Keep Your License Current or Face the Consequences: The Danger of Unlicensed Activity for Professionals

The Florida Department of Business and Professional Regulation (DBPR) serves as the primary regulatory agency for professional licenses in Florida. The licensing system is designed to establish minimum standards that protect consumers when they engage in business with regulated professionals. DBPR oversees more than 30 professions and industries, and for anyone working in those fields, holding a valid license is not optional, it is essential.

Providing services without the required license can lead to serious consequences, including both administrative discipline and criminal prosecution.

What is Unlicensed Activity?

Unlicensed activity is a broad term that covers a wide range of conduct. It includes:

• Performing regulated services without first obtaining a license
• Advertising or offering to perform regulated services without a license
• Using a fraudulent or expired license to operate a business
• Continuing to practice after a license suspension or revocation

Each of these activities exposes individuals and businesses to significant penalties.

Criminal and Civil Liability

Florida law makes clear that unlicensed activity can trigger criminal charges. For example:

• Unlicensed contractors providing regulated construction services may face felony charges under Section 489.127, Florida Statutes
• Unlicensed real estate agents who act as brokers or sales associates without proper credentials violate Section 475.42, Florida Statutes, which also carries felony penalties
• General unlicensed activity can lead to prosecution under Section 455.227, Florida Statutes, which allows DBPR to take action against anyone participating in, aiding, or assisting with unlicensed activity

Beyond criminal exposure, businesses operating without a license risk losing contractual rights. Under Section 489.128, Florida Statutes, unlicensed contractors cannot enforce contracts, assert liens, or collect payment for labor, services, or materials.

Common Traps for Professionals

The rules are broad enough to catch even experienced professionals. For example, many construction companies operate using qualifying agents to obtain licensure. If the qualifier fails to renew their license or resigns from the company, the business immediately becomes unlicensed, even if the rest of the operation continues as usual.

Similarly, individuals may not realize that licenses are required for nearly every stage of construction, from framing a home to wiring electricity or installing plumbing fixtures. Without the right license, contracts may be invalidated, leaving the business exposed and unpaid.

How DBPR Enforces Licensing Rules

DBPR uses multiple methods to identify and prosecute unlicensed activity.

• Consumer complaints are one of the most common triggers for investigations
• DBPR partners with law enforcement to conduct sting operations in hotspots of unlicensed activity, particularly in construction. These cases often lead to criminal charges through the State Attorney’s Office
• DBPR also prosecutes cases through the administrative process

When DBPR investigates, it must send a notice or target letter to the suspected violator under Section 455.225, Florida Statutes. This notice includes the complaint and gives the suspect 20 days to respond. A strong response can sometimes resolve the matter before an administrative complaint is filed.

Why Your Response Matters

If DBPR moves forward with prosecution, penalties can be severe, including thousands of dollars in fines and difficulties obtaining or renewing a license in the future. An effective response at the early stage can make the difference between resolving the issue informally and facing costly formal proceedings.

Protecting Your Business

The best way to avoid these risks is to ensure your licensing is always current and to respond quickly if DBPR contacts you. Working with an experienced attorney can help you:

• Confirm that your business is properly licensed for all activities
• Respond effectively to DBPR notices or investigations
• Protect your right to enforce contracts and collect payment
• Avoid criminal and civil liability associated with unlicensed activity

Keeping your license current protects not only your reputation but also your right to operate and grow your business.

Conclusion

Unlicensed activity is a serious matter in Florida. From criminal charges to unenforceable contracts, the risks extend far beyond fines. DBPR has wide authority to investigate, prosecute, and penalize businesses that fail to comply with licensing requirements. If your business is facing allegations of unlicensed activity, or if you want to make sure you are in full compliance, contact Jimerson Birr today. Our attorneys are experienced in DBPR regulatory matters and can help you navigate investigations, protect your contracts, and safeguard your future.