Section 40-11-110 - Disciplinary action; conditions for imposing; civil penalties; reapplication after revocation or cancellation; completion of work in progress; revocation of individual license classification(A) The board may impose disciplinary action authorized by this chapter upon a licensee, certificate holder, or other entity or individual if the board finds any of these conditions:(1) subsequent discovery of facts which if known at the time of issuance or renewal of a license or certificate would have been grounds to deny the issuance or renewal of a license or certificate;(2) gross negligence, performing substandard work, incompetence, or misconduct;(3) abandonment of a contract or refusal to perform after submitting a bid on work without legal excuse for the abandonment or refusal;(4) fraud or deceit in obtaining a license or certification;(5) violation of a provision of this chapter, Article 1, Chapter 1 of this title or a regulation promulgated under these chapters;(6) misrepresentation of a material fact by an applicant in obtaining a license or certificate;(7) conviction or entering a guilty plea or plea of nolo contendere in a court of competent jurisdiction of this or any other state, district, or territory of the United States or of a foreign country of the offense of forgery, embezzlement, obtaining money under false pretenses, theft, extortion, or conspiracy to defraud or other like offense regardless of whether an appeal has been sought;(8) conviction or entering a guilty plea or plea of nolo contendere of a felony or a crime involving moral turpitude in connection with the performance of a contract for construction regardless of whether an appeal has been sought;(9) aiding or abetting an unlicensed entity to evade the provisions of this chapter, combining or conspiring with an unlicensed entity, allowing one's license to be used by an unlicensed entity, or acting as agent, partner, or associate, or an unlicensed entity;(10) knowingly entering into a contract with an unlicensed contractor for work to be performed for which a license is required;(11) false, misleading, or deceptive advertising whereby a member of the public may be misled and injured;(12) contracting or offering to contract or submitting a bid while a license is under suspension or probation;(13) failure to obtain a building permit as required by a local or state government before engaging in construction;(14) failure to take appropriate corrective action to comply with this chapter or a regulation promulgated under this chapter without valid justification within a reasonable period of time after receiving a written directive from the department;(15) failure to maintain the net worth, working capital, or surety bond requirements for licensure;(16) failure to comply with an order of the board;(17) failure to provide pertinent records and documents as requested by the department or board;(18) failure to maintain a business address accessible to the public;(19) failure to comply with a directive of the department;(20) failure to notify the department of changes in information required in an original or renewal application;(21) contracting or offering to contract for construction work exceeding the limitations of a group or outside the classification or subclassification of a license;(22) attempting to serve in the capacity of primary qualifying party while serving a house arrest, a jail sentence, or a prison sentence; or(23) departure from an applicable building code of the State of South Carolina or any of its political subdivisions as determined by a court of competent jurisdiction.(B) Disciplinary action may be taken against an entity or individual who the board determines to be responsible for violations of this chapter regardless of changes in corporate identity or federal employer identification subsequent to the violation. In determining responsibility, the board may consider, but is not limited to, an individual's: (1) participation in management or supervision related to the violation;(2) position as sole proprietor, partner, officer, or qualifying party.(C) The board may, in addition to all other disciplinary actions, require a licensee, certificate holder, or other entity or individual to pay a civil penalty of up to five thousand dollars for each violation of this chapter or of a regulation promulgated under this chapter and may order an unlicensed contractor to cease and desist from violating a provision of this chapter.(D) Upon presentation to the court of common pleas by the department of an affidavit for nonpayment of an administrative penalty under a citation which is a final order or a civil penalty assessed by the board pursuant to subsection (C), the court shall issue an order for judgment to be filed in the office of the Clerk of Court.(E) A license or certificate that is canceled by the department or revoked by the board must be returned to the department within fifteen days of notification by the department.(F) No sooner than one year after revocation of a license or certificate by the board, the entity or individual who held that license or certificate may apply for another. The applicant must meet all requirements for initial licensure or certification and must appear before the board to present evidence that his practice will not unreasonably endanger the public.(G) If a license is canceled by the department, the licensee must apply for initial licensure.(H) Work in progress may be completed by the licensee if the licensee's license is revoked, canceled, lapsed, or suspended; however;(1) no new work may be bid or started after revocation or suspension of a license upon proper notification by the department,(2) unless otherwise directed by the board, the revocation, suspension, or restriction of a license or certificate does not become effective until the tenth day following the delivery to the licensee or qualifying party of a written decision of the board. Service of a petition for a review of the decision does not stay the board's decision pending completion of the appellate process in accordance with the Administrative Procedures Act.(I) Where a licensee's business is dissolved for whatever reason, that license must be canceled by the department. However, if the business has been administratively dissolved by the Secretary of State, the licensee must be allowed ninety days from when the department notifies the licensee that it has obtained information that the licensee has been dissolved to provide proof of reinstatement by the Secretary of State, and if such proof is timely provided, any cancellation of the license by the department must be rescinded retroactively to the date of the cancellation.(J) The board may revoke, suspend, or restrict an individual license classification or subclassification without effect to other license classifications or subclassifications.(K) Sanctions, discipline, or administrative penalties authorized by this chapter or Section 40-1-120 may include a private reprimand. A final order of the board finding that an entity or individual is in violation of this chapter or Section 40-1-10, et seq., becomes public knowledge except for a final order dismissing the complaint, issuing a letter of caution, or imposing a private reprimand.Amended by 2023 S.C. Acts, Act No. 69 (HB 4115),s 5, eff. 5/19/2023.1998 Act No. 440, Section 1.