diff --git a/android/license_test.go b/android/license_test.go
index 2b09a4f69..26b33c367 100644
--- a/android/license_test.go
+++ b/android/license_test.go
@@ -8,7 +8,7 @@ import (
 var prepareForLicenseTest = GroupFixturePreparers(
 	// General preparers in alphabetical order.
 	PrepareForTestWithDefaults,
-	prepareForTestWithLicenses,
+	PrepareForTestWithLicenses,
 	PrepareForTestWithOverrides,
 	PrepareForTestWithPackageModule,
 	PrepareForTestWithPrebuilts,
diff --git a/android/licenses_test.go b/android/licenses_test.go
index 913dc8842..9b2e06c17 100644
--- a/android/licenses_test.go
+++ b/android/licenses_test.go
@@ -6,18 +6,6 @@ import (
 	"github.com/google/blueprint"
 )
 
-var prepareForTestWithLicenses = GroupFixturePreparers(
-	FixtureRegisterWithContext(RegisterLicenseKindBuildComponents),
-	FixtureRegisterWithContext(RegisterLicenseBuildComponents),
-	FixtureRegisterWithContext(registerLicenseMutators),
-)
-
-func registerLicenseMutators(ctx RegistrationContext) {
-	ctx.PreArchMutators(RegisterLicensesPackageMapper)
-	ctx.PreArchMutators(RegisterLicensesPropertyGatherer)
-	ctx.PostDepsMutators(RegisterLicensesDependencyChecker)
-}
-
 var licensesTests = []struct {
 	name                       string
 	fs                         MockFS
diff --git a/android/testing.go b/android/testing.go
index ce27fca04..191cb8d02 100644
--- a/android/testing.go
+++ b/android/testing.go
@@ -74,6 +74,42 @@ var PrepareForTestWithOverrides = FixtureRegisterWithContext(func(ctx Registrati
 	ctx.PostDepsMutators(RegisterOverridePostDepsMutators)
 })
 
+var PrepareForTestWithLicenses = GroupFixturePreparers(
+	FixtureRegisterWithContext(RegisterLicenseKindBuildComponents),
+	FixtureRegisterWithContext(RegisterLicenseBuildComponents),
+	FixtureRegisterWithContext(registerLicenseMutators),
+)
+
+func registerLicenseMutators(ctx RegistrationContext) {
+	ctx.PreArchMutators(RegisterLicensesPackageMapper)
+	ctx.PreArchMutators(RegisterLicensesPropertyGatherer)
+	ctx.PostDepsMutators(RegisterLicensesDependencyChecker)
+}
+
+var PrepareForTestWithLicenseDefaultModules = GroupFixturePreparers(
+	FixtureAddTextFile("build/soong/licenses/Android.bp", `
+		license {
+				name: "Android-Apache-2.0",
+				package_name: "Android",
+				license_kinds: ["SPDX-license-identifier-Apache-2.0"],
+				copyright_notice: "Copyright (C) The Android Open Source Project",
+				license_text: ["LICENSE"],
+		}
+
+		license_kind {
+				name: "SPDX-license-identifier-Apache-2.0",
+				conditions: ["notice"],
+				url: "https://spdx.org/licenses/Apache-2.0.html",
+		}
+
+		license_kind {
+				name: "legacy_unencumbered",
+				conditions: ["unencumbered"],
+		}
+	`),
+	FixtureAddFile("build/soong/licenses/LICENSE", nil),
+)
+
 // Test fixture preparer that will register most java build components.
 //
 // Singletons and mutators should only be added here if they are needed for a majority of java
diff --git a/sdk/Android.bp b/sdk/Android.bp
index 09a7286dc..368c03aec 100644
--- a/sdk/Android.bp
+++ b/sdk/Android.bp
@@ -26,6 +26,7 @@ bootstrap_go_package {
         "compat_config_sdk_test.go",
         "exports_test.go",
         "java_sdk_test.go",
+        "license_sdk_test.go",
         "sdk_test.go",
         "testing.go",
     ],
diff --git a/sdk/license_sdk_test.go b/sdk/license_sdk_test.go
new file mode 100644
index 000000000..9d6ab0698
--- /dev/null
+++ b/sdk/license_sdk_test.go
@@ -0,0 +1,95 @@
+// Copyright (C) 2021 The Android Open Source Project
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//     http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+package sdk
+
+import (
+	"testing"
+
+	"android/soong/android"
+)
+
+func TestSnapshotWithPackageDefaultLicense(t *testing.T) {
+	result := android.GroupFixturePreparers(
+		prepareForSdkTestWithJava,
+		android.PrepareForTestWithLicenses,
+		android.PrepareForTestWithLicenseDefaultModules,
+		android.MockFS{
+			"NOTICE1": nil,
+			"NOTICE2": nil,
+		}.AddToFixture(),
+	).RunTestWithBp(t, `
+		package {
+			default_applicable_licenses: ["mylicense"],
+		}
+
+		license {
+			name: "mylicense",
+			license_kinds: [
+				"SPDX-license-identifier-Apache-2.0",
+				"legacy_unencumbered",
+			],
+			license_text: [
+				"NOTICE1",
+				"NOTICE2",
+			],
+		}
+
+		sdk {
+			name: "mysdk",
+			java_header_libs: ["myjavalib"],
+		}
+
+		java_library {
+			name: "myjavalib",
+			srcs: ["Test.java"],
+			system_modules: "none",
+			sdk_version: "none",
+		}
+	`)
+
+	CheckSnapshot(t, result, "mysdk", "",
+		checkUnversionedAndroidBpContents(`
+// This is auto-generated. DO NOT EDIT.
+
+java_import {
+    name: "myjavalib",
+    prefer: false,
+    visibility: ["//visibility:public"],
+    apex_available: ["//apex_available:platform"],
+    jars: ["java/myjavalib.jar"],
+}
+`),
+		checkVersionedAndroidBpContents(`
+// This is auto-generated. DO NOT EDIT.
+
+java_import {
+    name: "mysdk_myjavalib@current",
+    sdk_member_name: "myjavalib",
+    visibility: ["//visibility:public"],
+    apex_available: ["//apex_available:platform"],
+    jars: ["java/myjavalib.jar"],
+}
+
+sdk_snapshot {
+    name: "mysdk@current",
+    visibility: ["//visibility:public"],
+    java_header_libs: ["mysdk_myjavalib@current"],
+}
+`),
+		checkAllCopyRules(`
+.intermediates/myjavalib/android_common/turbine-combined/myjavalib.jar -> java/myjavalib.jar
+`),
+	)
+}