§ 8-315. Payment of compensation; effect of loss of license

   (a) Payment of compensation. -- Except as otherwise provided in subsection (b) of this section, a contractor or subcontractor may not pay or otherwise compensate another contractor or subcontractor or a salesperson for performing or selling a home improvement unless:

   (1) the person to be paid or compensated is licensed;

   (2) the person to be paid or compensated is not subject to the licensing requirements of this title; or

   (3) the transaction for which the consideration is to be paid is not subject to this title.

(b) Effect of loss of license. -- After the expiration, suspension, or revocation of a license, a person:

   (1) is not relieved of outstanding obligations; and

   (2) may complete and be paid under a home improvement contract that is made but not performed on the date of the expiration, suspension, or revocation.

HISTORY: An. Code 1957, art. 56, § 263; 1992, ch. 4, § 2.