Article 5. Denial, Suspension And Revocation of California Vehicle Code >> Division 2. >> Chapter 2.5. >> Article 5.
Any license issued may be suspended or revoked by the
commissioner. The commissioner may refuse to issue a license to any
applicant for the reasons set forth in Section 2531 or 2541. The
proceedings under this article shall be conducted in accordance with
Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of
Title 2 of the Government Code, and the commissioner shall have all
the powers granted therein.
(a) The commissioner may deny a license if the applicant or
any partner, officer, or director thereof:
(1) Fails to meet the qualifications established by the department
pursuant to this chapter for the issuance of the license applied
(2) Was previously the holder of a license issued under this
chapter which license has been revoked and never reissued or which
license was suspended and the terms of the suspension have not been
(3) Has committed any act which, if committed by any licensee,
would be grounds for the suspension or revocation of a license issued
pursuant to this chapter.
(4) Has committed any act involving dishonesty, fraud, or deceit
whereby another is injured or whereby the applicant has benefited.
(5) Has acted in the capacity of a licensed person or firm under
this chapter without having a license therefor.
(6) Has entered a plea of guilty or nolo contendere to, or been
found guilty of, or been convicted of, a felony, or a crime involving
moral turpitude, and the time for appeal has elapsed or the judgment
of conviction has been affirmed on appeal, irrespective of an order
granting probation following such conviction, suspending the
imposition of sentence, or of a subsequent order under the provisions
of Section 1203.4 of the Penal Code allowing such person to withdraw
his plea of guilty and to enter a plea of not guilty, or setting
aside the plea or verdict of guilty, or dismissing the accusation or
(b) The commissioner may also deny a license if a corporation is
the applicant and the policy or activities of the corporation are or
will be directed, controlled, or managed by individuals or
shareholders who are ineligible for a license, and the licensing of
that corporation would likely defeat the purpose of this section.
The commissioner may suspend, revoke, or take other
disciplinary action against a license as provided in this article if
the licensee or any partner, officer, director, controlling
shareholder, or manager thereof:
(a) Violates any section of this code which relates to his or her
(b) Is convicted of any felony.
(c) Is convicted of any misdemeanor involving moral turpitude.
(d) Violates any of the regulations promulgated by the
commissioner pursuant to this chapter.
(e) Commits any act involving dishonesty, fraud, or deceit whereby
another is injured or any act involving moral turpitude.
(f) Has misrepresented a material fact in obtaining a license.
(g) Aids or abets an unlicensed person to evade this chapter.
(h) Fails to make and keep records showing his or her transactions
as a licensee, or fails to have these records available for
inspection by the commissioner or his or her duly authorized
representative for a period of not less than three years after
completion of any transaction to which the records refer, or refuses
to comply with a written request of the commissioner to make such
record available for inspection.
(i) Violates or attempts to violate this chapter relating to the
particular activity for which he or she is licensed.
(j) Fails to equip or maintain his or her vehicles, as required by
this code or by the regulations adopted pursuant to this code.
A plea or verdict of guilty or a conviction following a plea
of nolo contendere is deemed to be a conviction within the meaning of
this article. The commissioner may order the license suspended or
revoked, or may decline to issue a license, when the time for appeal
has elapsed, or the judgment of conviction has been affirmed on
appeal, or when an order granting probation is made suspending the
imposition of sentence, irrespective of a subsequent order under the
provisions of Section 1203.4 of the Penal Code allowing such person
to withdraw his plea of guilty and to enter a plea of not guilty, or
setting aside the verdict of guilty, or dismissing the accusation,
information or indictment.
The commissioner may take disciplinary action against any
licensee after a hearing as provided in this chapter by any of the
(a) Imposing probation upon terms and conditions to be set forth
by the commissioner.
(b) Suspending the license.
(c) Revoking the license.
Upon the effective date of any order of suspension or
revocation of any license governed by this chapter, the licensee
shall surrender the license to the commissioner.
The expiration or suspension of a license by operation of law
or by order or decision of the commissioner or a court of law, or
the voluntary surrender of a license by a licensee shall not deprive
the commissioner of jurisdiction to proceed with any investigation of
or action or disciplinary proceedings against such licensee, or to
render a decision suspending or revoking such license.
All accusations against licensees shall be filed within three
years after the act or omission alleged as the ground for
disciplinary action, except that with respect to an accusation
alleging a violation of subdivision (f) of Section 2542, the
accusation may be filed within two years after the discovery by the
California Highway Patrol of the alleged facts constituting the fraud
or misrepresentation prohibited by said section.
When any license has been revoked or suspended following a
hearing under the provisions of this chapter, any additional license
issued under this chapter in the name of the licensee may be likewise
revoked or suspended by the commissioner.
After suspension of the license upon any of the grounds set
forth in this article, the commissioner may reinstate the license
upon proof of compliance by the applicant with all provisions of the
decision as to reinstatement. After revocation of a license upon any
of the grounds set forth in this article, the license shall not be
reinstated or reissued within a period of one year after the
effective date of revocation.