Adam G Slote Atty At Law

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Administrative Law: Business and Professional Licenses

by Adam G. Slote
Updated October 20, 2009, Originally published June 5, 2002

This Web site is for California businesses and professionals who face the denial, suspension or revocation of a business license or professional license.

California has approximately 50 regulatory agencies that license businesses, occupations and professions. Examples of business licenses and professional licenses (under their common names) include:

Auto Repair License / Smog Check License / BAR License

Hearing Aid Dispensers License
Pharmacy License or Pharmacist's License

Real Estate License, Real Estate Broker's License

Moving and Storage License, Household Goods Carrier's License (PUC Permit)
Social Worker's License / Marriage, Family and Child Counselor's License, MFCC License

Outside of healthcare, major agencies include the Department of Alcoholic Beverage Control, the Bureau of Automotive Repair, the Contractors' State License Board, the Department of Motor Vehicles (DMV), the Department of Insurance, the Public Utilities Commission (PUC), the Department of Real Estate, and the Department of Social Services.

License Denials, Suspensions and Revocations: The Legal Process

Disciplinary actions generally arise from customer complaints, undercover investigations (in the case of the Bureau of Automotive Repair), civil judgments or criminal convictions. An investigation by the licensing agency generally commences the process. The investigation may or may not include communication with the licensee. If the agency decides to move forward with the denial, suspension or revocation of a license, a report is submitted to legal counsel. Boards, bureaus and committees under the Department of Consumer Affairs are represented by the California Attorney General. Departments, such as the Department of Insurance, Department of Real Estate, etc., are represented by in-house counsel.
In the case of discipline against an existing license, legal counsel prepares a document called an Accusation. An Accusation is a formal document that sets forth the alleged misconduct, the laws that were violated, and the discipline sought, e.g. suspension or revocation. In the case of the denial of a new license application, a Statement of Issues sets forth the reasons for the license denial. The Accusation or Statement of Issues is normally accompanied by a Statement to Respondent, which provides information about the legal process, and a blank Notice of Defense Form. The licensee is entitled to a hearing if he or she returns the completed Notice of Defense within 15 days of the mailing date.
Upon receipt of the Notice of Defense, the agency's attorney notifies the California Office of Administrative Hearings (OAH). The Office of Administrative Hearings is the court system for administrative hearings with offices in Sacramento, Oakland, Los Angeles, and San Diego. Administrative law judges preside over pre-hearing scheduling, optional settlement conferences, and the hearing itself. At the hearing, each party presents evidence in the form of live witness testimony and documents. Within thirty days after the hearing, the administrative law judge submits written Findings of Fact and a Proposed Decision to the agency. The agency has 30 days to adopt or reject the Proposed Decision. If the agency issues an order adopting the Proposed Decision, then the Proposed Decision becomes the agency's order. The agency also has the option of rejecting the administrative law judge's proposed decision. Upon rejection of the proposed decision, the agency reviews the transcript of testimony and documents offered in evidence, and then issues its own findings and decision.
The licensee has the right to appeal the agency's final decision and order through a Writ of Administrative Mandamus to the Superior Court of California. The time for filing an appeal depends on a number of factors, but it can be as little as 30 days from the order of denial, suspension or revocation.
For answers to frequently asked questions, see FAQ's.
Learn more about the author, attorney Adam G. Slote.

Behavioral Science Examiners, Board of
Marriage, Family and Child Counselors, Social Workers

Health Services, Department of
Healthcare Facilities, Hospices, Pediatric Day Health and Respite Care Facilities, Clinical Laboratories, Dieticians, Audiometrists, Nursing Home Administrators, Home Health Agencies, Private Duty Nursing Agencies, Home Dialysis Agencies, Tissue Banks, Referral Agencies for Extended Care, Skilled Nursing Homes or Intermediate Care Facilities

Medical Board of California (Includes Board of Podiatric Medicine and Osteopathic Medical Board)

Physicians, Surgeons, Osteopaths, Podiatrists, Perfusionists, and Licensed Midwives, Physicians Assistants

Vocational Nursing and Psychiatric Technicians, Board of
Licensed Vocational Nurses, Psychiatric Technicians

Accountancy, Board of
Public Accountants, Certified Public Accountants (CPA)

Alcoholic Beverage Control (ABC), Department of
Stores, Bars, Restaurants, Wineries, Breweries, Caterers, etc.

Arbitration Certification Board
Arbitration boards for Lemon Law claims and disputes arising from the sale of new motor vehicles

Architects Board (Landscape Architects Technical Committee)
Architects, Landscape Architects

Boxing: Promoters, Matchmakers, Managers, Boxers

Automotive Repair, Bureau of
Automotive Repair Facility, Automotive Repair Dealer, Lamp and Brake Adjusting Stations, Brake and Lamp Adjusters, Auto Body Repair Shop, Smog Check Stations, Smog Technicians

Barbering and Cosmetology, Bureau of
Barbershops, Barbers, Cosmetologists, Tanning Facilities

Cemetery and Funeral Bureau
Cemeteries, Funeral Directors, Funeral Establishments, Embalmers

Contractors' State License Board
General Engineering Contractor, General Building Contractor, Specialty Contractors including Electrical, Plumbing, etc.

Corporations, Department of
Escrow Agents, Check Sellers, Bill Payers, and Proraters, Finance Lenders,

Electronic and Appliance Repair, Bureau of
Electronic and Appliance Repair Dealers

Engineers and Land Surveyors, Board for Professional
Professional Engineers and Land Surveyors

Fish and Game Commission
Commercial Fishing, Fish Packers, Fish Wholesalers, Fish Processors, Fish Receivers

Guide Dogs for the Blind, State Board of
Instructors, Trainers and Schools for the training of guide dogs and the instruction of blind persons in the use of guide dogs.

Insurance, Department of
Insurance Brokers, Salespersons, Insurance Agents

Home Furnishings and Thermal Insulation, Bureau of
Upholstered furniture, Bedding, and Thermal Insulation Industries

Justice, Department of
Card Rooms, Pawnbrokers, Secondhand Dealers, Estate Jewelry

Motor Vehicles (DMV), Department of
Commercial Drivers, Vehicle Salespersons,

Private Postsecondary and Vocational Education, Bureau for
Private Postsecondary and Vocational Institutions

Real Estate, Department of
Real Estate Brokers and Salespersons, Real Estate Agents

Security and Investigative Services, Bureau of
Alarm Companies, Locksmiths, Private Investigators, Private Patrol Operators, Private Security Services, Repossession Agency

Social Services, Department of
Day Care Centers, Family Daycare Homes, Residential Care Facilities for the Elderly, Residential Care Facilities for Persons with Chronic Life-Threatening Illness, Community Care Facilities, Foster Care

Speech-Language Pathology and Audiology Board
Speech-Language Pathologists, Audiologists

This Web site is for general information only. Consult an attorney for legal advice. Specific information may not be accurate, or it may be out of date.