What is considered unlawful regarding displaying driver's licenses or permits?

Counterfeiting licenses is unequivocally unlawful because it involves the creation of a false version of a driver's license with the intent to deceive. This not only violates the integrity of official identifications but also carries severe legal consequences as it undermines public safety and trust in identification processes. Counterfeiting constitutes fraud and can lead to criminal charges, making it a serious offense within motor vehicle law.

In contrast, displaying an expired license may be illegal, but the offense usually does not involve the same level of deceit or intent to defraud as counterfeiting. Similarly, reproducing a valid license could be problematic since it might lead to misuse, but it is distinct from counterfeiting as it doesn't involve creating a false document intended to imitate a legitimate one. Handing a permit to another driver raises safety concerns but does not inherently involve fraud or misrepresentation like counterfeiting does.