You should contest both tickets - and do so ASAP so you don't miss the deadline to contest in court.
Bring proof of insurance to fight the initial ticket. If you didn't have insurance, get some NOW. The judge may go easy if you can show you have current insurance.
Improper display of license usually deals with license plates - not drivers licenses. Is there something wrong with your license plates? Is your registration current and the sticker visible?
I say contest both in court. Bring an attorney with you if possible to help hammer out an agreement or get things dismissed outright.
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