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The New Jersey “Contractors’ Registration Act” Frequently Asked Questions - page 3 / 4





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NJ Office of the Attorney General Division of Consumer Affairs

17. I am a subcontractor, paid by the general contractor, and never enter into a contract with the consumer. Do I have to register?

Yes, a subcontractor of a contractor must register.

18. I am a retail merchant with a net worth under $50,000,000 that sells retail products used in home improvements. Do I have to register?

No. You are not required to register unless you also charge for the installation of those products. For example, X carpet store sells wall-to-wall carpet. X carpet store does not have to register. However, Y carpet store sells wall-to-wall carpet and Y store employees install the carpet. Y carpet store must register. Z carpet store sells wall-to-wall carpet and charges the customer for installation of the carpet. Z contracts with Joe Smith to install the carpet; Joe Smith is not an employee of Z carpet store. Both Z carpet store and Joe Smith must register.

19. I plan to help my cousin remodel her house. Do I have to register?

No. The registration requirements do not apply to any person performing a home improvement on a home he or she owns or that is owned by a member of his or her family.

20. Do I have to register if I am improving a home belonging to a charity or a non-profit corporation?

No. A person performing home improvement work on a residential property owned by a bona fide charity or other non-profit organization is not required to register.

21. I work exclusively on commercial properties. Do I have to register?

The Act applies only to residential or “non-commercial” units — single- or multi-family homes — or commercial properties that are being converted to residential or “non-commercial” units. The law does not apply to properties that are being used for commercial purposes.

22. I am licensed as a home improvement contractor by a local town. Do I still have to register?

Yes. The Act supersedes any municipal law or regulation that provides for the licensing or regulation of home improvement contractors. However, contractors must still obtain construction permits from the municipality in which they’re working and must submit to inspections by municipal construction code officials.

23. Do people who handle maintenance for community associations or co-ops have to register?

No. The Act exempts from the registration requirements individuals employed by a community association or cooperative corporation — commonly referred to as “handymen,” superintendents and/or maintenance workers — who make home improvements within the scope of their employment at the residential property owned or leased by the community association or cooperative corporation.

24. Do architects, professional engineers, landscape architects, land surveyors, electrical contractors, master plumbers, locksmiths, burglar alarm businesses, fire alarm businesses, new h o m e builders, or any other individuals or businesses that already hold licenses from the State of New Jersey have to register?

No. As long as the licensee is acting within the scope of his or her profession, he or she is exempt from registration. For example, a new home builder does not have to register if it is constructing a new home, but must register if it is building an addition or renovating an existing structure.

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