City’s Department of Licenses and Inspections’ Weekend Sweep of 80 Unlicensed Contractor Projects Reinforces Commitment to Public Safety and Construction Integrity

PHILADELPHIA - The City of Philadelphia's Department of Licenses and Inspections - Inspections, Safety and Compliance unit (L&I ISC), reaffirmed its unwavering commitment to ensuring safety, compliance and accountability across the construction industry following decisive enforcement action Saturday morning, December 20, 2025. It resulted in stop-work orders of more than 80 active projects linked to unlicensed contractor, Elegance Group, pursuant to an order of the Board of Licenses and Inspections Review.   The Elegance Group obtained a new license after another related company, Expert Builders, had its license suspended for falsifying engineering reports. According to L&I ISC records, the principals of Expert Builders applied for a new license under the name Elegance Group in an apparent effort to continue operations despite the prior suspension. In a unanimous ruling on Thursday, December 18, 2025, the Board of Licenses and Inspection Review (BLIR) found that Elegance Group engaged in an illegal practice often referred to as the development of an alter ego company to evade regulatory requirements. The Board upheld L&I ISC's action to revoke Elegance's contractor license and subject all its projects to a Stop Work Order (SWO), which L&I ISC issued and posted on Saturday. "Public safety is our top priority," said Basil Merenda, Commissioner, Philadelphia Department of Licenses and Inspections - Inspections, Safety and Compliance unit. "When contractors operate outside the law and risk the well-being of workers and residents, L&I ISC will act swiftly and decisively. Contractors must adhere to the licensing requirements and established safety standards, or they will not be permitted to build in this city." L&I ISC is poised to help any property owner who may be impacted by the Stop Work Order and must now navigate how to bring its projects up to compliance with a licensed contractor. Any property owner who is subject to SWO should contact L&I's Audits and Investigations Unit (AIU) directly for guidance on next steps. AIU can be contacted seven days a week at [email protected] or by phone during L&I ISC business hours, (215) 686-2616.

This action reflects L&I ISC's commitment, under the Parker Administration's leadership, to uphold the integrity of the City's building codes, protect working families and ensure that all construction activity in Philadelphia meets the highest standards of safety and professionalism. At the beginning of Mayor Cherelle L. Parker's administration, the Mayor made the decision to break the formally structured department into two entities - Quality of Life (led by Commissioner Bridget Collins-Greenwald) and Inspections, Safety and Compliance (led by Commissioner Basil Merenda). Known as Inspections, Safety and Compliance (ISC), it established, for the first time in the city's history, a department focused exclusively on construction and building code enforcement. The sweep action over the weekend was led by Inspections, Safety and Compliance.   L&I ISC plays a crucial role in enforcing the Philadelphia Code through inspections, permitting, licensing and enforcement actions designed to uphold safety and best practices across all construction activities in every neighborhood of the city.  Key Enforcement Principles:  · Strict Licensing Compliance: Contractors must maintain valid, current licenses and meet all insurance and regulatory requirements to operate in Philadelphia.  · Decisive Action on Violations: L&I ISC will issue stop-work orders, license suspensions and other enforcement measures against contractors who fail to comply with the building and construction code, operate unlawfully, or compromise public safety.  · Protecting Residents and Workers: Enforcement prioritizes the well-being of community members, construction workers and neighbors impacted by unsafe or non-compliant activity.  Commissioner Merenda also noted the importance of due process, emphasizing that enforcement work includes careful legal review alongside proactive inspections and oversight. "We can't just revoke a license without following established procedures but make no mistake - contractors who flout their obligations will face the full force of City regulations," said Merenda.   Philadelphia continues to support efforts to close regulatory loopholes and strengthen safeguards, including collaboration with City Council on legislation that enhances accountability for licensed professionals.   L&I ISC reminds the public about the role they play. While L&I ISC has a multi-layered process of review, audit and inspections, public complaints are a major input into its process, as well. L&I ISC keeps a current list of suspended contractors: Suspended contractors | Department of Licenses and Inspections | City of Philadelphia.

Additionally, L&I ISC strives to respond to all complaints made to 311 within five (5) to ten (10) business days and for emergencies, L&I ISC can respond within a few hours, following a call to 911.  For more information on licensing requirements and enforcement actions, visit phila.gov/LI.