California Alcoholic Beverage Control (ABC) Certification Practice Exam

What might cause a license to be revoked?

1. If the licensee disputes a fine

2. If a licensee knowingly permits illegal sales of controlled substances on the licensed premises

3. Failure to pay license fees

4. Poor customer service

The correct answer is: If a licensee knowingly permits illegal sales of controlled substances on the licensed premises

Revoking a license is a serious matter and is not done without a valid reason. In this case, the correct answer is B - If a licensee knowingly permits illegal sales of controlled substances on the licensed premises. This is because knowingly permitting illegal activities is a violation of the license agreement and can lead to serious consequences. Options A, C, and D are incorrect because they do not directly violate the terms of the license and would not be a valid reason for revoking it. A dispute over a fine, failure to pay fees, or poor customer service may result in penalties or warnings, but not in a license revocation. It is important for licensees to follow the terms of their agreements and maintain the integrity of their business practices to avoid the risk of license revocation.