A license must be renewed before it expires by filing a renewal application with the required fee. Otherwise, the license automatically terminates.
PACA usually sends a renewal form to the last known address of the licensee 30 days before the termination date as a courtesy. But it is up to the licensee to get the renewal form to PACA in time.
After 60 days from the date of termination, the license cannot be renewed, and a new license application must be submitted. Renewals are routinely granted; while new license applications are closely reviewed. So it is important to make sure the license is renewed on time.
A license also terminates when a company is discharged in bankruptcy. However, the company can request PACA examine the circumstances of the bankruptcy and not terminate the license. If PACA decides not to terminate the license, it usually requires the company post a bond. See Licensee Bond.