225 ILCS 335/4.5

(225 ILCS 335/4.5)

(Section scheduled to be repealed on January 1, 2031)

Sec. 4.5. Duties and responsibilities of qualifying party; acceptance; grounds for discipline.

(a) While named as and engaged as a qualifying party for a roofing contractor licensee, no person may be the named qualifying party for any other licensee. However, the person may act in the capacity of the qualifying party for one additional roofing contractor licensee of the same type of licensure only if one of the following conditions exists:

(1) the person has a common ownership or management interest of at least 25% of each licensed entity for which the person acts as a qualifying party; or

(2) the same person acts as a qualifying party for one licensed entity and its licensed subsidiary.

"Subsidiary" as used in this Section means a corporation, professional limited liability company, or limited liability company of which at least 25% is owned or managed by another roofing contractor licensee.

(b) At all times a licensed roofing contractor shall have one corresponding qualifying party actively engaged in the day-to-day activities of the roofing contractor's business, except for a change in qualifying party as set forth in Section 4.6 and the rules adopted under this Act.

(c) A qualifying party that is accepted by the Department shall be issued an appropriate credential and shall have and exercise the authority to act for the licensed entity in all matters connected with its roofing contracting business and to supervise roofing installation operations. This authority shall not be deemed to be a license for purposes of this Act. Upon acceptance, the qualifying party shall act on behalf of the licensed roofing contractor entity only, except as provided for in subsection (a).

(d) Designation of a qualifying party by an applicant under this Section and Section 3 is subject to acceptance by the Department. The Department may refuse to accept a qualifying party (i) for failure to qualify as required under this Act and the rules adopted under this Act or (ii) after making a determination that the designated qualifying party has a history of acting illegally, fraudulently, incompetently, or with gross negligence in the roofing or construction business.

The qualifying party who has been accepted by the Department shall maintain the qualifying party's duties and responsibilities to the licensed roofing contractor as follows:

(1) The qualifying party may have a common ownership or management interest in the licensed roofing contractor entity, and, on behalf of the licensed entity, may serve as an estimator, salesperson, project manager, superintendent, or in a similar capacity as defined by rule;

(2) The qualifying party may delegate the qualifying party's supervising authority over the persons performing the onsite roofing work only to another employee of the licensed roofing contractor;

(3) While engaged as a qualifying party for a licensed roofing contractor, the qualifying party shall not accept other employment that would conflict with the individual's duties as a qualifying party or conflict with the individual's ability to supervise adequately the work performed by the licensed roofing contractor;

(4) The qualifying party shall not act on behalf of an unlicensed entity or a subcontractor that is not the qualifying party's licensee; and

(5) The qualifying party shall not use the qualifying party's credential for the benefit of an unlicensed person or a roofing contractor that has not designated the individual to qualify the contractor for licensure in accordance with this Act, unless the licensed roofing contractor affiliated with the qualifying party is a subcontractor or seller of roofing services pursuant to a bona fide contract for roofing contracting services.

(e) The Department may, at any time after giving appropriate notice and the opportunity for a hearing, suspend or revoke its acceptance of a qualifying party designated by a roofing contractor licensee and impose other discipline, including, but not limited to, fines not to exceed $15,000 per violation for any act or failure to act that gives rise to any ground for disciplinary action against that roofing contractor licensee under this Act and the rules adopted under this Act. If the Department suspends or revokes its acceptance of a qualifying party, the license of the roofing contractor licensee shall be deemed to be suspended until a new qualifying party has been designated by the roofing contractor licensee and accepted by the Department.

If acceptance of a qualifying party is suspended or revoked for action or inaction that constitutes a violation of this Act or the rules adopted under this Act, the Department may in addition take such other disciplinary or non-disciplinary action as it may deem proper against the licensee or qualifying party, including imposing a fine on the qualifying party, not to exceed $15,000 for each violation.

All administrative decisions of the Department under this subsection (e) are subject to judicial review pursuant to Section 9.7 of this Act. An order taking action against a qualifying party shall be deemed a final administrative decision of the Department for purposes of Section 9.7 of this Act.

(Source: P.A. 104-427, eff. 8-15-25.)