Error: Database server connection limit exceeded in SQL Anywhere. Does this error has anything to do with calling dispose()?

Error: Database server connection limit exceeded in SQL Anywhere. Does
this error has anything to do with calling dispose()?

As the title suggesting, I've been doing some research on the cause of
this error. Then I saw this which primarily suggesting that it is most
likely related to license number. However, at the very bottom there was a
reply suggesting that calling dispose() for connection object would also
be a solution. Is this true?
Note: we are using Entity Framework 4.0 and SQLAnywhere 16