Final answer:
A lawyer must hold an active occupational license, which signifies passing the bar exam and demonstrates the ability to practice law, in order to sell their practice. This ensures that the practice is compliant with professional standards.
Step-by-step explanation:
The question addresses the requirements for a lawyer to sell their practice. To do so, a lawyer must first have an active occupational license to practice law, which confirms they have graduated from law school and passed the state bar exam. Occupational licenses are used in many professions to ensure a certain level of quality and competency. As a result, before a lawyer can sell their practice, they must be in good standing with their state's bar association, demonstrating their qualifications and ability to practice law. This ensures the buyer that the legal practice is led by someone who meets the professional and legal mandates. Additional requirements might involve local laws and regulations related to the transfer of business ownership.