North Carolina Building Contractor License Practice Exam

Who assumes the entire responsibility under the contract?

1. Prime Contractor

2. Sub Contractor

3. General Manager

4. Site Manager

The correct answer is: Prime Contractor

The prime contractor assumes the entire responsibility under the contract because they are the principal entity that enters into a legal agreement with the client or property owner. This includes overseeing the project, coordinating with subcontractors, ensuring compliance with local regulations, and managing the overall execution of the work. The prime contractor is responsible for fulfilling the terms of the contract, which often includes delivering the completed project on time and within budget. This role typically involves establishing a clear line of communication with all parties involved and ensuring that all aspects of the project are properly managed. In contrast, subcontractors work under the prime contractor's authority and may have specific tasks or portions of the project delegated to them, but they do not bear the same level of overarching responsibility for the entire contract. The roles of general manager and site manager are more focused on operational oversight and logistics rather than the contractual obligations that fall squarely on the prime contractor.