Entering into a voluntary surrender of a professional license can feel like the easiest way to end a licensing complaint. But that decision can carry serious, long-term consequences. Before you sign anything, you need to understand what a voluntary surrender is, how agencies use them, and why you should be very cautious about agreeing to one—especially when the word permanent shows up.
What is a consent order and how does voluntary surrender fit in?
A consent order is a legal document that resolves a complaint against a licensee by recording findings of fact and conclusions of law and then imposing a result. That result may be a fine, probation, suspension, revocation, or sometimes a voluntary surrender of a license.
Voluntary surrender means you agree to give up your license. Sounds simple. The problem is how that agreement is written and what the licensing agency intends by it. If the consent order says the surrender is permanent, many agencies will treat that as a forever bar to practicing that profession in the state.
Who uses voluntary surrender most often?
In our experience the North Carolina Department of Insurance and the North Carolina Real Estate Commission are the two agencies most likely to propose a voluntary surrender.
- Department of Insurance: Voluntary surrender is usually proposed in serious cases, often alleged fraud. Those matters can trigger criminal investigations as well as administrative action.
- North Carolina Real Estate Commission: They sometimes propose voluntary surrenders even in matters that may not be as egregious. Their orders can also be written in a confusing way about whether reapplication is possible.
Why you must be careful: criminal exposure and signed admissions
Anything you put in a consent order or any signed document can be used in a criminal prosecution. If the agency is investigating fraud, your written statements and admissions in a consent order could be used against you in a criminal case. That alone is a powerful reason to pause, consult counsel, and avoid signing before you fully understand the consequences.
Be extremely wary of what you are reading and what you are signing. There are not only licensing consequences but potentially criminal consequences as well.
Permanent surrender vs. revocation or suspension
Agencies and boards handle revocation, suspension, and voluntary surrender differently. Some Boards use revocation with a set time frame under statute, commonly five years in many contexts. Other boards may suspend a license for a set period and explicitly allow reapplication after the suspension ends.
Compare three scenarios:
- Consent order containing a permanent voluntary surrender. Most agencies will interpret this as you can never hold that license in the state again.
- Revocation under statute or administrative code with a defined time frame. You lose the license, but you have a clear path to reapply when the period ends.
- Suspension with statutory reapplication rules. Again, time limited and clearer for future options.
If you sign a permanent voluntary surrender, you may lose the ability to legally practice that profession in the state forever. If the agency lets you apply again, it may accept your application and later deny it because it considers the surrender permanent. That creates confusion and lost time and money.
Think long term: keep your options open
Life changes. You may regret permanently giving up a license you once held. You might want to return to that profession years later. A permanent voluntary surrender removes the option to return in many cases.
One alternative is to push the case to a hearing. The hearing process is not fun and it can be risky, but if you lose at hearing and the board revokes your license for the statutory period, you at least have a defined period after which you can apply again. That preserves future options.
Practical questions to ask before agreeing to a voluntary surrender
- Does the consent order explicitly say the surrender is permanent? If it is unclear, that ambiguity can hurt you later.
- Is there a statutory or code-based period tied to revocation or suspension for this type of misconduct? How long is it?
- Are there pending criminal investigations? Will anything I sign be used in a criminal matter?
- Do I truly never want to practice this profession in this state again? If there is any chance you may want to return, do not accept a permanent surrender lightly.
How to protect yourself
Read every legal document you are asked to sign with a fine tooth comb. If the language is unclear, ask for clarification. If there are any allegations of fraud or criminal conduct, consult an attorney before signing anything. Signed statements can be used in criminal prosecutions.
Remember that administrative law gives you rights, including the right to a hearing. Explore all procedural options before accepting a voluntary surrender that could be permanent.
Final thoughts
Voluntary surrender can be tempting when you want to avoid the stress of hearings and litigation. But permanent surrenders close doors that may be impossible or extremely difficult to reopen. Preserve your future options whenever you can. Read every document, get legal advice when important language appears, and be particularly careful if fraud or criminal exposure is involved.
Please make informed choices about your professional license.
*Nothing in this blog establishes an attorney-client relationship. Nothing in this blog is legal advice. If you have any questions, please check out our other blogs and our Youtube channel. You can also call us at 919-521-8810 with questions.
