What happens to a license if the licensee does not renew it or fails to pay associated fees?

When a licensee does not renew their license or fails to pay the associated fees, the license is typically cancelled, which indicates that the license is no longer valid for the practice of that profession. The cancellation signifies a formal termination of the license which prevents the licensee from engaging in any activities that require that license until they rectify the situation, such as undergoing the renewal process or paying the owed fees.

In contexts like these, an "inactive" status would suggest that the license is still held but not currently in use, which differs from cancellation. Suspension usually involves a temporary halt due to violations or issues that are often resolved, while revocation indicates a serious problem leading to the license being completely taken away. Cancellation, however, specifically addresses the non-renewal and fee payment issue, making it the accurate answer in this scenario.