Unlawful sale of equipment, supplies, or services.
The bill also escalates the penalties for violations. Under the current law, a violation results in a fine of at least $1,000 and up to six months of imprisonment in county jail. AB795 doubles this minimum fine to $2,000, maintaining the same potential imprisonment duration. This change is expected to deter non-compliance and emphasize the importance of adhering to licensing laws during transactions involving relevant goods and services.
Assembly Bill 795, introduced by Assembly Member Flora, seeks to amend Section 128 of the Business and Professions Code concerning the unlawful sale of equipment, supplies, or services. Currently, state law stipulates that it is a misdemeanor to sell such items while having knowledge that they will be used in the performance of services or contracts that violate licensing requirements. The existing provision currently excludes cash sales of less than $100 from this offense. AB795 proposes to increase this threshold to $200, effectively raising the minimum amount that can be sold without violating the law.
There may be notable points of contention surrounding this bill, particularly regarding the increase in penalties. Critics may argue that doubling the fine for minor infractions could disproportionately impact small businesses or individuals who might inadvertently violate these regulations. Proponents of the bill, however, are likely to advocate for stricter enforcement as a means of enhancing consumer protection and ensuring that services provided are compliant with state licensing requirements. Overall, the discussion around AB795 is anticipated to engage various stakeholders in the business and consumer sectors.