They drop a stop work here too. I am not sure what fines are imposed beyond doubling the permit fee tho. There can also be a complaint filed with the license people. From what I see you have to make the AHJ mad to get that. (repeat offender, egregious violations or just being a "hole")
The funny thing is the trunk slammers with no licenses at all get off easier than a licensed trade since they would have to file a criminal complaint, with everything that goes with that and not just an administrative action by the licensing board. Again you really have to be a bad actor for it to go that far. You have to get a DA mad at you.
The person who gets caught in the middle is the building owner because they end up being liable for anything done by an unlicensed worker along with any other liabilities that might arise (injuries, damage to other properties etc).


Greg Fretwell