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Reissuing the license to a corporation will not prevent your husband's license from being suspended, if he is personally disciplined by the CSLB. A contractor's license is personal, even if issued to a corporation, because if the qualifying officer leaves the corporation, then the corporation no longer has any authority as a contractor.
Hope this helps.
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Thanks. For clarification, then, your husband will not automatically lose his license if he files for bankruptcy. He will lose his license if he CSLB determines that the bankruptcy has unreasonably injured one or more of your husband's customers -- presumably because your husband used the bankruptcy to avoid having to perform under a preexisting contract.