Utah General Contractors - Business and Law Practice Exam

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Prepare for the Utah General Contractors Business and Law Exam with comprehensive study materials, including detailed quizzes and essential practice questions. Gain confidence and knowledge for a successful exam day!

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A General Building contractor is required to provide a license bond issued by a surety in the amount of what?

$25,000
$50,000
$75,000
$100,000

The correct answer is: $50,000

A General Building contractor is required to provide a license bond issued by a surety in the amount of $50,000. This bond serves as a financial guarantee that the contractor will comply with relevant laws and regulations governing their work. If the contractor fails to meet these obligations, the bond can be used to compensate affected parties or cover fines assessed by regulatory bodies. The amount of the bond is set to ensure that there are sufficient funds available to cover potential claims, thereby protecting the public and ensuring that contractors maintain a level of accountability in their operations. The $50,000 bond amount is established in the Utah construction statutes and reflects a balance between accessibility for contractors and the need for consumer protection. Other amounts, such as $25,000 or higher amounts like $75,000 and $100,000, do not align with the current statutory requirements for a General Building contractor in Utah.