In Eisenberg Village of the Los Angeles Jewish Home for the Aging v. Suffolk Construction, Inc., the Second Appellate District held that a claim to disgorge payment to an unlicensed building contractor under Business and Professions Code section 7031 has to be brought within one year of the completion or cessation of the performance of the act or contract at issue. It is always important to verify the license of a contractor performing work to avoid legal problems but it is imperative to do so at the time of payment, particularly when the work is completed.
