(a) Notwithstanding Section 26031, the department may, before a hearing, suspend the license of a person who procured the issuance of the license by fraud, misrepresentation, deceit, or by the making of any material misstatement of fact in the application for such license.

(b) The department shall not order the suspension of a license pursuant to subdivision (a) 90 days after the date of issuance of the license.

Terms Used In California Business and Professions Code 26031.01

  • Continuance: Putting off of a hearing ot trial until a later time.
  • Fraud: Intentional deception resulting in injury to another.
  • license: means license, certificate, registration, or other means to engage in a business or profession regulated by this code or referred to in Section 1000 or 3600. See California Business and Professions Code 23.7
  • Subdivision: means a subdivision of the section in which that term occurs, unless some other section is expressly mentioned. See California Business and Professions Code 15

(c) An order of suspension pursuant to subdivision (a) shall expire on the effective date of a decision of the department after a hearing conducted pursuant to this section.

(d) (1) The department shall file and serve a person whose license is suspended pursuant to subdivision (a) the order of suspension and a statement of issues as defined in § 11504 of the Government Code. The department may serve the person by regular mail addressed to the last known address of the person or by personal service.

(2) A person whose license is suspended pursuant to subdivision (a) shall have 30 days after service of the order of suspension and statement of issues in which to file with the department a written request for a hearing on the statement of issues filed against them.

(3) (A) The department shall hold a hearing within 30 days after receipt of a request pursuant to paragraph (2) unless the person requests or agrees to a continuance. If the person does not request or agree to a continuance and a hearing is not commenced within 30 days after receipt of the request for a hearing, the order of suspension shall be vacated and set aside unless the person requests or agrees to a continuance.

(B) If the person requests or agrees to a continuance, the department shall hold a hearing on the date to which the department and the person agreed. If a hearing is not commenced on that date, the order of suspension shall be vacated and set aside.

(4) If the department does not render a decision within 30 days after completion of the hearing, the order of suspension shall be vacated and set aside.

(e) A hearing conducted pursuant to this section shall in all respects, except as otherwise expressly provided herein, conform to the substantive and procedural provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code applicable to a hearing on a statement of issues.

(Added by Stats. 2021, Ch. 70, Sec. 22. (AB 141) Effective July 12, 2021.)

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