Business Practices
Domain 2 - Business Practices tests how a fire alarm contractor forms contracts, prices and documents changes, preserves payment rights, and avoids discipline for unfair or deceptive conduct. The exam favors practical scenarios: unsigned change orders, missing lien notices, and scope disputes after acceptance testing.
Contract essentials
A enforceable proposal should identify the code edition and standards, scope, exclusions, allowance items, submittal and inspection responsibilities, acceptance-test criteria, warranty, payment schedule, and delay/access conditions. Fire alarm work often depends on other trades; state clearly who provides 120 V power, final connections, ceiling access, and firestopping. Change orders should be written and signed before work proceeds. Keep submittals, RFIs, inspection reports, and test records.
Florida lien law basics
Under Chapter 713, Florida Statutes, a subcontractor or supplier who is not in privity with the owner generally must serve a Notice to Owner before or within 45 days after first furnishing labor, materials, or services. A Claim of Lien is generally recorded within 90 days after final furnishing. A lien foreclosure action is generally filed within one year after the claim of lien is recorded. These are deadlines that can destroy payment rights if missed.
Worked example
A fire alarm sub begins work August 1 and sends its Notice to Owner August 20 - within 45 days. It finishes December 1 and records its Claim of Lien February 15. That is 76 days after final furnishing, within the 90-day window. If it had waited until March 5, the lien would be late and unenforceable. The lesson: calendar NTO and lien dates at project setup, not when payment is disputed.
Traps that cost marks
- Relying on a purchase order or verbal approval as a complete contract.
- Failing to send a Notice to Owner because the general contractor says it is unnecessary.
- Performing extra work on a handshake and losing the change-order claim.
- Bidding an outdated code edition or omitting permit/inspection costs.
- Promising a completion date without access and power conditions.
Exam focus
Questions often ask which document preserves a right or which fact makes a lien invalid. Match the document to the deadline and the party’s relationship to the owner.