Board for Licensing Contractors
Complaint procedures
Complaint Reporting PROCESS
Review and Jurisdiction
The Board for Licensing Contractors oversees licensing of several professions: Contractors; Home Improvement (remodelers); Electricians; Plumbers; and Contractor Pre-licensing Exam Course Providers. Complaints are handled by one of the following: 1) Board - They may take disciplinary action for licensing violations by assessing civil penalties or revoking the license; or 2) Division of Consumer Affairs - Residenital complaints without apparent law violations are referred for mediation through CHAMP (Consumer Homeowner Accountability and Mediation Program).
NOTE: While a case is open and being investigated by Legal, the Board cannot hold the issuance of a license renewal.
The Board cannot force a licensee to repair damages, complete a project, award monetary judgments, or even refund money. You would need to hire an attorney to take civil action. However, we encourage consumers to report complaints as a means for the Board to monitor these professions, and if they are entitled to keep their license; also offer public awareness to protect others from being harmed. Often, filing a complaint may offer a means to communicate a problem and resolve the issues. To receive a remedy or to be compensated for being wronged, you will need to hire an attorney to take civil action, as the Board does not have the authority to make these type judgments; they may only assess disciplinary action for license law violations under T.C.A. § 62-6-102. (Review the law and rules from our website). A judgment by the court may include revocation of the license, therefore, providing more authority than our Board, under § T.C.A. 62-6-118. Complaints with our office are not meant to have a bearing on civil proceedings, but to evaluate if disciplinary action is warranted by this Board made up of eight contractors and one public member. Therefore, if you are in litigation, the Board typically does not hold and will review for license law violations.
We hope you will never experience problems and need to file a complaint, however, we want you to be aware of your options and provide information of the filing process. At the prompt below, you may file an online complaint; however, we encourage you to mail a complaint to provide important documentation. Mailing will allow you to provide important copies of documentation of the license law violations which is often the evidence much needed to proceed. In order to provide the most benefit to evaluation and handling of a case, in a timelier manner, mailed complaints can decrease the process time. This may be done by printing the Complaint Form and mailing to the address listed on the form (please allow 5 to 7 business days for state mail delivery) or you may also fax to our office at (615) 532-2868. It is very important to specifically identify any law violations, as this is the Board's only jurisdiction on accessing discipline against a contractor's license. If you are needing a monetary judgment or have a contract dispute, you may want to also consider contacting an attorney to take civil action, since the Board has limited jurisdiction. If you have already hired an attorney, you may still report a contractor complaint. While a case is in litigation, the Board may still proceed in order to consider disciplinary action for license law violations under their authority. Once litigation has been completed, you may forward the action of the court to the Board for them to utilize for additional discipline (see TCA 62-6-118 under the laws and rules).
Reporting Violations, Judgements & Complaints
Whenever you report a complaint, you are considered the "Complainant" and the entity filed against, is the "Respondent". Upon receipt of your complaint documents, our legal counsel will evaluate and determine whether the Board has jurisdiction, or if mediation through CHAMP would best benefit the consumer. Consumers will be notified by mail, acknowledging receipt of the complaint from our office, and providing you a case complaint number. Unless handled by CHAMP, you will not be contacted during the investigation process, unless our Legal staff determine an Investigator needs to meet with you on specific allegations. Therefore, you may need to supply updates to the Board during the investigation, to ensure all evidence has been provided (especially, when litigation is complete). Otherwise, you may only be contacted upon closure of the case (it may take over a year or more to finalize a case). The Board members will not be provided any information about your case until Legal presents their findings after their investigation, on a Legal Report at a Board meeting. Identities of the parties involved in the complaint, will not be listed on the Legal Report. Legal presents with their recommendations as to dismiss, approval for a consent order (plea bargain), with authorization to schedule a formal hearing for disciplinary action. More information relative to the Uniform Administrative Procedures and violations is pursuant T.C.A.§ 62-6-118. If you have hired an attorney for a monetary judgement with the court, while a case is in litigation, the Board may consider disciplinary action for license law violations. After receiving a final judgement, you are encouraged to also report this information to the Board.
Before processing the complaint for Board review or mediation, to make this determination, the following are considered:
- License - (Does the respondent have a license or is one required?) You may check our website at "License Search" for the license status and the "Consumer Resources" to confirm whether it was needed. (If they are not, we encourage you to report the unlicensed activity violation to us.)
- Contract or Monetary Amount - (Did the amount of the project require a license?) If in excess of $25,000, a “contractor's” license is needed, with the proper license classification, monetary limit and they must contract in the name as licensed. Any amount for an electrician or plumber, in a county without a local license agency, requires a state limited license. Was the contractor acting as a prime (general) contractor? Subcontractors, those contracting directly to a licensed contractor and not the owner, are not required to be licensed unless it was for electrical, mechanical, plumbing and HVAC. All pre-licensing course providers must be approved to offer services and cannot "guarantee" exam passage, or use exact questions from the exam, prepare or recommend financial statement accountants.
- Contractor Complaint - A Contractor license is required for contracts $25,000 or more, regardless of the county. (Licensed residential and commercial contractors are exempt from the Home Improvement license requirements; subcontractors are exempt, unless it is electrical, plumbing, HVAC or mechanical.) The contractor's license law is pursuant T.C.A. 62-6, Part 1.
- Home Improvement Complaint - (Jurisdiction in eight (8) counties: Bradley, Davidson, Hamilton, Haywood, Knox, Robertson, Rutherford or Shelby.) If the cost was $3,000 or more, a Home Improvement license may be required; a “Contractor's” license is required for contracts $25,000 or more, regardless of the county. The home improvement license law is pursuant T.C.A. 62-6, Part 5.
- Electricians and Plumbers - (Limited Licensed Electricians (LLE) and Limited Licensed Plumbers (LLP).) These two professions require a state license with our Board in counties without their own local licensing agency, unless exempt from the law. Major counties such as Davidson, Hamilton, Knox, Shelby, etc., have their own license requirements. HVAC does not require a state license from our Board when less than $25,000 or if they are in a Home Improvement county. (You may refer to these sites listed on the main web page, for more information on license requirements.) Project $25,000 or more require a "Contractor's" license. The LLE law is pursuant T.C.A. 62-6, Part 1; and the LLP is 62-6, Part 4.
- Contractor Pre-license Course Provider - (Courses to help in passing the contractor's license exams). These course providers must have each course approved by the board and follow strict guidelines, outlined in the Rules and Regulations. This law is under T.C.A. 62-6-138.
- Age of Complaint - (Depends on the evidence available to prove the violation.) While the court may consider a one (1) year "implied warranty" [see T.C.A. § 47-2-314] on cosmetic items, and a statute of limitations of four (4) years on structural damage (T.C.A. § 28-3-202), the Board will accept a complaint regardless of the time limit, and the Legal Section will determine if it is within their jurisdiction to consider for disciplinary action.
- Unlicensed Activity - You may report unlicensed activity by submitting their name and contact information of the respondent, and address where they may be found working or the project bid. If needed, you may submit without giving your identity (remain anonymous).
- Litigation - The Board's jurisdiction is limited to license law violations under Title 62, Chapter 6 and their rulings are not meant to have any bearing on civil court lawsuits. Therefore, cases in litigation are not automatically held up awaiting final judgements (since these could take several years). It is encouraged for judgements to be reported to udpate a complaint case, even after it is closed. Please note, a court also has the authority to revoke a license.
(Please note, we do not expect consumers to be knowledgeable of all these requirements, and this is provided as an "FYI" (for your information) source, only. Once you submit a complaint, our Legal Staff will research the applicable laws to evaluate the case.)
PROCESS - Disciplinary Action or Mediation
Consumers hiring a licensee benefit from the mediation program with the Division of Consumer Affairs. Should our Legal section recommend transferring your reported complaint to "CHAMP" (Consumer / Homeowner Accountability Mediation Program), you will be notified in writing from their coordinator.
STEP 1
Mediation - Any eligible residential complaint received in the Board will be transferred to the Division of Consumer Affairs for processing through CHAMP, which offers consumer mediation. All parties must agree to participate in mediation or it may be transferred to the Board to review for law violations. Unlicensed or when the law requires a license; complaints involved in litigation; and commercial projects, are not eligible mediation for participation in CHAMP. After the mediation process, if there are license law violations, the case may be transferred to the Board for discipline against the license. (If mediation is unsuccessful, your only other alternative for a resolution may be to consult with an attorney.)
AND/OR
Discipline - These cases will be processed by our Legal section to determine from the documentation submitted, if there are license violations to be considered for discipline. (You may also use the complaint form to report unlicensed activity.
STEP 2
Complainant (Consumer/Person filing the Complaint) will receive an acknowledgement letter verifying receipt of the complaint and whether it will be transferred to CHAMP; or it may remain with Legal for investigation. Note: Details of the case while in the Legal Section are not public information. Notification on the status will not be sent until the case is "closed". Cases are considered “open” until: 1) the contractor pays the recommended penalty; 2) Appears for a Formal Hearing overseen by an Administrative Judge; or 3) Violations were not proven and Legal recommended dismissal. NOTE: During this process, the Board cannot prevent a licensee from working; and cannot hold the license or renewal issuance until the case is closed.
Respondent (Contractor or Trade Entity Regulated) will also be notified. Their notice is sent by certified mail with the complaint allegations and they are directed to respond in writing within *ten (10) days of receipt (from the date the contractor receives notification from the Board). A copy of the complaint will be included in the notice to the contractor. Please note, due to certified mail delivery, a typical contractor’s response may take *thirty (30) days.
STEP 3
Legal Counsel will review all documentation after the time is up for a response from the Respondent, to the allegations, and they will determine the next course of action. This may require an inspection of the job site by an inspector or investigator, if necessary to prove violations in the case.You will not be contacted unless an inspection is needed to gather more evidence to prove the license law violations, or if you are needed as a witness for a formal hearing. (Formal hearings take approximately one year or more to process, depending on the docket amount of cases.)
NOTE: Legal files are not considered open to the public and confidential. Investigator and Inspection reports are not submitted to the Board office. Once the case is closed, they will forward the findings to the Board office for the complaint file and all parties are notified.
STEP 4
Board Review for Discipline - Consists of cases presented anonymously to the Board at a regularly scheduled meeting (see "Calendar" for dates) to review the recommendations made by the Legal section and determine the action. The Board will not have knowledge of the contractor's or complainant's name on the case; will not see the complaint information; and decisions are based upon the findings of licensing law violations determined.
Board Action - The Board does not have the authority to award monetary damages or force the contractor to make repairs. They may assess discipline such as letters of warning/caution, citations, civil penalties, consent orders and in some cases, they may revoke or suspend the license through an adversarial formal hearing process with an Administrative Judge, pursuant to the Uniform Administrative Procedures Act. Anyone seeking to recover monetary remedies for injuries should consult a private attorney, as the Board has no jurisdiction over these matters. Further, the Board cannot hold the issuance of a license renewal until the respondent is given due process through the Uniform Administrative Procedures by a formal hearing.
DUE PROCESS
Should Legal be able to prove violation, they may recommend discipline in the form of a civil penalty or license suspension/revocation, usually at first in the form of a consent order. If the contractor rejects the consent order, and appeals these findings, we must hold a formal hearing under the Uniform Administrative Procedures Act and the contractor will be required to be represented by their attorney, with a hearing before an Administrative Law Judge. Contractors found guilty of the violations charged, may be responsible for hearing costs, in addition to any civil penalties assessed. After the time for appeals expire, the case is final, and closed by Legal. Their findings are released to the Board office for public information. Penalties not paid by the respondent may be referred to a Collection Agency.
CHAMP (Consumer Homeowner Accountability and Mediation Program)
The Tennessee Division of Consumer Affairs, the State’s consumer protection agency within the Department of Commerce and Insurance, contains a residential construction complaint mediation service known as CHAMP (Consumer Homeowner Accountability and Mediation Program). This consumer based complaint process allows the parties to agree on making repairs or corrections or to resolve residential construction issues without administrative disciplinary hearings. CHAMP has been a benefit to those who have hired a state licensed contractor.
Licensees/Respondents failing to respond to the complaint with the CHAMP section are listed on the "Problem Contractors List" which acts as a buyer beware to others. Although, these individuals or companies may not have violated the law, they failed to respond to the consumer's issues and is a good source for checking out a contractor prior to hiring one.
Complaint History
Closed cases with discipline are available at the Regulatory Boards site for Disciplinary Action; and the "Problem Contractor List", which is available with the Division of Consumer Affairs. Formal hearing action of the board is listed at the Revoked and Suspended list; all may be accessed at the "Consumer Resources" section of the Board's website. This site provides a resource when checking contractors and the laws. However, open cases will not be listed, as they are not public information until after the case is closed to ensure due process. You may check with the Board office for the complete complaint history of any professions regulated. If the case is open when checking a contractor, the board may not have specific information, but may let you know the amount of complaints on file. If you have been wronged by a contractor, reporting a complaint provides a means to protect other consumers.
Resources
In addition, you may want to contact the local Better Business Bureau or Federal Trade Commission to record your complaint and this provides a means for further consumer protection. More information is also available at the "Consumer Resources" section.
Resources
County and City Government Contacts
Fire Marshal - Blasting Requirements
License Law Requirements for Contractors
License Law Requirements for Home Improvement Contractors
License Law Requirements for Limited Licensed Electricians (LLE)
License Law Requirements for Limited Licensed Plumbers (LLP)
License Law Requirements for Pre-Licensed Exam Course Providers
Soil Erosion Problems (TDEC)
Water Quality - Department of Environment and Conservation (TDEC)
Complaint Forms:
Print Complaint Form [pdf] | Online Form
RESPONDENT RESOURCES FOR COMPLAINTS
Information relative to the complaint process may be reviewed at the above sections. For information relative to specific violations and penalties, see the Law, Rules and Regulations site. Specific consumer protection laws are available at the "Consumer Resources" and information relative to the industry are available at Valuable Resources.
Citation Issuance
The Executive Director may issue citations for unlicensed activity. This citation also acts as a "Cease and Desist" order of the project where the respondent may be working. Should the respondent wish to appeal the citation, they must do so, in writing, within 15 days, and provide evidence, documentation, etc., proving they did not violate the law or offer to engage in contracting where a license is required, pursuant T.C.A. Title 62, Chapter 6. The law allows lowering the citation if the respondent appeals and obtains a license as required. Should the respondent fail to respond in writing or does not pay the citation, the case will be referred to the Board for further action. (TCA 62-6-201/ Rule 0680-1-.21) This may result for a demand for payment to be issued and authorized by the Board to conduct a formal hearing to collect the civil penalty. Once scheduled for a formal hearing, you are encouraged to obtain an attorney for representation. All hearings are overseen by an Administrative Law Judge. If you are found guilty of the violation where the citation was issued, additional costs may be assessed to cover hearing costs (approximately $3,000 and up) which includes travel expenses of all parties, investigation and legal fees incurred by the State. Failing to appear at a hearing may result in a judgment of "default" ( guilty). After a formal hearing, if the penalties are not paid within the time alloted by the Board, collection may be turned over to a collection agency or the local District Attorney's office for prosecution.
Board Review
The Board reviews complaints presented to them by the Legal Section, and will not have knowledge of the parties identities involved in the complaint. At that time, they will vote on the recommendations made by the attorney on the Legal Report. Respondent will be advised of the Board's ruling on a complaint case (see "Complaint" process information above), which may be to issue a "Consent Order"; or hold an "Informal Hearing", issue a notice of "Summary Suspension", or move forward for a "Formal Hearing" which will be in accordance of the Uniform Administrative Procedures Act, pursuant T.C.A. Title 4, Chapter 5, where you must be representated by an attorney, overseen by an Administrative Law Judge, with the Board for Licensing Contractors conducting the hearing to address disciplinary action, in the form of civil penalties and/or license revocation. Any member who presides over the informal hearing or has prior knowledge of the case, will not participate. (TCA 62-6-118, 125)
Consent Order
Should Legal have evidence of law violations, they will present to the Board to authorize discipline, usually at first in the form of a "Consent Order" (often considered a plea bargain) and may be proposed in lieu of conducting a formal hearing. If the respondent fails to respond or agree to the consent order, the board's attorney is authorized to move forward to schedule a formal hearing under the Uniform Administrative Procedures Act. Upon scheduling, you will be advised to seek an attorney to file papers to respond to the hearing of charges. In most cases, the Board acts as the jury, however, they may waive and allow the Administrative Law Judge overseeing the hearing to alsom make the ruling. Those found guilty are typically responsible for hearing costs, which includes travel expenses, investigation charges and legal fees by the Department, etc., as well as the civil penalties assessed at the hearing.
Formal Hearing
A formal hearing under the Uniform Administrative Procedures Act is scheduled in order to take disciplinary action. Upon scheduling, the respondent is advised to seek an attorney to respond to the hearing of charges. In most cases, the Board acts as the jury, however, they may waive and allow the Administrative Law Judge overseeing the hearing to also make the ruling. Those found guilty are typically responsible for hearing costs, which includes travel expenses, judge fees, investigation charges and legal fees by the Department, etc., as well as the civil penalties assessed at the hearing, as outlined in Rule 0680-1-19. More Information is available at the Department of State's website at: Administrative Procedures Section.
Collection Agency
Unpaid penalties may be turned over to a collection agency for payment. (See TCA 62-6-120)
Civil Penalties
Penalities may be assessed from $50.00 to $5,000.00, for each day of the continued violation. (See Rule 0680-1-19)
Complaint Form [pdf] (Use to file a complaint or report unlicensed activity)
