Compensation

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bobboscia

New member
I passed the electrical tests and I am now a licensed electrician in NJ. The company I was employed with has been sold and I have joined a HVAC service company that does not have a licensed electrican. They have asked me if they could use my license. They will pay all fees associated with the process. My question is this: By code, If I sign off on these jobs am I entiltled to a percentage of the total cost of the jobs, a flat fee, or is it up to me and my comapny if I want to negotiate compensation?
 

bphgravity

Senior Member
Location
Florida
Re: Compensation

Obviously since you have just recently passed an electrical exam, you are very familiar with the code and know that business arrangements are not within the scope of the code.

This arrangment is like any other employment or use of ones services. Either ask for what you want or ask what they will give you. You may want to involve a lawyer as well. :)
 

charlie

Senior Member
Location
Indianapolis
Re: Compensation

. . . am I entiltled to a percentage of the total cost of the jobs, a flat fee, or is it up to me and my comapny if I want to negotiate compensation?
I don't believe you are entitled to anything. :p

However, it is up to you to negotiate whatever the market will bear to represent the company. Do not forget that the laws in the state in which you work will govern the extent of responsibility (read liability) that you will have for the other person's work. Do not take that responsibility lightly!
 

bennie

Esteemed Member
Re: Compensation

Bob: Your compensation may only be a bit of job protection. This should be discussed before signing. Also determine your risk and limit of liability.

I was a signing employee for a contractor in California. I held the license. He filed bankruptcy, I drew a one year license suspension.

Be careful, maybe see an attorney for advice.

Good luck: Bennie
 

ju

Member
Location
New Jersey
Re: Compensation

Bob, welcome new electrical contractor! You have worked very hard for your licence ....try to keep it.. I know of two electrical contractors that just sign off on permits without going and checking on the work that the A/C men do. They make so much per a/c...
 

goldstar

Senior Member
Location
New Jersey
Occupation
Electrical Contractor
Re: Compensation

As others have mentioned, getting your lawyer involved should be first and foremost. If there's a fire on a job that you've sealed and they determine it's electrical, it's your seal and not the HVAC company's that's on the permit (and on the hook). Lawyers generally use the "shot gun" approach to filing law suits. They'll file against anyone involved with the project hoping to get charges to stick.

With respect to compensation, see if you can do some research through the NJDCA-Board of Electrical Examiners of Electrical Contractors and find out if there are any other companies or electricians that are structured this way. You might be able to contact one of these licensed electricians and find out how he's compensated and hopefully give you a guideline (but be careful; just because he's doing this doesn't make it right).

Finally, I would suggest, as part of your agreement (in writing), that you be involved in or inspect each job that requires your license. At least that way you'll have some control over what is being done under YOUR license.

Just my opinion. Good luck.
 

gwz2

Senior Member
Location
Indiana
Re: Compensation

Would that not be " subletting Your license ?

I would think most License Ordinance's have a clause not allowing another entity use your license.

The fine for doing so could easily put you out of business if they do have such language in the licensing ordinance.
 

daveselectric

Member
Location
Ohio
Re: Compensation

You should check with the state licensing agency as to what are the obligations of a individual license holder vs. a company held license. The bottom line is that you hold yhe license and you are ultimately responsible for any work done under permits issued to you. As said by others. You should check all the work prior to inspection and be present for the inspection.

Yes, you should negotiate a package based on your credentials and not on a per job basis.
 

pierre

Senior Member
Re: Compensation

Bob

Congratulations on your license! I say beware of signing your license.
1. I would get in writing that you have to be notified of ALL jobs using your license.
2. That you HAVE TO inspect ALL jobs.
3. That a clause is included in the contract that you can remove your license from the A/C company if they violate your clauses.
4. Get an attorney with this kind of experience to draft this contract, and make sure he has no aliance with the A/C company.
5. Any person involved with the electrical portion of the A/C installation should be able to 'PROVE' training in electricity, have in writing that only those persons are allowed to perform the electrical work.
This is an incomplete list, if you protect yourself now, you could save your license and much aggravation later.
Hopefully the attorney can help you much more.

Pierre
 
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