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The Most Common Electrical Code Violations Found in Commercial Buildings

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The Most Common Electrical Code Violations Found in Commercial Buildings

Overview

Maintaining electrical code compliance in commercial buildings goes beyond avoiding fines or failed inspections. In this blog post, JC2 Lighting and Electric explores the most common electrical code violations we see in Colorado commercial properties. Learn what these violations look like, why they matter, and how to prevent them before they become costly or dangerous problems.

Highlights

Introduction

What are the most common electrical code violations found in commercial buildings? That’s a question we hear a lot from building owners, facility managers, and business operators.

In this JC2 Lighting and Electric blog post, we’ll walk you through the top violations that frequently appear during inspections or cause issues in commercial properties across Colorado. From outdated equipment to unsafe wiring, we’ll explain how these problems happen and what you can do to fix them.

Read at your leisure, and don’t hesitate to contact us at (720) 798-1100 if you have any questions.

Outdated Electrical Panels

One of the most frequently overlooked issues in commercial buildings is the use of outdated electrical panels. Many older facilities still rely on panels that were installed decades ago. The problem? These panels often aren’t equipped to handle the electrical demands of today’s offices, retail environments, or industrial operations. That can lead to overloaded circuits, inconsistent power supply, and serious safety risks.

These aging panels often lack the built-in safety features found in modern electrical systems, such as arc fault protection, ground fault interrupters, or capacity for surge protection. As electrical codes evolve to account for newer technologies and higher safety standards, outdated panels fall further behind compliance requirements. This increases the likelihood of operational disruptions and can also have legal and insurance implications for building owners who fail to upgrade their systems in a timely manner.

Panels That Should Be Replaced Immediately

Some panels are so outdated they’re dangerous. In fact, certain models are no longer recognized by the National Electrical Code (NEC) due to safety concerns.

If your building still has any of the following panels, it’s time for an upgrade:

  • Federal Pacific Electric (FPE) panels: Known for breakers that fail to trip, increasing fire risk
  • Zinsco panels: Prone to melting and arcing, leading to potential electrical fires
  • Pushmatic panels: Obsolete and difficult to find compatible parts for
  • Fuse-based panels: Not suited for modern load demands and pose a fire hazard when oversized fuses are used

A modern commercial panel needs to handle higher electrical loads safely, support additional circuits, and meet all current code requirements. Replacing outdated panels isn’t just a good idea—it’s essential for safety and compliance.

Overloaded Circuits and Panels

In worst-case scenarios, businesses have daisy-chained power strips and extension cords in ways that aren’t just non-compliant but dangerous. Overloaded circuits increase the risk of overheating, arcing, and fires.

Common signs and risks of overloaded circuits include:

  • Frequent breaker trips or blown fuses
  • Warm or discolored outlets and panels
  • Flickering or dimming lights when equipment powers on
  • Use of multiple power strips or extension cords to support a single outlet

Incorrect Breaker Sizing

Breaker sizing is critical. Install a breaker that’s too large for the wire it’s protecting, and you’ve just set the stage for overheating and a potential fire. Install one that’s too small, and it’ll trip constantly, disrupting business operations.

This is a surprisingly common issue in DIY or handyman-installed systems. It’s also found in some older commercial buildings where previous installers cut corners. Every conductor and breaker must be correctly matched per NEC tables, taking into account ambient temperature, conductor material, and load type.

Improper Labeling or Lack of Panel Schedules

The NEC requires that all electrical panels be clearly labeled to indicate what each breaker controls. Yet, in building after building, we find mismatched, missing, or illegible labels. A lack of accurate panel schedules violates codes and wastes time during maintenance.

Electricians rely on clear labeling to isolate circuits safely. Fire inspectors and safety officers require them to approve occupancy. Panel directories should be specific, up to date, and legible.

Improper Grounding and Bonding

Grounding and bonding aren’t just technicalities. They’re essential for preventing electrocution and ensuring electrical stability throughout the system. We regularly encounter buildings where grounding is incomplete or improperly bonded, especially in older facilities that have been renovated multiple times.

In commercial applications, proper bonding ensures that all metal components that might become energized are at the same electrical potential. Without this, an unexpected fault can energize enclosures or fixtures, creating a serious shock hazard. Grounding issues also create problems for sensitive electronic equipment and surge protection systems.

Missing or Improper GFCI Protection

Ground Fault Circuit Interrupters (GFCIs) are a must in commercial settings where moisture is present or where users could come into contact with grounded surfaces. Yet, we still find many businesses without GFCI protection in bathrooms, kitchens, garages, and outdoor areas.

This violation is more than a code infraction. It’s a direct threat to employee safety. GFCIs are designed to cut power instantly if they detect a fault, helping to prevent shocks and fatalities.

Modern code also requires GFCI protection in areas like service bays, rooftops, and unfinished basements—all places we regularly inspect.

Unsafe Wiring Practices That Violate Electrical Codes

Even in well-maintained facilities, wiring violations are surprisingly common. Two of the most dangerous and frequently cited issues are exposed splices and the improper use of temporary wiring. Both can pose serious fire and shock hazards—and both are clear violations of the NEC.

Open Splices

One of the most common and dangerous issues we see in commercial buildings is the presence of open splices. These occur when wires are connected without the protection of a proper junction box—often by untrained personnel trying to handle repairs themselves.

The NEC strictly prohibits open splices because of the fire and shock hazards they create. Without an enclosure (known as a junction box), these connections remain exposed, creating significant risks of electrical arcing, fire, and accidental contact.

Unprotected Wiring

Unprotected wiring is another issue we frequently find in mechanical rooms, basements, storage areas, and crawl spaces. Cables that run along walls, ceilings, or across floors must be protected in conduit or raceways. Without that physical barrier, the wiring is susceptible to damage from foot traffic, equipment movement, and even cleaning tools—all of which can lead to exposed conductors, shorts, or electrical fires.

Improper Use of Extension Cords and Power Strips

The NEC makes it clear: extension cords and power strips are never a replacement for permanent wiring. Still, we often see them used as long-term solutions in commercial spaces, especially in offices and retail stores.

When power strips are daisy-chained, cords are hidden under rugs, or essential equipment is connected through temporary wiring, it’s a clear sign the building’s electrical infrastructure isn’t keeping up.

Non-Compliant Emergency Lighting and Exit Signs

Non-compliant emergency lighting and exit signs are a common violation in commercial buildings. These systems are required to ensure safe evacuation during power outages or fires and must meet strict NEC and NFPA standards.

However, we often find issues that compromise their effectiveness and safety, including:

  • Backup batteries that no longer hold a charge
  • Fixtures that aren’t wired correctly
  • Exit signs that fail to illuminate
  • Lack of regular testing and maintenance

If emergency lighting doesn’t activate automatically during a power failure, the building risks occupant safety and can fail inspections.

Lack of Routine Electrical Maintenance

Electrical systems need regular inspections and upkeep just like any other part of a building. NEC and OSHA standards assume maintenance is happening on a schedule, but too often it gets delayed until something breaks. When maintenance is neglected, dust, corrosion, loose connections, and outdated parts build up. Scheduled tasks like infrared inspections, torque checks, and breaker testing help catch problems early. Skipping these steps lets small code violations grow into serious hazards.

Unpermitted Electrical Work

A common and costly mistake is letting unlicensed individuals perform electrical work without pulling the required permits.

This breaks state and local laws and often leads to unsafe, substandard installations. Colorado enforces strict licensing and permitting rules for commercial electrical projects—and for good reason. Skipping permits to save money or time risks fines, insurance issues, and failed inspections.

Even worse, if something goes wrong, the business could be liable for injuries or damages.

Get an Electrical Code Compliance Inspection

If you’re concerned about possible electrical code violations in your commercial property, we’re here to help. Our Colorado-based commercial electricians have years of experience inspecting, upgrading, and maintaining systems to meet NEC requirements. We’ll walk you through the process, identify problem areas, and make sure your building is safe, up to code, and ready for business.

Don’t wait for a failed inspection or power outage to find out there’s a problem. Instead, contact JC2 Lighting and Electric today at (720) 798-1100 to schedule a consultation. We’ll keep the electrical components on your commercial property running as intended, for as long as intended.

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