Reviewed October 2019

FACTS:

The buyer and seller executed an AAR Residential Resale Real Estate Purchase Contract. After the home inspection, the buyer requested that certain roof repairs be made.  In the Buyer’s Inspection Notice and Seller’s Response (“BINSR”), the seller agreed to repair the roof.  The bid for the roof repair is $2,500.

ISSUE:

Must the seller use a licensed contractor for the roof repairs?

ANSWER:

Yes.

DISCUSSION:

In Arizona “it is unlawful for any person” or entity to submit a bid or provide construction services without a contractor license. A.R.S. § 32-1151.  There is a commonly cited handyman exemption to this rule which allows an unlicensed handyman to perform work “for which the aggregate contract price … is less than $1,000.”  A.R.S. § 32-1121(A)(14).  The statute goes on to say “the work or operations which are exempt under this paragraph shall be of a casual or minor nature.” Id. Moreover, the handyman exemption does not apply if the work requires a building permit.   A.R.S. § 32-1121(A)(14)(a).  Accordingly, because the work in this case exceeds $1,000 and is not casual or minor in nature, a licensed contractor must be utilized.