Local Licensing

BS
Brian Solomon
Mon, Mar 10, 2014 4:50 PM

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn't have proof of workers compensation insurance.

Has anyone run into this situation?

[email signature 4]

My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn't have proof of workers compensation insurance. Has anyone run into this situation? [email signature 4]
GM
Gibbons, Michael
Mon, Mar 10, 2014 5:28 PM

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the "statutory employer" under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It's been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I'm surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image004.jpg@01CF3C64.981653F0]

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn't have proof of workers compensation insurance.

Has anyone run into this situation?

[email signature 4]

This email message has been delivered safely and archived online by Mimecast.  For more information please visit http://www.mimecast.com

I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the "statutory employer" under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It's been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I'm surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image004.jpg@01CF3C64.981653F0] From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn't have proof of workers compensation insurance. Has anyone run into this situation? [email signature 4] This email message has been delivered safely and archived online by Mimecast. For more information please visit http://www.mimecast.com
WP
White, Patrick G.
Mon, Mar 10, 2014 6:16 PM

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html>

Patrick G. White | Biohttp://www.porterwright.com/patrick_white/ | Porter Wright Morris & Arthur LLPhttp://www.porterwright.com | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image001.jpg@01CF3C6B.19E26B70]

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

[email signature 4]

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Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html> Patrick G. White | Bio<http://www.porterwright.com/patrick_white/> | Porter Wright Morris & Arthur LLP<http://www.porterwright.com> | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image001.jpg@01CF3C6B.19E26B70] From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? [email signature 4] Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail. Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30] **********Notice from Porter Wright Morris & Arthur LLP********** This message may be protected by the attorney-client privilege. If you believe that it has been sent to you in error, do not read, print or forward it. Please reply to the sender that you have received the message in error. Then delete it. Thank you. To comply with certain U.S. Treasury regulations, we inform you that any federal tax advice contained in this message, including attachments, is not a covered opinion as described in Treasury Department Circular 230 and therefore cannot be relied upon to avoid any tax penalties or to support the promotion or marketing of any federal tax transaction. ********************End of Notice********************
GM
Gibbons, Michael
Mon, Mar 10, 2014 6:50 PM

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image001.jpg@01CF3C70.136036B0]

From: White, Patrick G. [mailto:PWhite@porterwright.com]
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html>

Patrick G. White | Biohttp://www.porterwright.com/patrick_white/ | Porter Wright Morris & Arthur LLPhttp://www.porterwright.com | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.commailto:pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image005.jpg@01CF3C70.11FF6E30]

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

[email signature 4]

Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same.

Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail.

Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30]

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To comply with certain U.S. Treasury regulations, we inform you that any federal tax advice contained in this message, including attachments, is not a covered opinion as described in Treasury Department Circular 230 and therefore cannot be relied upon to avoid any tax penalties or to support the promotion or marketing of any federal tax transaction.
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Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image001.jpg@01CF3C70.136036B0] From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html> Patrick G. White | Bio<http://www.porterwright.com/patrick_white/> | Porter Wright Morris & Arthur LLP<http://www.porterwright.com> | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com<mailto:pwhite@porterwright.com> Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image005.jpg@01CF3C70.11FF6E30] From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? [email signature 4] Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. 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lauriesams (at) comcast.net
Mon, Mar 10, 2014 7:21 PM

I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption.  To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption.  She does not own any of the LLC, as such she cannot be exempt.  He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her.
Laurie B. Sams
Van Winkle & Sams, P.A.
3859 Bee Ridge Road, Suite 202
Sarasota, FL 34233
(941) 923-1685
fax (941) 923-0174
www.vwslaw.com
Please Note: Our firm only accepts WIRES for closings.
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----- Original Message -----
From: Gibbons, Michael
To: 'White, Patrick G.' ; 'Brian Solomon' ; clc-discussion@lists.flabarrpptl.org
Sent: Monday, March 10, 2014 2:50 PM
Subject: Re: [CLC-Discussion] Local Licensing

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

Michael R. Gibbons  (Bio)

Shareholder

Lowndes, Drosdick, Doster, Kantor & Reed, P.A.

215 N. Eola Drive

Orlando, FL 32801

Phone: 407-418-6378

Fax: 407-843-4444

email: michael.gibbons@lowndes-law.com

website: http://www.lowndes-law.com

From: White, Patrick G. [mailto:PWhite@porterwright.com]
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115(5) and workers’ compensation insurance coverage as required by s. 489.114

Patrick G. White | Bio | Porter Wright Morris & Arthur LLP | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Bio)

Shareholder

Lowndes, Drosdick, Doster, Kantor & Reed, P.A.

215 N. Eola Drive

Orlando, FL 32801

Phone: 407-418-6378

Fax: 407-843-4444

email: michael.gibbons@lowndes-law.com

website: http://www.lowndes-law.com

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same.

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I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption. To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption. She does not own any of the LLC, as such she cannot be exempt. He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her. Laurie B. Sams Van Winkle & Sams, P.A. 3859 Bee Ridge Road, Suite 202 Sarasota, FL 34233 (941) 923-1685 fax (941) 923-0174 www.vwslaw.com Please Note: Our firm only accepts WIRES for closings. CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by telephone (941) 923-1685, or e-mail at lauriesams@comcast.net and immediately delete this message and all of its attachments. ----- Original Message ----- From: Gibbons, Michael To: 'White, Patrick G.' ; 'Brian Solomon' ; clc-discussion@lists.flabarrpptl.org Sent: Monday, March 10, 2014 2:50 PM Subject: Re: [CLC-Discussion] Local Licensing Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons (Bio) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com website: http://www.lowndes-law.com From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115(5) and workers’ compensation insurance coverage as required by s. 489.114 Patrick G. White | Bio | Porter Wright Morris & Arthur LLP | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com website: http://www.lowndes-law.com From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail. Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30] **********Notice from Porter Wright Morris & Arthur LLP********** This message may be protected by the attorney-client privilege. If you believe that it has been sent to you in error, do not read, print or forward it. Please reply to the sender that you have received the message in error. Then delete it. Thank you. To comply with certain U.S. Treasury regulations, we inform you that any federal tax advice contained in this message, including attachments, is not a covered opinion as described in Treasury Department Circular 230 and therefore cannot be relied upon to avoid any tax penalties or to support the promotion or marketing of any federal tax transaction. ********************End of Notice******************** Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail. Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30] ------------------------------------------------------------------------------ _______________________________________________ CLC-Discussion mailing list CLC-Discussion@lists.flabarrpptl.org http://mailman.fsr.com/mailman/listinfo/clc-discussion
CC
Chris Cobb
Mon, Mar 10, 2014 7:37 PM

Also makes you wonder how the sister can qualify the company if she is not a member and not an employee……

[cid:image002.jpg@01CF3C76.B3FB44B0]

Christopher M. Cobb, Esq.
Board Certified in Construction Law
Jimerson & Cobb, P.A.
Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations

Telephone: (904) 389-0050 | Facsimile: (904) 212-1269
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From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of lauriesams@comcast.net
Sent: Monday, March 10, 2014 3:21 PM
To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption.  To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption.  She does not own any of the LLC, as such she cannot be exempt.  He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her.
Laurie B. Sams
Van Winkle & Sams, P.A.
3859 Bee Ridge Road, Suite 202
Sarasota, FL 34233
(941) 923-1685
fax (941) 923-0174
www.vwslaw.comhttp://www.vwslaw.com
Please Note: Our firm only accepts WIRES for closings.
CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise
be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have
received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is
strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by
telephone (941) 923-1685, or e-mail at lauriesams@comcast.netmailto:lauriesams@comcast.net  and immediately delete this message and all of its
attachments.
----- Original Message -----
From: Gibbons, Michaelmailto:Michael.Gibbons@lowndes-law.com
To: 'White, Patrick G.'mailto:PWhite@porterwright.com ; 'Brian Solomon'mailto:bsolomon@solomon-law.com ; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Sent: Monday, March 10, 2014 2:50 PM
Subject: Re: [CLC-Discussion] Local Licensing

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image003.jpg@01CF3C76.B3FB44B0]

From: White, Patrick G. [mailto:PWhite@porterwright.com]
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html>

Patrick G. White | Biohttp://www.porterwright.com/patrick_white/ | Porter Wright Morris & Arthur LLPhttp://www.porterwright.com | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.commailto:pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image003.jpg@01CF3C76.B3FB44B0]

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

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Also makes you wonder how the sister can qualify the company if she is not a member and not an employee…… [cid:image002.jpg@01CF3C76.B3FB44B0] Christopher M. Cobb, Esq. Board Certified in Construction Law Jimerson & Cobb, P.A. Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations Telephone: (904) 389-0050 | Facsimile: (904) 212-1269 ccobb@jimersoncobb.com<mailto:ccobb@jimersoncobb.com> | JimersonCobb.com<http://www.jimersoncobb.com/> Add to Contacts<http://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf> | View Biography<http://www.jimersoncobb.com/attorneys/christopher-m-cobb/> From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of lauriesams@comcast.net Sent: Monday, March 10, 2014 3:21 PM To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption. To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption. She does not own any of the LLC, as such she cannot be exempt. He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her. Laurie B. Sams Van Winkle & Sams, P.A. 3859 Bee Ridge Road, Suite 202 Sarasota, FL 34233 (941) 923-1685 fax (941) 923-0174 www.vwslaw.com<http://www.vwslaw.com> Please Note: Our firm only accepts WIRES for closings. CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by telephone (941) 923-1685, or e-mail at lauriesams@comcast.net<mailto:lauriesams@comcast.net> and immediately delete this message and all of its attachments. ----- Original Message ----- From: Gibbons, Michael<mailto:Michael.Gibbons@lowndes-law.com> To: 'White, Patrick G.'<mailto:PWhite@porterwright.com> ; 'Brian Solomon'<mailto:bsolomon@solomon-law.com> ; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Sent: Monday, March 10, 2014 2:50 PM Subject: Re: [CLC-Discussion] Local Licensing Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image003.jpg@01CF3C76.B3FB44B0] From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html> Patrick G. White | Bio<http://www.porterwright.com/patrick_white/> | Porter Wright Morris & Arthur LLP<http://www.porterwright.com> | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com<mailto:pwhite@porterwright.com> Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image003.jpg@01CF3C76.B3FB44B0] From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? [email signature 4] Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail. Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30] **********Notice from Porter Wright Morris & Arthur LLP********** This message may be protected by the attorney-client privilege. If you believe that it has been sent to you in error, do not read, print or forward it. Please reply to the sender that you have received the message in error. Then delete it. Thank you. To comply with certain U.S. Treasury regulations, we inform you that any federal tax advice contained in this message, including attachments, is not a covered opinion as described in Treasury Department Circular 230 and therefore cannot be relied upon to avoid any tax penalties or to support the promotion or marketing of any federal tax transaction. ********************End of Notice******************** Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail. Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30] ________________________________ _______________________________________________ CLC-Discussion mailing list CLC-Discussion@lists.flabarrpptl.org<mailto:CLC-Discussion@lists.flabarrpptl.org> http://mailman.fsr.com/mailman/listinfo/clc-discussion
AD
Arnold D. Tritt, Jr.
Mon, Mar 10, 2014 7:43 PM

You people obviously don’t have kin folk in the construction industry from Georgia (or Appalachia) where your sister can be your aunt, your cousin and your qualifying agent.  No branches on the family tree if you get my drift.

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Chris Cobb
Sent: Monday, March 10, 2014 3:38 PM
To: lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

Also makes you wonder how the sister can qualify the company if she is not a member and not an employee……

Christopher M. Cobb, Esq.

Board Certified in Construction Law

Jimerson & Cobb, P.A.

Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations

Telephone: (904) 389-0050 | Facsimile: (904) 212-1269
ccobb@jimersoncobb.com | JimersonCobb.com http://www.jimersoncobb.com/

Add to Contacts http://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf  | View Biography http://www.jimersoncobb.com/attorneys/christopher-m-cobb/

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of lauriesams@comcast.net
Sent: Monday, March 10, 2014 3:21 PM
To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption.  To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption.  She does not own any of the LLC, as such she cannot be exempt.  He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her.

Laurie B. Sams
Van Winkle & Sams, P.A.
3859 Bee Ridge Road, Suite 202
Sarasota, FL 34233
(941) 923-1685
fax (941) 923-0174
www.vwslaw.com
Please Note: Our firm only accepts WIRES for closings.
CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise
be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have
received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is
strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by
telephone (941) 923-1685, or e-mail at lauriesams@comcast.net  and immediately delete this message and all of its
attachments.

----- Original Message ----- 

From: Gibbons, Michael <mailto:Michael.Gibbons@lowndes-law.com>  

To: 'White, Patrick G.' <mailto:PWhite@porterwright.com>  ; 'Brian Solomon' <mailto:bsolomon@solomon-law.com>  ; clc-discussion@lists.flabarrpptl.org 

Sent: Monday, March 10, 2014 2:50 PM

Subject: Re: [CLC-Discussion] Local Licensing

 

 

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

 

Michael R. Gibbons  (Bio <http://lowndes-law.com/our-people/michael-r-gibbons> )

Shareholder

Lowndes, Drosdick, Doster, Kantor & Reed, P.A.

215 N. Eola Drive

Orlando, FL 32801

Phone: 407-418-6378

Fax: 407-843-4444

email: michael.gibbons@lowndes-law.com <mailto:michael.gibbons@lowndes-law.com> 

website: http://www.lowndes-law.com <http://www.lowndes-law.com/> 

 

         

 

From: White, Patrick G. [mailto:PWhite@porterwright.com] 
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

 

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

 

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115(5) and workers’ compensation insurance coverage as required by s. 489.114

 

 

Patrick G. White | Bio <http://www.porterwright.com/patrick_white/>  | Porter Wright Morris & Arthur LLP <http://www.porterwright.com>  | 9132 Strada Place, 3rd Floor | Naples, FL 34108 

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

 

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

 

 

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

 

 

 

Michael R. Gibbons  (Bio <http://lowndes-law.com/our-people/michael-r-gibbons> )

Shareholder

Lowndes, Drosdick, Doster, Kantor & Reed, P.A.

215 N. Eola Drive

Orlando, FL 32801

Phone: 407-418-6378

Fax: 407-843-4444

email: michael.gibbons@lowndes-law.com <mailto:michael.gibbons@lowndes-law.com> 

website: http://www.lowndes-law.com <http://www.lowndes-law.com/> 

 

        

 

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

 

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

 

Has anyone run into this situation?

 

 

 

 

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You people obviously don’t have kin folk in the construction industry from Georgia (or Appalachia) where your sister can be your aunt, your cousin and your qualifying agent. No branches on the family tree if you get my drift. From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Chris Cobb Sent: Monday, March 10, 2014 3:38 PM To: lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing Also makes you wonder how the sister can qualify the company if she is not a member and not an employee…… Christopher M. Cobb, Esq. Board Certified in Construction Law Jimerson & Cobb, P.A. Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations Telephone: (904) 389-0050 | Facsimile: (904) 212-1269 ccobb@jimersoncobb.com | JimersonCobb.com <http://www.jimersoncobb.com/> Add to Contacts <http://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf> | View Biography <http://www.jimersoncobb.com/attorneys/christopher-m-cobb/> From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of lauriesams@comcast.net Sent: Monday, March 10, 2014 3:21 PM To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption. To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption. She does not own any of the LLC, as such she cannot be exempt. He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her. Laurie B. Sams Van Winkle & Sams, P.A. 3859 Bee Ridge Road, Suite 202 Sarasota, FL 34233 (941) 923-1685 fax (941) 923-0174 www.vwslaw.com Please Note: Our firm only accepts WIRES for closings. CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by telephone (941) 923-1685, or e-mail at lauriesams@comcast.net and immediately delete this message and all of its attachments. ----- Original Message ----- From: Gibbons, Michael <mailto:Michael.Gibbons@lowndes-law.com> To: 'White, Patrick G.' <mailto:PWhite@porterwright.com> ; 'Brian Solomon' <mailto:bsolomon@solomon-law.com> ; clc-discussion@lists.flabarrpptl.org Sent: Monday, March 10, 2014 2:50 PM Subject: Re: [CLC-Discussion] Local Licensing Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons (Bio <http://lowndes-law.com/our-people/michael-r-gibbons> ) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com <mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com <http://www.lowndes-law.com/> From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115(5) and workers’ compensation insurance coverage as required by s. 489.114 Patrick G. White | Bio <http://www.porterwright.com/patrick_white/> | Porter Wright Morris & Arthur LLP <http://www.porterwright.com> | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio <http://lowndes-law.com/our-people/michael-r-gibbons> ) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com <mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com <http://www.lowndes-law.com/> From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. 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Dave Worthy
Mon, Mar 10, 2014 7:46 PM

Michael:

To throw some more salt your client’s way; you say:  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.

If the qualifier-sister “does not work for the company,” then your client seems to be running afoul of:

Section 489.119(1)(b)(1):  “to qualify a business organization must include an affidavit on a form provided by the board attesting that the applicant has final approval authority for all construction work performed by the business organization and that the applicant has final approval authority on all business matters, including contracts, specifications, checks, drafts, or payments, regardless of the form of payment, made by the business organization, except where a financially responsible officer is approved.”

Section 489.1195(1)(a):  “All primary qualifying agents for a business organization are jointly and equally responsible for supervision of all operations of the business organization; for all field work at all sites; and for financial matters, both for the organization in general and for each specific job.”

Section 489.129(d):  “Performing any act which assists a person or entity in engaging in the prohibited uncertified and unregistered practice of contracting, if the certificateholder or registrant knows or has reasonable grounds to know that the person or entity was uncertified and unregistered.”

Section 489.129(e):  “Knowingly combining or conspiring with an uncertified or unregistered person by allowing his or her certificate or registration to be used by the uncertified or unregistered person with intent to evade the provisions of this part. When a certificateholder or registrant allows his or her certificate or registration to be used by one or more business organizations without having any active participation in the operations, management, or control of such business organizations, such act constitutes prima facie evidence of an intent to evade the provisions of this part.”

And various provisions in Section 489.127.

Of course, then Section 489.128 regarding the unenforceability of any contracts would follow.

I’m just say’n!

David L. Worthy, Esq.
Florida Bar Board Certified - Construction Law

Dave@NPW-Law.com

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From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 2:50 PM
To: 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

Michael R. Gibbons  ( http://lowndes-law.com/our-people/michael-r-gibbons Bio)

Shareholder

Lowndes, Drosdick, Doster, Kantor & Reed, P.A.

215 N. Eola Drive

Orlando, FL 32801

Phone: 407-418-6378

Fax: 407-843-4444

email:  mailto:michael.gibbons@lowndes-law.com michael.gibbons@lowndes-law.com

website:  http://www.lowndes-law.com/ http://www.lowndes-law.com

From: White, Patrick G. [mailto:PWhite@porterwright.com]
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115(5) and workers’ compensation insurance coverage as required by s. 489.114

Patrick G. White |  http://www.porterwright.com/patrick_white/ Bio |  http://www.porterwright.com Porter Wright Morris & Arthur LLP | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  ( http://lowndes-law.com/our-people/michael-r-gibbons Bio)

Shareholder

Lowndes, Drosdick, Doster, Kantor & Reed, P.A.

215 N. Eola Drive

Orlando, FL 32801

Phone: 407-418-6378

Fax: 407-843-4444

email:  mailto:michael.gibbons@lowndes-law.com michael.gibbons@lowndes-law.com

website:  http://www.lowndes-law.com/ http://www.lowndes-law.com

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

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Michael: To throw some more salt your client’s way; you say: The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. If the qualifier-sister “does not work for the company,” then your client seems to be running afoul of: Section 489.119(1)(b)(1): “to qualify a business organization must include an affidavit on a form provided by the board attesting that the applicant has final approval authority for all construction work performed by the business organization and that the applicant has final approval authority on all business matters, including contracts, specifications, checks, drafts, or payments, regardless of the form of payment, made by the business organization, except where a financially responsible officer is approved.” Section 489.1195(1)(a): “All primary qualifying agents for a business organization are jointly and equally responsible for supervision of all operations of the business organization; for all field work at all sites; and for financial matters, both for the organization in general and for each specific job.” Section 489.129(d): “Performing any act which assists a person or entity in engaging in the prohibited uncertified and unregistered practice of contracting, if the certificateholder or registrant knows or has reasonable grounds to know that the person or entity was uncertified and unregistered.” Section 489.129(e): “Knowingly combining or conspiring with an uncertified or unregistered person by allowing his or her certificate or registration to be used by the uncertified or unregistered person with intent to evade the provisions of this part. When a certificateholder or registrant allows his or her certificate or registration to be used by one or more business organizations without having any active participation in the operations, management, or control of such business organizations, such act constitutes prima facie evidence of an intent to evade the provisions of this part.” And various provisions in Section 489.127. Of course, then Section 489.128 regarding the unenforceability of any contracts would follow. I’m just say’n! David L. Worthy, Esq. Florida Bar Board Certified - Construction Law Dave@NPW-Law.com Niesen|Price|Worthy|Campo 5216 SW 91st Drive Gainesville, FL 32608 Ph (352) 373-9031 Fax (352) 373-9099 http://NPW-Law.com <http://npw-law.com/> NPW_Logo_Fluted_Thumb (1) certification logo half size This communication is intended for the sole use of the individual or entity to which it is addressed and may contain information that is privileged, confidential and exempt from disclosure under applicable law. If the reader of this communication is not the intended recipient, employee or agent responsible for delivering the message to the intended recipient, you are hereby notified that any review, dissemination, distribution or copying of this communication is strictly prohibited. If you have received this communication in error, please immediately notify me by telephone, delete this communication, and destroy any copies of it. Thank you. From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 2:50 PM To: 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons ( <http://lowndes-law.com/our-people/michael-r-gibbons> Bio) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: <mailto:michael.gibbons@lowndes-law.com> michael.gibbons@lowndes-law.com website: <http://www.lowndes-law.com/> http://www.lowndes-law.com From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115(5) and workers’ compensation insurance coverage as required by s. 489.114 Patrick G. White | <http://www.porterwright.com/patrick_white/> Bio | <http://www.porterwright.com> Porter Wright Morris & Arthur LLP | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons ( <http://lowndes-law.com/our-people/michael-r-gibbons> Bio) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: <mailto:michael.gibbons@lowndes-law.com> michael.gibbons@lowndes-law.com website: <http://www.lowndes-law.com/> http://www.lowndes-law.com From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? email signature 4 Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. 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Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30] **********Notice from Porter Wright Morris & Arthur LLP********** This message may be protected by the attorney-client privilege. If you believe that it has been sent to you in error, do not read, print or forward it. Please reply to the sender that you have received the message in error. Then delete it. Thank you. 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If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. Replies Filtered: Any incoming reply to this e-mail communication or other e-mail communication to us will be electronically filtered for "spam" and/or "viruses." That filtering process may result in such reply or other e-mail communications to us being quarantined (i.e., potentially not received at our site at all) and/or delayed in reaching us. For that reason, we cannot guarantee that we will receive your reply or other e-mail communications to us and/or that we will receive the same in a timely manner. Accordingly, you should consider sending communications to us which are particularly important or time-sensitive by means other than e-mail. Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30]
RJ
Reese J. Henderson, Jr.
Mon, Mar 10, 2014 7:51 PM

I agree with Chris – you have a bigger problem than WC here.  You have potential aiding and abetting issues . . . .

From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Chris Cobb
Sent: Monday, March 10, 2014 3:38 PM
To: lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

Also makes you wonder how the sister can qualify the company if she is not a member and not an employee……

[cid:image002.jpg@01CF3C78.85832420]

Christopher M. Cobb, Esq.
Board Certified in Construction Law
Jimerson & Cobb, P.A.
Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations

Telephone: (904) 389-0050 | Facsimile: (904) 212-1269
ccobb@jimersoncobb.commailto:ccobb@jimersoncobb.com | JimersonCobb.comhttp://www.jimersoncobb.com/

Add to Contactshttp://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf | View Biographyhttp://www.jimersoncobb.com/attorneys/christopher-m-cobb/

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org]mailto:[mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of lauriesams@comcast.netmailto:lauriesams@comcast.net
Sent: Monday, March 10, 2014 3:21 PM
To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption.  To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption.  She does not own any of the LLC, as such she cannot be exempt.  He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her.
Laurie B. Sams
Van Winkle & Sams, P.A.
3859 Bee Ridge Road, Suite 202
Sarasota, FL 34233
(941) 923-1685
fax (941) 923-0174
www.vwslaw.comhttp://www.vwslaw.com
Please Note: Our firm only accepts WIRES for closings.
CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise
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attachments.
----- Original Message -----
From: Gibbons, Michaelmailto:Michael.Gibbons@lowndes-law.com
To: 'White, Patrick G.'mailto:PWhite@porterwright.com ; 'Brian Solomon'mailto:bsolomon@solomon-law.com ; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Sent: Monday, March 10, 2014 2:50 PM
Subject: Re: [CLC-Discussion] Local Licensing

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image006.jpg@01CF3C78.83FF1C30]

From: White, Patrick G. [mailto:PWhite@porterwright.com]
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html>

Patrick G. White | Biohttp://www.porterwright.com/patrick_white/ | Porter Wright Morris & Arthur LLPhttp://www.porterwright.com | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.commailto:pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image006.jpg@01CF3C78.83FF1C30]

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

[email signature 4]

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Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30]



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Reese J. Henderson, Jr.
Board Certified Construction Attorney
GrayRobinson, P.A.
50 North Laura Street, Suite 1100

Jacksonville, FL 32202

Main: 904-598-9929 | Fax: 904-598-9109

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I agree with Chris – you have a bigger problem than WC here. You have potential aiding and abetting issues . . . . From: clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Chris Cobb Sent: Monday, March 10, 2014 3:38 PM To: lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: Re: [CLC-Discussion] Local Licensing Also makes you wonder how the sister can qualify the company if she is not a member and not an employee…… [cid:image002.jpg@01CF3C78.85832420] Christopher M. Cobb, Esq. Board Certified in Construction Law Jimerson & Cobb, P.A. Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations Telephone: (904) 389-0050 | Facsimile: (904) 212-1269 ccobb@jimersoncobb.com<mailto:ccobb@jimersoncobb.com> | JimersonCobb.com<http://www.jimersoncobb.com/> Add to Contacts<http://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf> | View Biography<http://www.jimersoncobb.com/attorneys/christopher-m-cobb/> From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org]<mailto:[mailto:clc-discussion-bounces@lists.flabarrpptl.org]> On Behalf Of lauriesams@comcast.net<mailto:lauriesams@comcast.net> Sent: Monday, March 10, 2014 3:21 PM To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption. To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption. She does not own any of the LLC, as such she cannot be exempt. He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her. Laurie B. Sams Van Winkle & Sams, P.A. 3859 Bee Ridge Road, Suite 202 Sarasota, FL 34233 (941) 923-1685 fax (941) 923-0174 www.vwslaw.com<http://www.vwslaw.com> Please Note: Our firm only accepts WIRES for closings. CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by telephone (941) 923-1685, or e-mail at lauriesams@comcast.net<mailto:lauriesams@comcast.net> and immediately delete this message and all of its attachments. ----- Original Message ----- From: Gibbons, Michael<mailto:Michael.Gibbons@lowndes-law.com> To: 'White, Patrick G.'<mailto:PWhite@porterwright.com> ; 'Brian Solomon'<mailto:bsolomon@solomon-law.com> ; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Sent: Monday, March 10, 2014 2:50 PM Subject: Re: [CLC-Discussion] Local Licensing Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image006.jpg@01CF3C78.83FF1C30] From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html> Patrick G. White | Bio<http://www.porterwright.com/patrick_white/> | Porter Wright Morris & Arthur LLP<http://www.porterwright.com> | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com<mailto:pwhite@porterwright.com> Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image006.jpg@01CF3C78.83FF1C30] From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? [email signature 4] Notice of Confidentiality: This e-mail communication and the attachment(s) hereto, if any, are intended solely for the information and use of the addressee(s) identified above and may contain information which is legally privileged from disclosure and/or otherwise confidential. If a recipient of this e-mail communication is not an addressee (or an authorized representative of an addressee), such recipient is hereby advised that any review, disclosure, reproduction, re-transmission or other dissemination or use of this e-mail communication (or any information contained herein) is strictly prohibited. If you are not an addressee and have received this e-mail communication in error, please advise the sender of that circumstance either by reply e-mail or by telephone at (800) 356-6818, immediately delete this e-mail communication from any computer and destroy all physical copies of same. 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[v4.30] ________________________________ _______________________________________________ CLC-Discussion mailing list CLC-Discussion@lists.flabarrpptl.org<mailto:CLC-Discussion@lists.flabarrpptl.org> http://mailman.fsr.com/mailman/listinfo/clc-discussion Reese J. Henderson, Jr. Board Certified Construction Attorney GrayRobinson, P.A. 50 North Laura Street, Suite 1100 >Jacksonville, FL 32202 Main: 904-598-9929 | Fax: 904-598-9109 Email: reese.henderson@gray-robinson.com This e-mail is intended only for the individual(s) or entity(s) named within the message. This e-mail might contain legally privileged and confidential information. If you properly received this e-mail as a client or retained expert, please hold it in confidence to protect the attorney-client or work product privileges. Should the intended recipient forward or disclose this message to another person or party, that action could constitute a waiver of the attorney-client privilege. 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GM
Gibbons, Michael
Mon, Mar 10, 2014 8:09 PM

Qualifiers are not required to be employees or owners of the qualified business organization. They are required to have ultimate authority over all construction issues on projects where their license is used for a permit.  I have assisted business organizations with Ch. 489 qualifiers who were neither owners nor employees.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image001.jpg@01CF3C7B.28268210]

From: Reese J. Henderson, Jr. [mailto:Reese.Henderson@gray-robinson.com]
Sent: Monday, March 10, 2014 3:51 PM
To: Chris Cobb; lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org
Subject: RE: [CLC-Discussion] Local Licensing

I agree with Chris – you have a bigger problem than WC here.  You have potential aiding and abetting issues . . . .

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Chris Cobb
Sent: Monday, March 10, 2014 3:38 PM
To: lauriesams@comcast.netmailto:lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

Also makes you wonder how the sister can qualify the company if she is not a member and not an employee……

[cid:image002.jpg@01CF3C7B.28268210]

Christopher M. Cobb, Esq.
Board Certified in Construction Law
Jimerson & Cobb, P.A.
Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations

Telephone: (904) 389-0050 | Facsimile: (904) 212-1269
ccobb@jimersoncobb.commailto:ccobb@jimersoncobb.com | JimersonCobb.comhttp://www.jimersoncobb.com/

Add to Contactshttp://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf | View Biographyhttp://www.jimersoncobb.com/attorneys/christopher-m-cobb/

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org]mailto:[mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of lauriesams@comcast.netmailto:lauriesams@comcast.net
Sent: Monday, March 10, 2014 3:21 PM
To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption.  To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption.  She does not own any of the LLC, as such she cannot be exempt.  He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her.
Laurie B. Sams
Van Winkle & Sams, P.A.
3859 Bee Ridge Road, Suite 202
Sarasota, FL 34233
(941) 923-1685
fax (941) 923-0174
www.vwslaw.comhttp://www.vwslaw.com
Please Note: Our firm only accepts WIRES for closings.
CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise
be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have
received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is
strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by
telephone (941) 923-1685, or e-mail at lauriesams@comcast.netmailto:lauriesams@comcast.net  and immediately delete this message and all of its
attachments.
----- Original Message -----
From: Gibbons, Michaelmailto:Michael.Gibbons@lowndes-law.com
To: 'White, Patrick G.'mailto:PWhite@porterwright.com ; 'Brian Solomon'mailto:bsolomon@solomon-law.com ; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Sent: Monday, March 10, 2014 2:50 PM
Subject: Re: [CLC-Discussion] Local Licensing

Thanks for the statutory cites Patrick.  However, I’m not sure that resolves the issue.  Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440.  Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post).  Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure.  Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image009.jpg@01CF3C7B.25C49D40]

From: White, Patrick G. [mailto:PWhite@porterwright.com]
Sent: Monday, March 10, 2014 2:17 PM
To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: RE: Local Licensing

Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c)  489.114, so why grant the license! They wouldn’t here in Collier either-

(c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html>

Patrick G. White | Biohttp://www.porterwright.com/patrick_white/ | Porter Wright Morris & Arthur LLPhttp://www.porterwright.com | 9132 Strada Place, 3rd Floor | Naples, FL 34108

Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.commailto:pwhite@porterwright.com

Florida Bar Board Certified in City, County, and Local Government Law

porterwright

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael
Sent: Monday, March 10, 2014 1:28 PM
To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Local Licensing

I have not.  And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me.  The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer.  When the GC itself is exempt, that safety net is lost.  It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements.  I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage.

Michael R. Gibbons  (Biohttp://lowndes-law.com/our-people/michael-r-gibbons)
Shareholder
Lowndes, Drosdick, Doster, Kantor & Reed, P.A.
215 N. Eola Drive
Orlando, FL 32801
Phone: 407-418-6378
Fax: 407-843-4444
email: michael.gibbons@lowndes-law.commailto:michael.gibbons@lowndes-law.com
website: http://www.lowndes-law.comhttp://www.lowndes-law.com/

    [cid:image009.jpg@01CF3C7B.25C49D40]

From: clc-discussion-bounces@lists.flabarrpptl.orgmailto:clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon
Sent: Monday, March 10, 2014 12:51 PM
To: clc-discussion@lists.flabarrpptl.orgmailto:clc-discussion@lists.flabarrpptl.org
Subject: [CLC-Discussion] Local Licensing

My client is a single member LLC with a certificate of workers compensation insurance exemption.  The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company.  Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance.

Has anyone run into this situation?

[email signature 4]

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Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30]

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Notice Under U.S. Treasury Department Circular 230: To the extent that this e-mail communication and the attachment(s) hereto, if any, may contain written advice concerning or relating to a Federal (U.S.) tax issue, United States Treasury Department Regulations (Circular 230) require that we (and we do hereby) advise and disclose to you that, unless we expressly state otherwise in writing, such tax advice is not written or intended to be used, and cannot be used by you (the addressee), or other person(s), for purposes of (1) avoiding penalties imposed under the United States Internal Revenue Code or (2) promoting, marketing or recommending to any other person(s) the (or any of the) transaction(s) or matter(s) addressed, discussed or referenced herein. Each taxpayer should seek advice from an independent tax advisor with respect to any Federal tax issue(s), transaction(s) or matter(s) addressed, discussed or referenced herein based upon his, her or its particular circumstances. [v4.30]



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Reese J. Henderson, Jr.
Board Certified Construction Attorney
GrayRobinson, P.A.
50 North Laura Street, Suite 1100
Jacksonville, FL 32202
Main: 904-598-9929 | Fax: 904-598-9109
Email: reese.henderson@gray-robinson.commailto:reese.henderson@gray-robinson.com
GRAY | ROBINSONhttp://gray-robinson.com/
ATTORNEYS AT LAWhttp://www.gray-robinson.com/

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Qualifiers are not required to be employees or owners of the qualified business organization. They are required to have ultimate authority over all construction issues on projects where their license is used for a permit. I have assisted business organizations with Ch. 489 qualifiers who were neither owners nor employees. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image001.jpg@01CF3C7B.28268210] From: Reese J. Henderson, Jr. [mailto:Reese.Henderson@gray-robinson.com] Sent: Monday, March 10, 2014 3:51 PM To: Chris Cobb; lauriesams@comcast.net; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org Subject: RE: [CLC-Discussion] Local Licensing I agree with Chris – you have a bigger problem than WC here. You have potential aiding and abetting issues . . . . From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Chris Cobb Sent: Monday, March 10, 2014 3:38 PM To: lauriesams@comcast.net<mailto:lauriesams@comcast.net>; Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing Also makes you wonder how the sister can qualify the company if she is not a member and not an employee…… [cid:image002.jpg@01CF3C7B.28268210] Christopher M. Cobb, Esq. Board Certified in Construction Law Jimerson & Cobb, P.A. Business Litigation | Construction Law | Banking Law | Creditor’s Rights & AR Collection | Community Associations Telephone: (904) 389-0050 | Facsimile: (904) 212-1269 ccobb@jimersoncobb.com<mailto:ccobb@jimersoncobb.com> | JimersonCobb.com<http://www.jimersoncobb.com/> Add to Contacts<http://www.jimersoncobb.com/wp-content/uploads/2012/09/Christopher-M-Cobb.vcf> | View Biography<http://www.jimersoncobb.com/attorneys/christopher-m-cobb/> From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org]<mailto:[mailto:clc-discussion-bounces@lists.flabarrpptl.org]> On Behalf Of lauriesams@comcast.net<mailto:lauriesams@comcast.net> Sent: Monday, March 10, 2014 3:21 PM To: Gibbons, Michael; 'White, Patrick G.'; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing I believe everyone is way over thinking this. I think the issue is the sister (the one holding the license) does not have a workers comp exemption. To obtain a workers comp exemption you must own at least 10%. If its a single member LLC, your client would be the one with the exemption. She does not own any of the LLC, as such she cannot be exempt. He needs to either have her as a % owner and file for the 2 year exemption or he needs to get it for her. Laurie B. Sams Van Winkle & Sams, P.A. 3859 Bee Ridge Road, Suite 202 Sarasota, FL 34233 (941) 923-1685 fax (941) 923-0174 www.vwslaw.com<http://www.vwslaw.com> Please Note: Our firm only accepts WIRES for closings. CONFIDENTIALITY NOTE: This transmittal may be a confidential attorney-client communication or may otherwise be privileged or confidential. If it is not clear that you are the intended recipient, you are hereby notified that you have received this transmittal in error. In that case, any review, dissemination, distribution or copying of this transmittal is strictly prohibited. If you suspect that you have received this communication in error, please notify us immediately by telephone (941) 923-1685, or e-mail at lauriesams@comcast.net<mailto:lauriesams@comcast.net> and immediately delete this message and all of its attachments. ----- Original Message ----- From: Gibbons, Michael<mailto:Michael.Gibbons@lowndes-law.com> To: 'White, Patrick G.'<mailto:PWhite@porterwright.com> ; 'Brian Solomon'<mailto:bsolomon@solomon-law.com> ; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Sent: Monday, March 10, 2014 2:50 PM Subject: Re: [CLC-Discussion] Local Licensing Thanks for the statutory cites Patrick. However, I’m not sure that resolves the issue. Ch. 489 simply requires the licensed contractor to comply with the WC insurance requirements of Ch. 440. Ch. 440 meanwhile expressly permits certain principal owned companies to be WC exempt and I am unaware of a provision that eliminates GC’s from taking advantage of this statutory exemption (which seems wrong and was basis for my original post). Based on the fact that I have encountered several licensed GC’s without WC coverage, I am assuming that DBPR does not require WC coverage as a condition of licensure. Apparently, DBPR only requires the contractor to comply with Ch. 440 which then allows the very small closely owned contractor to exempt itself from coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image009.jpg@01CF3C7B.25C49D40] From: White, Patrick G. [mailto:PWhite@porterwright.com] Sent: Monday, March 10, 2014 2:17 PM To: Gibbons, Michael; 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: RE: Local Licensing Sounds like Pasco County has it almost right in that they wouldn’t be able to issue a BP, see Secs. 489.113 (4)(c) 489.114, so why grant the license! They wouldn’t here in Collier either- (c) The local government may also deny issuance of, or may suspend, any outstanding building permit where a contractor fails or refuses to provide proof of public liability and property damage insurance coverage as required by s. 489.115<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.115.html>(5) and workers’ compensation insurance coverage as required by s. 489.114<index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0489/Sections/0489.114.html> Patrick G. White | Bio<http://www.porterwright.com/patrick_white/> | Porter Wright Morris & Arthur LLP<http://www.porterwright.com> | 9132 Strada Place, 3rd Floor | Naples, FL 34108 Direct: 239-593-2963 | Mobile: 239-784-5173 | Fax: 239-593-2990 | Toll Free: 800-876-7962 | pwhite@porterwright.com<mailto:pwhite@porterwright.com> Florida Bar Board Certified in City, County, and Local Government Law porterwright From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Gibbons, Michael Sent: Monday, March 10, 2014 1:28 PM To: 'Brian Solomon'; clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: Re: [CLC-Discussion] Local Licensing I have not. And sorry for hijacking your post, Brian, but I have occasionally run into the WC exempt GC and it always seemed wrong to me. The GC is supposed to be the “statutory employer” under Ch. 440 if, as happens, an injured subcontractor employee is not covered by the workers compensation policy of the subcontractor employer. When the GC itself is exempt, that safety net is lost. It’s been a while since I read the CILB FAC governing licensing requirements but it used to mandate a minimum amount of GL insurance coverage and compliance with workers compensation insurance coverage requirements. I realize that some GC entities are small enough to qualify as WC exempt but I’m surprised that neither Ch. 440 nor FAC apparently expressly prohibits a General Contractor from operating without workers compensation coverage. Michael R. Gibbons (Bio<http://lowndes-law.com/our-people/michael-r-gibbons>) Shareholder Lowndes, Drosdick, Doster, Kantor & Reed, P.A. 215 N. Eola Drive Orlando, FL 32801 Phone: 407-418-6378 Fax: 407-843-4444 email: michael.gibbons@lowndes-law.com<mailto:michael.gibbons@lowndes-law.com> website: http://www.lowndes-law.com<http://www.lowndes-law.com/> [cid:image009.jpg@01CF3C7B.25C49D40] From: clc-discussion-bounces@lists.flabarrpptl.org<mailto:clc-discussion-bounces@lists.flabarrpptl.org> [mailto:clc-discussion-bounces@lists.flabarrpptl.org] On Behalf Of Brian Solomon Sent: Monday, March 10, 2014 12:51 PM To: clc-discussion@lists.flabarrpptl.org<mailto:clc-discussion@lists.flabarrpptl.org> Subject: [CLC-Discussion] Local Licensing My client is a single member LLC with a certificate of workers compensation insurance exemption. The company is qualified as a general contractor by his sister, who does not work for the company, she only qualifies the company. Pasco County is refusing to give my client a county license because the qualifier doesn’t have proof of workers compensation insurance. Has anyone run into this situation? 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[v4.30] ________________________________ _______________________________________________ CLC-Discussion mailing list CLC-Discussion@lists.flabarrpptl.org<mailto:CLC-Discussion@lists.flabarrpptl.org> http://mailman.fsr.com/mailman/listinfo/clc-discussion Reese J. Henderson, Jr. Board Certified Construction Attorney GrayRobinson, P.A. 50 North Laura Street, Suite 1100 Jacksonville, FL 32202 Main: 904-598-9929 | Fax: 904-598-9109 Email: reese.henderson@gray-robinson.com<mailto:reese.henderson@gray-robinson.com> GRAY | ROBINSON<http://gray-robinson.com/> ATTORNEYS AT LAW<http://www.gray-robinson.com/> This e-mail is intended only for the individual(s) or entity(s) named within the message. This e-mail might contain legally privileged and confidential information. If you properly received this e-mail as a client or retained expert, please hold it in confidence to protect the attorney-client or work product privileges. Should the intended recipient forward or disclose this message to another person or party, that action could constitute a waiver of the attorney-client privilege. If the reader of this message is not the intended recipient, or the agent responsible to deliver it to the intended recipient, you are hereby notified that any review, dissemination, distribution or copying of this communication is prohibited by the sender and to do so might constitute a violation of the Electronic Communications Privacy Act, 18 U.S.C. section 2510-2521. If this communication was received in error we apologize for the intrusion. Please notify us by reply e-mail and delete the original message without reading same. Nothing in this e-mail message shall, in and of itself, create an attorney-client relationship with the sender. This email message has been delivered safely and archived online by Mimecast. For more information please visit http://www.mimecast.com