A sole proprietor licensee incorporates the business. Can the new corporation keep operating under the sole proprietor's license number without action?
Explanation
A corporation is a separate legal person, so under B&P §7075.1 it must be separately licensed; where continuity of ownership and personnel exists, the Registrar may reissue the original number to the successor corporation on application. (a) is the identity misconception — the same human being behind both entities does not make them the same licensee. (c) invents a grace period, and contracting in the corporate name before the license issues is unlicensed contracting under §7031. (d) overshoots in the other direction by denying the reissuance §7075.1 expressly allows.
Law Reference: B&P Code §7075.1This topic, taught in full in the CSLB Law & Business guide. CSLB Law & Business — Complete Study Guide (2026) — PDF + EPUB, $24.99 · 14-day refund →
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