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BCN 5746 U01 1221 CONSTRUCTION LEGAL ENVIORNMENT

(SPRING 2022 SEMESTER)

ETHICS PAPER

Legal and Ethical Concern on part of Contractor and Sub-

Contractor about performing the work in state of Florida.

SAURABH BHAURAO PATIL

Panther ID: 6346165

SUPERVISOR: NESTOR BUSTAMANTE, III

FLORIDA INTERNATIONAL UNIVERSITY

Moss School of Construction, Infrastructure and Sustainability

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ABSTRACT

Construction is the process of interpreting legal documents or a law

such as contract or will by the development of literal procedures in
presence of the court. Construction laws help parties mitigate their
concerns during a construction project. Construction laws that
incorporate a wide range of legal issues are discussed to understand
the ethics of contractors and subcontractor’s work. However, a
conceptual understanding of the ethical practices of the government
and private sectors towards maintaining the construction laws is
established based on several construction statutes and theories.

Construction industry has been negatively affected by the effects of

unethical practices of the property owners, contractors and
subcontractors. It is important to understand the proceedings of
contractors and subcontractors to monitor the unethical practices in
an effective manner. In this chapter, Ethical and Legal aspects of
contractors and subcontractors and construction manager who is
unlicensed according to the Florida statutes is discussed to identify
wrong and vulnerable practices. It is important to understand the
construction laws of the government to overcome future colonial
challenges and to develop strategies towards coping with the
challenges.

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➢ HISTORICAL BUILDING:

In hazard areas, if all proposed work, including repairs, work required

because of a change of occupancy, and alterations, constitutes
substantial improvement, then the building shall comply with Section
1612 of the Florida Building Code, Building, or Section R322 of the
Florida Building Code, Residential, as applicable.

➢ EXCEPTION:

If the program that designated the building as historic determines that

it will continue to be an historic building after the proposed work is
completed, then the proposed work is not considered to be substantial
improvement. For the purposes of this exception, an historic building
is:
1. Individually listed in the National Register of Historic Places; or
2. A contributing resource within a National Register of Historic
Places listed district; or
3. Designated as historic property under an official municipal, county,
special district or state designation, law, ordinance or resolution
either individually or as a contributing property in a district,
provided the local program making the designation is approved
by the Department of the Interior (the Florida state historic
preservation officer maintains a list of approved local programs);
or
4. Determined eligible by the Florida State Historic Preservation
Officer for listing in the National Register of Historic Places, either
individually or as a contributing property in a district.

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➢ INVESTIGATION AND EVALUATION REPORT:

An historic structure that is undergoing renovation or a change of use

must be researched and appraised. If the building is to meet the
standards of this chapter, a written report from a Florida-registered
architect or engineer must be prepared and filed with the building
authority. This report must comply with the provisions of NFPA 914,
Code for Fire Protection of Historic Structures, Sections 4.3.1.2
through 4.3.2, and must identify each required safety feature that
follows this chapter and where compliance with this or other chapters
would be detrimental to the contributing historic features. In addition,
the report must detail each feature that is out of compliance and show
how the provisions of this or other chapters are being followed.

➢ HISTORIC CHARACTER.

The essential quality of an historic building or space that provides its

significance. The character might be determined by the historic
background, including association with a significant event or person,
the architecture of design, or the contents or elements and finishes of
the building or space.

➢ HISTORIC FABRIC.

Original or added building or construction materials, features and

finishes that existed during the period that is deemed to be most
architecturally or historically significant or both.

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➢ HISTORIC PRESERVATION.

A generic term that encompasses all aspects of the professional and

public concern related to the maintenance of an historic structure, site
or element in its current condition, as originally constructed, or with the
additions and alterations determined to have acquired significance
over time.

➢ HISTORIC SITE.

A place, often with associated structures, having historic significance.

➢ HISTORIC STRUCTURE.

A building construction that is designated or that is deemed eligible for

such designation by a local, regional or national jurisdiction as having
historical, architectural or cultural significance.

➢ PRESERVATION.

The act or process of applying measures necessary to sustain the

existing form, integrity and materials of an historic building or structure.

➢ REHABILITATION, HISTORIC BUILDING.

The act or process of making possible a compatible use of a property

through repair, alterations and additions while preserving those
portions or features which convey its historical, cultural or architectural
values.

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➢ RESTORATION.

The act or process of accurately depicting the form, features and

character of a property as it appeared at a particular period of time by
means of the removal of features, and repair or replacement of
damaged or altered features from the restoration period.

❖ LEGAL CONCERN OF PERFORMING THE WORK BY

CONTRACTOR AND SUB-CONTRACTOR

➢ HISTORIC PRESERVATION OBJECTIVES FOR INTERNAL WORK.

1. Preservation of the original qualities or character of a building,

structure, site or environment shall be encouraged.
2. Removal or alteration of any historic material or distinctive
architectural features shall be minimized.
3. Distinctive stylistic features or examples of skilled craftsmanship
that characterize a building, structure or site shall be treated with
sensitivity.
4. A compatible use for a property that requires minimal alteration of
the building, structure or site and its environment shall be
encouraged.
5. New additions or alterations of historical building shall be
designed and constructed in such a manner that if such additions
or alterations were to be removed in the future, the essential form
and integrity of the structure would be unimpaired to the greatest
degree possible.
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6. Repairs, alterations, restorations, changes of occupancy,

additions and relocations shall be guided by the recommended
approaches in rehabilitation set forth in the Secretary of the
Interior's Standards for Rehabilitation and Guidelines for
Rehabilitating Historic Buildings.

➢ UNLICENSED CONTRACTING:

Under Florida law, the offense of “Contracting Without a License” can

encompass a broad range of conduct related to the construction and
home improvement industries. Section 489.127, Florida Statutes,
provides as follows:

1. Falsely hold himself or herself or a business organization out as

a licensee, certificate holder, or registrant;
2. Falsely impersonate a certificate holder or registrant;
3. Present as his or her own the certificate or registration of another;
4. Knowingly give false or forged evidence to the board or a member
thereof;
5. Use or attempt to use a certificate or registration that has been
suspended or revoked;
6. Engage in the business or act in the capacity of a contractor or
advertise himself or herself or a business organization as
available to engage in the business or act in the capacity of a
contractor without being duly registered or certified;
7. Operate a business organization engaged in contracting after 60
days following the termination of its only qualifying agent without
designating another primary qualifying agent, except as provided
in ss. 489.119 and 489.1195;

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8. Commence or perform work for which a building permit is required

pursuant to part IV of chapter 553 without such building permit
being in effect; or
9. Wilfully or deliberately disregard or violate any municipal or county
ordinance relating to uncertified or unregistered contractors.

Thus, there are nine different ways to commit a crime of unlicensed

contracting in Florida. Proof of any one violation is sufficient to sustain
a conviction.

For purposes of the Florida statute, the term “Certificate” means a

certificate of competency issued by the Department of Business and
Professional Regulation. “Registration” means registration with the
department in accordance with Chapter 489, Florida Statutes.

The term “Contracting” means that the accused engaged in the

business of a “contractor,” as defined in Section 489.105, Florida
Statutes.

The statute defines “contractor” as a person who is responsible for a

qualifying construction project and the person who, for compensation,
undertakes to, submits a bid to, or does himself or herself or by others
construct, repair, alter, remodel, add to, demolish, subtract from, or
improve any building or structure, including related improvements to
real estate, for others or for resale to others.

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❖ ETHICAL CONCERN OF PERFORMING THE WORK BY

CONTRACTOR AND SUB-CONTRACTOR:

➢ PENALTIES FOR UNLICENSED CONTRACTING

In Florida, unlicensed contracting is generally charged as a first-

degree misdemeanour, with penalties of up to 1 year in jail or 12
months of probation, and a $1,000.00 fine.

However, if the accused has been previously convicted of contracting

without a license, the offense may be charged as third-degree felony,
with penalties of up to 5 years in prison or 5 years of probation, and
a $5,000 fine. A third felony may also be charged where a person
contracts without a license during a State of Emergency, as declared
by executive order.

Aside from potential fines and jail sentences, a person convicted of

or who pleads to a charge of Contracting Without a License will often
be subject to court-ordered restitution. This occurs where the alleged
victim claims that the defendant performed sub-standard work or
used sub-standard materials and caused a loss.

If a sufficient causal connection is shown between the defendant’s

work and the alleged loss, the defendant will likely be ordered to
compensate the alleged victim through a restitution award. In many
cases, restitution awards can be tens of thousands of dollars. A
failure to pay the restitution or to pay it in a timely manner could result
in the defendant being held in contempt of court.

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➢ FLORIDA CONSTRUCTION LAW: GENERAL CONTRACTOR

LICENSES (OUTSIDER CONTRACTOR WHO WANTS TO WORK
IN FLORIDA):

Although obtaining a contractor’s license in Florida is a time-

consuming and rigorous process, a license is required to legally work
as a contractor in the state. See Fla. Stat. § 489.113(2) (A person
“must be certified or registered in order to engage in the business of
contracting” in Florida); see also Fla. Stat. § 489.115(1) (“No person
may engage in the business of contracting in this state without first
being certified or registered in the proper classification.”). Any person
who performs an activity requiring a contractor’s license, without
holding a valid license, will be guilty of unlicensed
contracting. See Fla. Stat. § 489.13(1).

In Florida, contractor licensing is done both at the state and local

levels. Persons who want to perform covered contracting work
anywhere in the state need a “Certified License;” to work in a specific
city or county, they need a “Registered License.” The Construction
Industry Licensing Board under the guidance of the Florida
Department of Business and Professional Regulation handles the
licensing process for the two types of licenses.

Contractor licenses are further broken down into two divisions:

1. Division I contractors include general, building, and residential

contractors.
2. Division II contractors are field-specific and include areas like air
conditioning contractors, plumbing contractors, and roofing
contractors.

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To obtain a certified Florida contractor license, you must pass

relevant Division I or II examinations, with the only exception being
pool contractors.

➢ CONCLUSION:

Thus, it can be concluded that acquiring construction license is an

essential aspect in the construction industry because of the unethical
practices by contractors and subcontractors. In this
chapter, ethics of contractors and subcontractors work for the
historical building structure according to Florida statues is discuss.
A conceptual understanding of the Florida Construction Defect
Statute is also established based on the government regulations.

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➢ REFERENCES
1. https://up.codes/viewer/florida/fl-existing-building-code-
2017/chapter/12/historic-buildings#1201

2. http://www.leg.state.fl.us/statutes/index.cfm?StatuteYear=2021&
AppMode=Display_Results&Mode=Search%2520Statutes&Sub
menu=2&Tab=statutes&Search_String=certified+contractor

3. https://www.miamigov.com/Permits-Construction/Historically-
Designated-Properties/Repair-or-Renovate-a-Historic-Property

4. https://www.floridaconstructionlegalupdates.com/

5. Ameyaw, E.E., Pärn, E., Chan, A.P., Owusu-Manu, D.G.,

Edwards, D.J. and Darko, A., (2017). Corrupt practices in the
construction industry: Survey of Ghanaian experience. Journal of
Management in Engineering, 33(6), p.05017006.

6. https://www.jimersonfirm.com/blog/2021/12/obtain-contractors-
license-florida/

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