One person serves as the qualifying individual for an existing licensed company. That same person now wants to also qualify a second, separate company. Under California law, this is:

Explanation

§7068(e) sets the default: a person qualifying on behalf of a firm may not hold any other active contractor's licence while acting as its qualifying individual, except in accordance with §7068.1. §7068.1(a) lists the three relationships that open the door — common ownership of at least 20 percent of the equity of each firm, the additional firm being a subsidiary of or a joint venture with the first, or the same majority of the partners, officers or managers — and §7068.1(b) caps the whole arrangement at three firms in any one-year period. §7083(a) is where the board comes in: the exemption to qualify multiple licences under §7068.1 is information recorded on the licence, and any change to it must be reported in writing within 90 days. So (a) is too absolute, (b) ignores both the relationship test and the cap, and (c) invents a residential condition. Violating the section is a misdemeanour under §7068.1(e), with a fine of $3,000 to $5,000.