What is the maximum liability for claims from the residential contractors recovery fund for a single license?

The maximum liability for claims from the Residential Contractors Recovery Fund for a single license is $200,000. This fund is designed to protect consumers who enter into contracts with licensed residential contractors in Arizona. When a contractor fails to fulfill their obligations, either through non-performance or through failing to settle a judgment against them, consumers can file for compensation through this fund.

Understanding the figure of $200,000 is vital for both contractors and consumers. It reinforces the importance of having a licensed contractor, as the fund acts as a safety net ensuring that there is a level of accountability and consumer protection in the industry. By knowing this amount, contractors also recognize the financial implications of their work and the potential impact on their license should claims be filed against them.

The other amounts listed do not represent the maximum liability, thus reinforcing the specific provisions regarding the fund in Arizona's regulatory framework for contractors.