Michigan Compiled Laws

Mich. Comp. Laws § 339.2403 (2026)

Engaging in business or acting in capacity of residential builder or residential maintenance and alteration contractor or salesperson without license.

✓ current as of July 2026
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OCCUPATIONAL CODE


Act 299 of 1980


339.2403 Engaging in business or acting in capacity of residential builder or residential maintenance and alteration contractor or salesperson without license.

Sec. 2403.

    Notwithstanding article 6, a person may engage in the business of or act in the capacity of a residential builder or a residential maintenance and alteration contractor or salesperson in this state without a license under this article, if the person is 1 of the following:

    (a) An authorized representative of the United States government, this state, or a county, township, city, village, or other political subdivision of this state.

    (b) An owner of property, with reference to a structure on the property for the owner's own use and occupancy.

    (c) An owner of rental property, with reference to the maintenance and alteration of that rental property.

    (d) An officer of a court who is acting within the scope of that office.

    (e) A person other than the salesperson that engages solely in the business of performing work and services under contract with a residential builder or a residential maintenance and alteration contractor that is licensed under this article.

    (f) A person that is working on 1 undertaking or project by 1 or more contracts, if the aggregate contract price for the labor, material, and any other items for the undertaking or project is less than $600.00. The exemption described in this subdivision does not apply if the work of a construction is only a part of a larger or major operation, whether undertaken by the same or a different residential builder or residential maintenance and alteration contractor, or in which a division of the operation is made in contracts of amounts less than $600.00, to evade this act.

    (g) An electrical contractor that is licensed under article 7 of the skilled trades regulation act, MCL 339.5701 to 339.5739. The exemption described in this subdivision applies only to the electrical installation, electrical maintenance, or electrical repair work that is performed by the electrical contractor.

    (h) A plumbing contractor that is licensed under article 11 of the skilled trades regulation act, MCL 339.6101 to 339.6133. The exemption described in this subdivision applies only to plumbing installation, plumbing maintenance, or plumbing repair work that is performed by the plumbing contractor.

    (i) A mechanical contractor that is licensed under article 8 of the skilled trades regulation act, MCL 339.5801 to 339.5819. The exemption described in this subdivision applies only to mechanical installation, mechanical maintenance, or mechanical repair work that is performed by the mechanical contractor.

History: 1980, Act 299, Imd. Eff. Oct. 21, 1980 ;-- Am. 1982, Act 6, Imd. Eff. Feb. 15, 1982 ;-- Am. 1984, Act 191, Imd. Eff. July 3, 1984 ;-- Am. 2016, Act 412, Eff. Apr. 4, 2017

PopularName Notes:

Act 299
Notes of Decisions
Cited in 8 cases, 1990–2016 · leading case: Liss v. Lewiston-Richards, Inc, 732 N.W.2d 514 (Mich. 2007).
Liss v. Lewiston-Richards, Inc, 732 N.W.2d 514 (Mich. 2007). · cites it 4× “MCL 339.2403. Minimum licensing qualifications are set forth.”
Stokes v. Millen Roofing Co., 649 N.W.2d 371 (Mich. 2002). · cites it 2× “§ 339.2403(b), which provides: Notwithstanding article 6, a person may engage in the business of or act in the capacity of a residential builder or a residential maintenance and alteration contractor or salesperson in this state without having a license, if the person is 1 of…”
Stokes v. Millen Roofing Co., 627 N.W.2d 16 (Mich. Ct. App. 2001). · cites it 2× “The act lists several exceptions to the licensing requirement; however, there is no exception for subcontractors to unlicensed property owners within the plain language of MCL 339.2403. Because the Legislature did not see fit to include an exception for defendant’s situation, we…”
Brown Plumbing & Heating, Inc v. Homeowner Constr. Lien Recovery Fund, 500 N.W.2d 733 (Mich. 1993). · cites it 2× “If the total amount payable to subcontractors, suppliers, and laborers exceeds $75,000.”
Horton v. Verhelle, 588 N.W.2d 144 (Mich. Ct. App. 1998). · cites it 2× “[7] If one were to conclude that the failure to pay the fund members was fatal to the subrogation claim, the result would be the same. The fund members themselves would be entitled to a prorata share of the $31,663.”
Wojas v. Rosati, 452 N.W.2d 864 (Mich. Ct. App. 1990). · cites it 2× “MCL 339.2403(b); MSA 18.425(2403)(b). Thirdly, in the event plaintiff was not properly denominated a time and material man for defendant, he was his subcontractor.”
Utica Equip. Co. v. Ray W. Malow Co., 516 N.W.2d 99 (Mich. Ct. App. 1994). “See MCL 339.2403(e); MSA 18.425(2403) (e); see also Obeginski v James, 4 Mich App 90, 93 ; 143 NW2d 579 (1966).”
Cochran v. Michigan Reg'l Council of Carpenters of the United Bhd. of Carpenters, 192 F. Supp. 3d 861 (W.D. Mich. 2016). · cites it 2× “See Mich. Comp. Laws § 339.2403 . And the CBA does not solely cover residential contractors.”
— Mich. Comp. Laws § 339.2403(b) — 3 cases
Stokes v. Millen Roofing Co., 649 N.W.2d 371 (Mich. 2002). “§ 339.2403(b), which provides: Notwithstanding article 6, a person may engage in the business of or act in the capacity of a residential builder or a residential maintenance and alteration contractor or salesperson in this state without having a license, if the person is 1 of…”
Stokes v. Millen Roofing Co., 627 N.W.2d 16 (Mich. Ct. App. 2001). “The act lists several exceptions to the licensing requirement; however, there is no exception for subcontractors to unlicensed property owners within the plain language of MCL 339.2403. Because the Legislature did not see fit to include an exception for defendant’s situation, we…”
Wojas v. Rosati, 452 N.W.2d 864 (Mich. Ct. App. 1990). “MCL 339.2403(b); MSA 18.425(2403)(b). Thirdly, in the event plaintiff was not properly denominated a time and material man for defendant, he was his subcontractor.”
— Mich. Comp. Laws § 339.2403(e) — 3 cases
Horton v. Verhelle, 588 N.W.2d 144 (Mich. Ct. App. 1998). “[7] If one were to conclude that the failure to pay the fund members was fatal to the subrogation claim, the result would be the same. The fund members themselves would be entitled to a prorata share of the $31,663.”
Utica Equip. Co. v. Ray W. Malow Co., 516 N.W.2d 99 (Mich. Ct. App. 1994). “See MCL 339.2403(e); MSA 18.425(2403) (e); see also Obeginski v James, 4 Mich App 90, 93 ; 143 NW2d 579 (1966).”
Wojas v. Rosati, 452 N.W.2d 864 (Mich. Ct. App. 1990). “MCL 339.2403(b); MSA 18.425(2403)(b). Thirdly, in the event plaintiff was not properly denominated a time and material man for defendant, he was his subcontractor.”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.