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B.A. Retro, Inc. v. D.L. Falk Construction, Inc. C
B.A. Retro, Inc. (Retro) was a subcontractor on a project on which D.L. Falk Construction, Inc. (Falk) was the general contractor. Retro sued Falk for some $260,000, the amount it claimed Falk owed it. On the eve of the date set for trial Falk learned that Retro had begun work on the job at a time when it did not have workers’ compensation insurance, the effect of which was to cause an automatic suspension of its license. The trial was continued, and more pleadings ensued, including Falk’s cross-complaint for disgorgement of the $440,447 it had paid to Retro. The case proceeded to a court trial on the licensure issue, at the conclusion of which the court ruled against Retro, rejecting its claim of substantial compliance with the licensing law, and entered judgment against Retro on both its claim and Falk’s disgorgement claim. We affirm.

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