Oregon Construction Contractors (CCB) Practice Test

Do subcontractors enter contracts with the general contractor or other subcontractors to complete parts of a larger project? True or False?

1. True

2. False

The correct answer is: True

Subcontractors indeed enter contracts with the general contractor to perform specific tasks or sections of a larger project. This arrangement allows the general contractor to delegate specialized tasks to subcontractors who have the necessary skills and expertise, thereby facilitating more efficient project management. Subcontracting is a common practice in the construction industry, as it enables the general contractor to focus on overall project coordination while leveraging the specialized knowledge of subcontractors for particular aspects such as electrical work, plumbing, or carpentry. While subcontractors may collaborate with each other in the course of work, their formal contractual relationships primarily involve agreements with the general contractor. This structure reflects standard industry practices, where the general contractor remains responsible for the overall contract with the client, and the subcontractors operate under the general contractor’s supervision.