QUESTION
Can I do business in CA BEFORE a CA certificate of qualification is approved for my DE s Corp?
Asked on Mar 19th, 2013 on Corporate Law - California
More details to this question:
My S corp is incorporated in Delaware, my client where I will do business is in CA. I have not obtained CA cert of qualification yet, but I am scheduled to start project in CA in 1 day. is it possible (legally) to commence business transaction in CA while the CA cert of qualification process is in progress? By what date should I have the CA cert of qualification complete (eg. before I get paid? etc.)
1 ANSWER
Somewhere there is a law saying you can't, but there are no enforced sanctions or penalties, especially if you have filed for qualification and you're waiting for the SOS to get around to responding. The principal sanction is that you can't sue to enforce a contract until you are qualified.
What kind of business and what kind of work? For example, the rule for construction contractors getting their California construction license is a little different. Same with some other trades and professions.
Answered on Mar 20th, 2013 at 3:43 PM