Business & LicensingQuestion 674 of 1632

How many separate active CSLB licenses may a single qualifying individual (RMO or RME) qualify simultaneously?

a.Only one firm, with no exception for commonly owned firms
b.Up to five firms in any one-year period, related or not
c.Up to three firms, and only where the firms are commonly owned
d.Any number of firms, provided the qualifier holds a Class A license

Explanation

§7068.1(b) caps a qualifying individual at three firms in any one-year period, and §7068.1(a) permits the second or third firm only where the firms are linked: at least 20 percent common equity ownership, a subsidiary or joint-venture relationship, or the same majority of partners, officers or managers. Without that link the qualifier may act for one firm only — which is what (a) gets wrong by making the one-firm limit absolute. (b) invents a five-firm cap, and (d) treats classification as the controlling factor when a Class A license buys no extra slots. Violating the section is a misdemeanor carrying a fine of $3,000 to $5,000 under §7068.1(e).

Law Reference: Bus. & Prof. Code §7068.1(a)-(b), (e)

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