative, shall appear on the face of
			 that entity's license.
2. If the
			 designated qualifying representative of a partnership, corporation, or limited
			 liability company ceases for reasons other than provided for in section 1(b)3,
			 to be a partner or officer or member (in the case of a member-managed limited
			 liability company) or manager (in the case of a manager-managed limited
			 liability company) of that entity, the designated qualifying representative and
			 the partnership, corporation, or limited liability company immediately shall so
			 notify the Board. Unless another partner, officer, or member (in the case of a
			 member-managed limited liability company) or manager (in the case of a
			 manager-managed limited liability company) as the case may be, who either
			 individually maintains a current and valid license or meets the experience and
			 ability requirements for licensure is designated as that entity's new
			 qualifying representative within 45 days after the previous designated
			 qualifying representative ceases to hold that position, the license for that
			 partnership, corporation, or limited liability company automatically shall be
			 revoked subject to a show cause hearing before the Board.
3. ln compliance with the Code of Ala. 1975,
			 Section 41-9A-3, if the designated qualifying representative of a partnership,
			 corporation, or limited liability company ceases by death, mental or physical
			 incapacitation to be a partner or officer or member (in the case of a
			 member-managed limited liability company) or manager {in the case of a
			 manager-managed limited liability company) of that entity, the partnership,
			 corporation) or limited liability company may claim a waiver of hardship for
			 reasonable time to allow a person meeting the experience and ability
			 requirements to become the new designated qualifying representative of the
			 entity.
(i) The partnership, corporation, or
			 limited liability company shall so notify the Board and shall submit the
			 prescribed hardship waiver within 45 days of the designated qualifying
			 representative's death, mental incapacitation, or physical
			 incapacitation.
(ii) The submitted
			 waiver shall include an attached copy of an obituary or death certificate in
			 the instance of the death of the designated qualifying representative. The
			 submitted waiver request shall include hut not limited to attached
			 documentation from a diagnosing physician in the instance of mental or physical
			 incapacitation to include but not limited to diagnosis date.
(iii) Any hardship waiver submitted to the
			 Board after 45 days from the death or incapacitation of the designated
			 qualifying representative may be denied subject to a show cause hearing before
			 the Board.
(iv) A granted hardship
			 waiver shall be valid for no more than a maximum of 135 days after the date of
			 death or incapacitation of the designated qualifying representative.
(v) The waiver shall not be extended, and the
			 license shall be revoked subject to a show cause hearing before the
			 Board.
(vi) A fee equal to one-half
			 of the renewal fee for the license held by the entity may be assessed before
			 issuance of hardship waiver.
(vii)
			 If another partner, officer, or member (in the case of a member-managed
			 limited-liability company) or manager (in the case of a manager-managed limited
			 liability company) as the case may be, who either individually maintains a
			 current and valid license or meets the experience and ability requirements for
			 licensure is designated as that entity's new qualifying representative within
			 45 days after the previous designated qualifying representative ceases to hold
			 that position because of death, mental incapacity, or physical incapacity, then
			 entity may submit the proper change of qualifier form instead of the hardship
			 waiver.
(c) The
			 extent to which a residential home builder, including residential roofers, may
			 engage in the residential home building business depends upon the form of
			 license held:
1. A residential home builder,
			 including residential roofers, who is not licensed individually may engage in
			 the residential home building business only through a licensed partnership,
			 corporation, or limited liability company, of which the builder is an employee,
			 partner, officer, or member.
2. A
			 residential home builder, including residential roofers, who is the designated
			 qualifying representative of an entity may engage in the residential home
			 building business only through that entity; if such builder wishes to engage in
			 the residential home building business either individually or through another
			 entity that is not otherwise licensed, that builder must obtain a license,
			 either individually or on behalf of the other entity, of which the builder may
			 be the designated qualifying representative. A residential home builder who is
			 the qualifying representative of an entity shall be deemed to have satisfied
			 the experience and ability requirements for licensure, but must satisfy all
			 other licensing requirements, including without limitation, the financial
			 responsibility requirements, before qualifying for a license either
			 individually or on behalf of another entity.
3. A residential home builder, including
			 residential roofers, licensed individually may engage in the residential home
			 building business either individually or through a licensed entity of which the
			 individual licensee is an employee, partner, officer, or member.
EXAMPLES:
(i) ABC
			 Builders, Inc. has three officers, each of whom meets the experience and
			 ability requirements for licensure. Adams is the qualifying representative of
			 the corporation. Brown individually meets all the licensing requirements,
			 including without limitation the financial responsibility requirement, and
			 obtains an individual license. Carter is not licensed, either individually or
			 as the qualifying representative of the corporation. Adams and Carter may
			 engage in the residential home building only through ABC Builders, Inc., but
			 Brown may do so either individually or through ABC Builders, Inc.
(ii) Five years after ABC Builders, Inc. was
			 issued a license, Adams decides to engage in the residential home building
			 business through a newly formed partnership, Adams Builders, of which he is a
			 partner. Adams Builders applies for a license, naming Adams as its qualifying
			 representative. Because he is the qualifying representative of ABC Builders,
			 Inc., Adams is deemed to have satisfied the experience and ability requirements
			 for licensure, but Adams Builders will have to satisfy all other requirements
			 for licensure, including without limitation the financial responsibility
			 requirement.
(iii) Five years after
			 ABC Builders, Inc., was issued a license, Carter decides to engage individually
			 in the residential home building business. Because Carter is neither the
			 qualifying representative of ABC Builders, Inc. nor licensed individually,
			 Carter will have to satisfy all of the requirements for licensure, including
			 the experience and ability requirements, which means successful completion of
			 any examination testing experience and ability, conducted either by the Board
			 or a third party under contract with the Board.