California CodesBusiness and Professions Code - BPCDivision 3 — Professions and Vocations GenerallyChapter 9 — ContractorsArticle 7 — Disciplinary ProceedingsSection 7122
The performance by an individual, partnership, corporation, limited liability company, firm, or association of an act or omission constituting a cause for disciplinary action, likewise constitutes a cause for disciplinary action against a licensee other than the individual qualifying on behalf of the individual or entity, if the licensee was a partner, officer, director, manager, or associate of that individual, partnership, corporation, limited liability company, firm, or association at the time the act or omission occurred, and had knowledge of or participated in the prohibited act or omission.
Notes
Establishes disciplinary grounds against a licensee who was a partner, officer, director, manager, or associate of an individual or entity when that individual or entity committed a disciplinable act or omission and the licensee knew of or participated in it. Exempts the individual who qualified on behalf of the individual or entity from this particular derivative-discipline rule.
Use as reference
Lexinter.net | California Code, Business and Professions Code - BPC § 7122 | https://laws.lexinter.net/codes/california/business-and-professions-code/division-3/chapter-9/article-7/section-7122