diff --git a/google/cloud/logging_v2/handlers/handlers.py b/google/cloud/logging_v2/handlers/handlers.py
index e71f673f7..c8ee9dbb5 100644
--- a/google/cloud/logging_v2/handlers/handlers.py
+++ b/google/cloud/logging_v2/handlers/handlers.py
@@ -188,7 +188,7 @@ def __init__(
             resource = detect_resource(client.project)
         self.name = name
         self.client = client
-        self.transport = transport(client, name, resource=resource)
+        self.transport = transport(client, name, resource=resource, **kwargs)
         self.project_id = client.project
         self.resource = resource
         self.labels = labels
diff --git a/google/cloud/logging_v2/handlers/transports/background_thread.py b/google/cloud/logging_v2/handlers/transports/background_thread.py
index 7cf2799f5..ea45c4073 100644
--- a/google/cloud/logging_v2/handlers/transports/background_thread.py
+++ b/google/cloud/logging_v2/handlers/transports/background_thread.py
@@ -34,6 +34,7 @@
 _DEFAULT_GRACE_PERIOD = 5.0  # Seconds
 _DEFAULT_MAX_BATCH_SIZE = 10
 _DEFAULT_MAX_LATENCY = 0  # Seconds
+_DEFAULT_REGISTER_EXIT_CALLBACK = True
 _WORKER_THREAD_NAME = "google.cloud.logging.Worker"
 _WORKER_TERMINATOR = object()
 _LOGGER = logging.getLogger(__name__)
@@ -79,6 +80,7 @@ def __init__(
         grace_period=_DEFAULT_GRACE_PERIOD,
         max_batch_size=_DEFAULT_MAX_BATCH_SIZE,
         max_latency=_DEFAULT_MAX_LATENCY,
+        register_exit_callback=_DEFAULT_REGISTER_EXIT_CALLBACK,
     ):
         """
         Args:
@@ -93,11 +95,15 @@ def __init__(
                 than the grace_period. This means this is effectively the longest
                 amount of time the background thread will hold onto log entries
                 before sending them to the server.
+            register_exit_callback (Optional[bool]): Whether to register the atexit callback
+                or not. Starting Python 3.12 atexit does not allow to create new threads, what
+                happens when using gRPC.
         """
         self._cloud_logger = cloud_logger
         self._grace_period = grace_period
         self._max_batch_size = max_batch_size
         self._max_latency = max_latency
+        self._register_exit_callback = register_exit_callback
         self._queue = queue.Queue(0)
         self._operational_lock = threading.Lock()
         self._thread = None
@@ -162,7 +168,8 @@ def start(self):
             )
             self._thread.daemon = True
             self._thread.start()
-            atexit.register(self._main_thread_terminated)
+            if self._register_exit_callback:
+                atexit.register(self._main_thread_terminated)
 
     def stop(self, *, grace_period=None):
         """Signals the background thread to stop.
@@ -264,6 +271,7 @@ def __init__(
         batch_size=_DEFAULT_MAX_BATCH_SIZE,
         max_latency=_DEFAULT_MAX_LATENCY,
         resource=_GLOBAL_RESOURCE,
+        register_exit_callback=_DEFAULT_REGISTER_EXIT_CALLBACK,
         **kwargs,
     ):
         """
@@ -280,6 +288,9 @@ def __init__(
                 than the grace_period. This means this is effectively the longest
                 amount of time the background thread will hold onto log entries
                 before sending them to the server.
+            register_exit_callback (Optional[bool]): Whether to register the atexit callback
+                or not. Starting Python 3.12 atexit does not allow to create new threads, what
+                happens when using gRPC.
             resource (Optional[Resource|dict]): The default monitored resource to associate
                 with logs when not specified
         """
@@ -290,6 +301,7 @@ def __init__(
             grace_period=grace_period,
             max_batch_size=batch_size,
             max_latency=max_latency,
+            register_exit_callback=register_exit_callback,
         )
         self.worker.start()
 
diff --git a/tests/unit/handlers/transports/test_background_thread.py b/tests/unit/handlers/transports/test_background_thread.py
index d4954ff7b..1f441ee8b 100644
--- a/tests/unit/handlers/transports/test_background_thread.py
+++ b/tests/unit/handlers/transports/test_background_thread.py
@@ -230,6 +230,25 @@ def test_start(self):
         self._start_with_thread_patch(worker)
         self.assertIs(current_thread, worker._thread)
 
+    def test_start_not_registering_exit_callback(self):
+        from google.cloud.logging_v2.handlers.transports import background_thread
+
+        worker = self._make_one(_Logger(self.NAME), register_exit_callback=False)
+
+        _, atexit_mock = self._start_with_thread_patch(worker)
+
+        self.assertTrue(worker.is_alive)
+        self.assertIsNotNone(worker._thread)
+        self.assertTrue(worker._thread.daemon)
+        self.assertEqual(worker._thread._target, worker._thread_main)
+        self.assertEqual(worker._thread._name, background_thread._WORKER_THREAD_NAME)
+        atexit_mock.assert_not_called()
+
+        # Calling start again should not start a new thread.
+        current_thread = worker._thread
+        self._start_with_thread_patch(worker)
+        self.assertIs(current_thread, worker._thread)
+
     def test_stop(self):
         from google.cloud.logging_v2.handlers.transports import background_thread