Study Hawaii contractor law by question: each answer shows the HRS section or board rule it was written from.
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Unofficial practice questions, not affiliated with the Hawaii Contractors License Board. Bank checked October 15, 2026.
What the candidate bulletin says about the exam
Questions
80
To pass
60 of 80 right (75%)
Time limit
180 minutes
Fee
$80
Format
Closed book, on a computer at a test center. Up to ten unscored experimental questions may be added, and time spent on them is not counted.
Who takes it
Every new applicant the board approves. A licensee adding a classification does not take it again.
Content outline
Business organization 3 questions; contract management 12; estimating and bidding 10; financial management 9; labor law 5; licensing 8; lien law 5; project mana
Time to pass
Six months from the board's approval, with unlimited attempts in that time.
On this page
Questions on the law only. Estimating, project, financial and risk management and the other reference-book subjects are not asked.
A $900 repair job requires a building permit. Does the small-project exemption apply?HRS 444-2(4), Hawaii Revised Statutes (Hawaii State Legislature)
A final order finds that a contractor advertised in violation of the licensing law. What must the telephone utility do?HRS 444-9.2(c), Hawaii Revised Statutes (Hawaii State Legislature)
A general building contractor's principal business is structures whose construction requires the use of more than how many unrelated building trades or crafts?HRS 444-7(c), Hawaii Revised Statutes (Hawaii State Legislature)
A project is exempt from the contractor licensing law when the aggregate contract price for labor and materials is not more than:HRS 444-2(4), Hawaii Revised Statutes (Hawaii State Legislature)
A rebuttable presumption that an owner-builder violated the exemption arises when the owner obtains it more than once in:HRS 444-2.5(d), Hawaii Revised Statutes (Hawaii State Legislature)
A sale within what time after completion is prima facie evidence that an owner-builder built the structure for sale?HRS 444-2.5(b), Hawaii Revised Statutes (Hawaii State Legislature)
A salesperson negotiates construction contracts on behalf of more than one contractor. How do the board's rules treat the salesperson?HAR 16-77-4(c), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
Show all 118 questions (111 more)
Licenses, classifications and exemptions, continued
An "A" general engineering or "B" general building licensee wants to act as a specialty contractor. In which specialties may it do so?HAR 16-77-33(a), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
For how long after completion must an owner-builder keep the permit, contracts and proof of payment?HRS 444-2.5(a)(5), Hawaii Revised Statutes (Hawaii State Legislature)
For how long must a contractor member of the board have been actively engaged in contracting before appointment?HRS 444-3(b)(1), Hawaii Revised Statutes (Hawaii State Legislature)
How do the board's rules define "incidental and supplemental" work?HAR 16-77-34, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
How many members of the Contractors License Board are noncontractors?HRS 444-3(b), Hawaii Revised Statutes (Hawaii State Legislature)
How many members sit on the Contractors License Board?HRS 444-3(a), Hawaii Revised Statutes (Hawaii State Legislature)
May an owner-builder recover from the contractors recovery fund?HRS 444-2.5(f), Hawaii Revised Statutes (Hawaii State Legislature)
What must a contractor's print or broadcast advertisement include?HRS 444-9.2(b), Hawaii Revised Statutes (Hawaii State Legislature)
What share of the people an electrical contractor employs to do electrical work on a job site must be licensed under chapter 448E?HRS 444-9.5(b), Hawaii Revised Statutes (Hawaii State Legislature)
When is a joint venture exempt from the contractor licensing chapter?HRS 444-2(8), Hawaii Revised Statutes (Hawaii State Legislature)
When may a specialty contractor take a contract that includes work in a trade it is not licensed for?HRS 444-8(c), Hawaii Revised Statutes (Hawaii State Legislature)
Which is one of the three branches of the contracting business named in the statute?HRS 444-7(a), Hawaii Revised Statutes (Hawaii State Legislature)
Which work may an owner-builder not do personally unless licensed for it under chapter 448E?HRS 444-2.5(a)(2), Hawaii Revised Statutes (Hawaii State Legislature)
Applications, examinations and RMEs 21
After its RME dies or leaves, within what time must the entity apply to qualify a new RME or place its license on inactive status?HAR 16-77-64(a), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
An applicant failed to satisfy an undisputed contracting debt. Within how many years before applying does that raise a presumption of no financial integrity?HRS 444-11(a)(3), Hawaii Revised Statutes (Hawaii State Legislature)
An applicant qualified by written examination in the same classification earlier. Within how many years is no new examination required?HAR 16-77-41, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
An applicant who does not pass the examination within what time must file a new application and fee?HAR 16-77-45, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
An application is treated as abandoned if requested documents are not submitted within what time of the last request?HRS 444-11(c), Hawaii Revised Statutes (Hawaii State Legislature)
An entity's RME dies or leaves. Within what time must the entity notify the board?HAR 16-77-64(a), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
An RME signs a construction contract in the RME's own name, not for the employing entity. How do the rules treat that?HAR 16-77-71(c), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
How far back must the credit report filed with an application reach?HAR 16-77-10(a)(2), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
How long does a denied applicant have to request a contested case hearing?HRS 444-16(2), Hawaii Revised Statutes (Hawaii State Legislature)
How many notarized letters about honesty, financial integrity and experience must an applicant furnish?HAR 16-77-10(a)(1), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
How much of the experience requirement may approved technical or business training replace?HAR 16-77-19, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
How old must an individual be to be issued a contractor's license?HRS 444-11(a)(5), Hawaii Revised Statutes (Hawaii State Legislature)
One way an individual may be the RME for more than one contracting entity is common ownership of each entity's equity of at least:HAR 16-77-72(1), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
What does part I of the contractor examination test?HAR 16-77-39, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
What does RME mean in Hawaii contractor law?HRS 444-1, Hawaii Revised Statutes (Hawaii State Legislature)
What experience must an individual applicant or RME have?HAR 16-77-18(a), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
What is the minimum passing grade on each part of the contractor examination?HAR 16-77-44, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
Which of these do the rules require of a principal RME?HAR 16-77-71(a)(4), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
While the board decides a timely application to qualify a new RME, what may the contracting entity not do?HAR 16-77-64(a), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
Who must sign or initial all contracts a contracting entity enters into?HAR 16-77-71(a)(2), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
Within what time after a proper application is filed must the board issue a license or give written notice of denial?HRS 444-16, Hawaii Revised Statutes (Hawaii State Legislature)
Renewal, insurance and bonds 13
A contractor's liability policy is cancelled and not replaced. What happens to the license?HRS 444-11.1(b), Hawaii Revised Statutes (Hawaii State Legislature)
A license is forfeited for a lapse of insurance. After how long without restoring it must the person apply as a new applicant?HRS 444-11.1(d), Hawaii Revised Statutes (Hawaii State Legislature)
Besides workers' compensation insurance, which insurance must a licensed contractor keep in force?HRS 444-11.1(a)(2), Hawaii Revised Statutes (Hawaii State Legislature)
By what date may a license forfeited for late renewal be restored with a penalty fee?HAR 16-77-51, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
For how long after a project is completed must a licensee keep its contracts, receipts and records of the project?HRS 444-17(7), Hawaii Revised Statutes (Hawaii State Legislature)
For how long must a licensee keep a board-imposed surety bond before asking the board to waive it?HAR 16-77-76(a), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
How soon must a licensed contractor report a change of address or telephone number to the board?HRS 444-14(b), Hawaii Revised Statutes (Hawaii State Legislature)
What do the rules count as a contracting entity's permanent place of business?HAR 16-77-87, Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
What is the most the board may charge as a fee to restore a license forfeited for a lapse of insurance or bond?HRS 444-11.1(e), Hawaii Revised Statutes (Hawaii State Legislature)
What may a licensee on inactive status not do?HRS 444-15(c), Hawaii Revised Statutes (Hawaii State Legislature)
When are the biennial renewal fee and the fund fees due?HRS 444-15(a), Hawaii Revised Statutes (Hawaii State Legislature)
When the board requires a license bond, what is the least it may be?HRS 444-16.5, Hawaii Revised Statutes (Hawaii State Legislature)
Which claims have priority on a contractor's license bond?HRS 444-16.5, Hawaii Revised Statutes (Hawaii State Legislature)
Violations and penalties 13
A person did work without first obtaining a required license. What may that person recover in a civil action for the work?HRS 444-22, Hawaii Revised Statutes (Hawaii State Legislature)
For the enhanced penalty for unlicensed contracting that targets elderly persons, who is an elderly person?HRS 444-10.7, Hawaii Revised Statutes (Hawaii State Legislature)
How long does a person served with a citation for unlicensed activity have to request a hearing?HRS 444-10.5(d), Hawaii Revised Statutes (Hawaii State Legislature)
Under HRS 444-23(e), what is the fine for a first violation of the owner-builder exemption?HRS 444-23(e)(1), Hawaii Revised Statutes (Hawaii State Legislature)
What is the fine for a first offense of contracting without a license?HRS 444-23(c)(1), Hawaii Revised Statutes (Hawaii State Legislature)
What is the fine for a licensee's first offense of contracting outside the scope of its classification?HRS 444-23(a), Hawaii Revised Statutes (Hawaii State Legislature)
What is the least a court may fine a person for each offense of violating a cease and desist order in a citation?HRS 444-10.5(j), Hawaii Revised Statutes (Hawaii State Legislature)
What is the longest jail term for unlicensed repair work on damage from a natural disaster in an area under a declared state of emergency?HRS 444-10.6(e), Hawaii Revised Statutes (Hawaii State Legislature)
What is the most a licensee may be fined for each offense of aiding an unlicensed person or contracting with an unlicensed contractor?HRS 444-23(b), Hawaii Revised Statutes (Hawaii State Legislature)
What kind of offense is advertising as a contractor without a valid license for the goods and services advertised?HRS 444-9.2(a), Hawaii Revised Statutes (Hawaii State Legislature)
What may be forfeited when a person who was cited or sued before is again found contracting without a license?HRS 444-23(c), Hawaii Revised Statutes (Hawaii State Legislature)
Which of these is a listed ground for revoking or suspending a license?HRS 444-17(4), Hawaii Revised Statutes (Hawaii State Legislature)
Which unpaid tax debt is a listed ground for discipline of a contractor?HRS 444-17(21), Hawaii Revised Statutes (Hawaii State Legislature)
Contracts, disclosure and payment 12
A construction contract clause makes the contractor indemnify the owner for injury caused by the owner's sole negligence. What is the clause under HRS 431:10-222?HRS 431:10-222, Hawaii Revised Statutes (Hawaii State Legislature)
A contractor violates the homeowner disclosure and written contract section. What is the violation deemed to be?HRS 444-25.5(d), Hawaii Revised Statutes (Hawaii State Legislature)
A roofing contract must be accompanied by a bond when it guarantees workmanship for longer than how many years?HRS 444-25.7(a), Hawaii Revised Statutes (Hawaii State Legislature)
How soon must a contractor pay its subcontractor after it has the subcontractor's invoice and the owner's payment for that work?HRS 444-25, Hawaii Revised Statutes (Hawaii State Legislature)
No action for damages from a deficiency in the construction of an improvement to real property may be started more than how long after the improvement is completed?HRS 657-8(a), Hawaii Revised Statutes (Hawaii State Legislature)
To which contracts does the ten-day subcontractor payment rule of section 444-25 not apply?HRS 444-25, Hawaii Revised Statutes (Hawaii State Legislature)
What interest is a subcontractor entitled to on an amount its contractor pays late?HRS 444-25, Hawaii Revised Statutes (Hawaii State Legislature)
What must a homeowner contract say about subcontracting?HAR 16-77-80(a)(5), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
What must a homeowner contract say about timing?HAR 16-77-80(a)(3), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
What must a licensed contractor explain verbally to a homeowner before or when a home improvement contract is signed?HRS 444-25.5(a), Hawaii Revised Statutes (Hawaii State Legislature)
When must the written contract for home construction or improvement be executed?HRS 444-25.5(b)(4), Hawaii Revised Statutes (Hawaii State Legislature)
Where in a homeowner contract must the statement about the risk of loss of payments made to a sales representative appear?HAR 16-77-80(a)(6), Hawaii Administrative Rules, Title 16, Chapter 77 (Department of Commerce and Consumer Affairs)
Mechanic's and materialman's liens 12
A contractor demands in writing that the owner publish the notice of completion. After how many days without publication may the contractor publish it?HRS 507-43(f), Hawaii Revised Statutes (Hawaii State Legislature)
An owner wants a mechanic's lien discharged before the claim is decided. What may the owner file with the circuit court clerk?HRS 507-45, Hawaii Revised Statutes (Hawaii State Legislature)
By when must an Application For A Lien and Notice Of Lien be filed?HRS 507-43(b), Hawaii Revised Statutes (Hawaii State Legislature)
For priority, from what time does a mechanic's lien relate and take effect?HRS 507-46, Hawaii Revised Statutes (Hawaii State Legislature)
In which court is a mechanic's lien enforced?HRS 507-47, Hawaii Revised Statutes (Hawaii State Legislature)
Liens for wages for labor on the improvement have priority as a class over other mechanics' liens up to what amount for each claimant?HRS 507-46, Hawaii Revised Statutes (Hawaii State Legislature)
No valid notice of completion is ever published. What is the date of completion deemed to be?HRS 507-43(g), Hawaii Revised Statutes (Hawaii State Legislature)
The property is registered in land court. Within what time after entry must the lienor file a certified copy of the Order Directing Lien To Attach with the assistant registrar?HRS 507-43(b), Hawaii Revised Statutes (Hawaii State Legislature)
What fixes the "date of completion" that starts the lien filing period?HRS 507-43(f), Hawaii Revised Statutes (Hawaii State Legislature)
When does a mechanic's lien attach to the property?HRS 507-43(a), Hawaii Revised Statutes (Hawaii State Legislature)
When does a mechanic's lien expire if no action is started to enforce it?HRS 507-43(e), Hawaii Revised Statutes (Hawaii State Legislature)
Which contractor has no lien rights under section 507-49?HRS 507-49(b), Hawaii Revised Statutes (Hawaii State Legislature)
Recovery fund and defect claims 14
An action that may lead to collection from the recovery fund must be started within what time of the accrual of the cause of action?HRS 444-28(a), Hawaii Revised Statutes (Hawaii State Legislature)
Before proceeding against the recovery fund, against what must the injured person first proceed?HRS 444-28(b), Hawaii Revised Statutes (Hawaii State Legislature)
How long does a contractor have to respond in writing to a notice of claim of construction defect?HRS 672E-4(b), Hawaii Revised Statutes (Hawaii State Legislature)
How long does an association have to accept a contractor's settlement offer under the Contractor Repair Act?HRS 672E-5(a), Hawaii Revised Statutes (Hawaii State Legislature)
The parties cannot settle a construction defect claim by offer and acceptance. What must they attempt next?HRS 672E-7(a), Hawaii Revised Statutes (Hawaii State Legislature)
The recovery fund pays on a contractor's account. What must the contractor do before it can receive a new license?HRS 444-28(e), Hawaii Revised Statutes (Hawaii State Legislature)
To which actions does the Contractor Repair Act not apply?HRS 672E-2, Hawaii Revised Statutes (Hawaii State Legislature)
Under the Contractor Repair Act, how long before filing an action must a claimant serve the contractor with a written notice of claim?HRS 672E-3(a), Hawaii Revised Statutes (Hawaii State Legislature)
What fee does a new applicant pay for deposit in the contractors recovery fund?HRS 444-26(c), Hawaii Revised Statutes (Hawaii State Legislature)
What is the most an injured person may recover from the contractors recovery fund on one contract?HRS 444-26(a), Hawaii Revised Statutes (Hawaii State Legislature)
What is the most the contractors recovery fund will pay on account of any one licensed contractor?HRS 444-34, Hawaii Revised Statutes (Hawaii State Legislature)
What notice must a contract for construction or substantial remodeling of a home carry under chapter 672E?HRS 672E-11(a), Hawaii Revised Statutes (Hawaii State Legislature)
When the recovery fund balance is below $250,000, how much may the board assess each contractor in a year?HRS 444-27(a), Hawaii Revised Statutes (Hawaii State Legislature)
Who may recover from the contractors recovery fund?HRS 444-26(b), Hawaii Revised Statutes (Hawaii State Legislature)
Labor law and tax 13
An employee quits without notice. When are the wages due in full?HRS 388-3(b), Hawaii Revised Statutes (Hawaii State Legislature)
An employer discharges an employee. When are the employee's wages due in full?HRS 388-3(a), Hawaii Revised Statutes (Hawaii State Legislature)
By what day is a monthly installment of general excise tax due?HRS 237-30(a), Hawaii Revised Statutes (Hawaii State Legislature)
For the Prepaid Health Care Act, a regular employee is one who works for the employer at least how many hours a week?HRS 393-3, Hawaii Revised Statutes (Hawaii State Legislature)
How often must an employer pay wages?HRS 388-2(a), Hawaii Revised Statutes (Hawaii State Legislature)
To deduct amounts paid to a subcontractor from its gross income, what must a contractor show in its general excise return?HRS 237-13(3)(B), Hawaii Revised Statutes (Hawaii State Legislature)
What hourly minimum wage does HRS 387-2 set beginning January 1, 2026?HRS 387-2(a), Hawaii Revised Statutes (Hawaii State Legislature)
What is the general excise tax rate on the gross income of the business of contracting?HRS 237-13(3)(A), Hawaii Revised Statutes (Hawaii State Legislature)
What is the most an employee may be made to contribute to the premium of required prepaid health care coverage?HRS 393-13, Hawaii Revised Statutes (Hawaii State Legislature)
What is the one-time fee for a general excise tax license?HRS 237-9(a), Hawaii Revised Statutes (Hawaii State Legislature)
What overtime does Hawaii law require for work beyond forty hours in a workweek?HRS 387-3(a), Hawaii Revised Statutes (Hawaii State Legislature)
What penalty does an employer owe for failing to secure workers' compensation for its employees?HRS 386-123, Hawaii Revised Statutes (Hawaii State Legislature)
When is the annual general excise tax return due?HRS 237-33, Hawaii Revised Statutes (Hawaii State Legislature)
How this list was compiled: Our own questions, written from the Hawaii Revised Statutes as the Legislature publishes them (https://data.capitol.hawaii.gov/hrscurrent/): Chapter 444 (Contractors), Chapter 507, Part II (mechanic's and materialman's lien, sections 507-41 to 507-49), Chapter 672E (the Contractor Repair Act), and sections 237-9, 237-13, 237-30, 237-33, 386-123, 387-2, 387-3, 388-2, 388-3, 393-3, 393-13, 431:10-222 and 657-8; and from Hawaii Administrative Rules, Title 16, Chapter 77 (Contractors), as the Contractors License Board posts it (https://cca.hawaii.gov/wp-content/uploads/2026/02/har_77-c2.pdf). Each section was read on 2026-10-15. The examination outline is the candidate information bulletin for Hawaii contractor examinations, published by PSI Services and dated 1/20/2026 (https://test-takers.psiexams.com/api/content/bulletin/10625), read 2026-10-15. Licence: Questions, choices and explanations are original work of this site. The statutes and rules are public law of the State of Hawaii. No question is taken from the state examination or from any study guide.
How it works
This unofficial Hawaii contractors license study guide teaches the Business and Law exam's state law through 118 questions on licensing, liens, contracts, the recovery fund and labor law. No estimating or accounting. Not affiliated with the Hawaii Contractors License Board.
Read the full guide
What the exam asks
State law is one part of Business and Law. Its outline counts licensing, lien law, labor law and tax laws beside estimating, contract, project, financial and risk management.
What this study guide covers
This Hawaii business and law study guide has eight subjects from public law: licenses and exemptions, applications and RMEs, renewal and bonds, penalties, homeowner contracts and payment, liens, the recovery fund and defect claims, and labor law and tax.
The exam is closed book, so learn the numbers: $1,500 exemption, 75 percent to pass, 45 days for a lien, $12,500 per contract.
Homeowner contracts carry the most duties: verbal lien and bonding disclosures, a written contract before work, and the Contractor Repair Act notice.
Questions and answers
What is on the Hawaii contractor Business and Law exam?
Eighty questions in 180 minutes, closed book, 75 percent to pass. The bulletin of January 20, 2026 lists eleven subjects from business organization to tax laws; a public works law subject was removed on March 30, 2026.
Is there a free Hawaii business and law study guide?
The law itself is free at the Legislature's site and the board's rules at the department's site, and each answer here links its section. The exam's reference manual is sold, and this page does not use it.
Is this Hawaii contractors license study guide official?
No. It is unofficial study material written from the Hawaii Revised Statutes and the board's rules. The Contractors License Board and PSI, its test vendor, did not write or review it, and no examination question appears here.
How long do I have to pass the Hawaii contractor exams?
Six months from the board's approval. The board's page says applicants who do not pass within six months must file a new application, and the bulletin allows unlimited attempts in that time.