Amended in Assembly April 7, 2014

California Legislature—2013–14 Regular Session

Assembly Bill No. 2540

Introduced by Assembly Member Dababneh

February 21, 2014

An act to amend Sections 10150 begin delete and end delete begin insert , end insert 10151 begin insert , and 10162 end insert of the Business and Professions Code, relating to real estate begin delete license applications end delete .

LEGISLATIVE COUNSEL’S DIGEST

AB 2540, as amended, Dababneh. Real estate begin delete license applications: email address end delete begin insert licenses end insert .

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Under

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begin insert (1) end insert begin insert   end insert begin insert Under end insert the Real Estate Law, the California Bureau of Real Estate, which is headed by the Real Estate Commissioner, issues licenses to and regulates real estate brokers and real estate salespersons. Existing law authorizes the commissioner to prescribe the format and content of the written applications for the real estate broker examination, broker license, and salesperson examination.

This bill would authorize the commissioner to additionally prescribe the form and content of the application for both the real estate salesperson examination and license, and would require that each of those begin delete 4 end delete applications begin insert for an examination or license, or both, end insert require the applicant to provide a valid email address at which the bureau may contact the applicant.

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(2) Existing law requires every licensed real estate broker to have and maintain a definite place of business in the state that serves as his or her office for the transaction of business, displays his or her license, and where he or she holds personal consultations with a client. Any person, including officers, directors, agents, or employees of corporations, who willfully violate or knowingly participate in the violation of these provisions is guilty of a misdemeanor punishable by a fine not exceeding $10,000, or by imprisonment in the county jail not exceeding 6 months, or by both that fine and imprisonment.

end insert begin insert

This bill would require every licensee to provide the commissioner with his or her current office or mailing address, current telephone number, and current email address that he or she uses to perform any activity that requires a real estate license, and at which the bureau may contact the licensee, and to update that information no later than 30 days after making a change. Because a violation of these requirements would be a crime, the bill would impose a state-mandated local program.

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(3) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end insert begin insert

This bill would provide that no reimbursement is required by this act for a specified reason.

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Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program:  begin delete no end delete begin insert yes end insert .

The people of the State of California do enact as follows:

SECTION 1.  

Section 10150 of the Business and Professions
Code is amended to read:

10150.  

(a) Application for the real estate broker license
examination shall be made in writing to the commissioner. The
commissioner may prescribe the format and content of the broker
examination application. The application for the broker
examination shall begin insert require an applicant to provide a valid e end insert begin insert mail
address at which the bureau may contact the applicant and shall end insert
be accompanied by the real estate broker license examination fee.

(b) Persons who have been notified by the commissioner that
they passed the real estate broker license examination may apply
for a real estate broker license. A person applying for the broker
examination may also apply for a real estate broker license.
However, a license shall not be issued until the applicant passes
the real estate broker license examination. If there is any change
to the information contained in a real estate broker license
application after the application has been submitted and before the
license has been issued, the commissioner may require the applicant
to submit a supplement to the application listing the changed
information.

(c) Application for the real estate broker license shall be made
in writing to the commissioner. The commissioner may prescribe
the format and content of the broker license application. The
application for the real estate broker license shall require an
applicant to provide a valid email address at which the bureau may
contact the applicant and shall be accompanied by the appropriate
fee.

(d) Application for an endorsement to act as a mortgage loan
originator, as defined in Section 10166.01, shall be made either
electronically or in writing as directed by the commissioner. The
commissioner may prescribe the format and content of the
mortgage loan originator endorsement application, which shall
meet the minimum requirements for licensing of a mortgage loan
originator, pursuant to the Secure and Fair Enforcement for
Mortgage Licensing Act of 2008 (Public Law 110-289).

SEC. 2.  

Section 10151 of the Business and Professions Code
is amended to read:

10151.  

(a) Application for the real estate salesperson license
examination shall be made in writing to the commissioner. The
commissioner may prescribe the format and content of the
salesperson examination application. The application for the
salesperson examination shall require an applicant to provide a
valid email address at which the bureau may contact the applicant
and shall be accompanied by the real estate salesperson license
examination fee.

(b) Persons who have been notified by the commissioner that
they passed the real estate salesperson license examination may
apply for a real estate salesperson license. A person applying for
the salesperson examination may also apply for a real estate
salesperson license. However, a license shall not be issued until
the applicant passes the real estate salesperson license examination.
If there is any change to the information contained in a real estate
salesperson license application after the application has been
submitted and before the license has been issued, the commissioner
may require the applicant to submit a supplement to the application
listing the changed information.

(c) (1) The commissioner may prescribe the format and content
of the application for both the examination and license. The
application shall require the applicant to provide a valid email
address at which the bureau may contact the applicant.

(2) An application for the real estate salesperson license
examination or for both the examination and license that is received
by the commissioner on or after October 1, 2007, shall include
evidence or certification, satisfactory to the commissioner, of
successful completion at an accredited institution of a
three-semester unit course, or the quarter equivalent thereof, or
successful completion of an equivalent course of study as defined
in Section 10153.5, in real estate principles as well as the successful
completion at an accredited institution of a course in real estate
practice and one additional course set forth in Section 10153.2,
other than real estate principles, real estate practice, advanced legal
aspects of real estate, advanced real estate finance, or advanced
real estate appraisal. The applicant shall provide this evidence or
certification to the commissioner prior to taking the real estate
salesperson license examination.

(d) The commissioner shall waive the requirements of this
section for the following applicants:

(1) An applicant who is a member of the State Bar of California.

(2) An applicant who has qualified to take the examination for
an original real estate broker license by satisfying the requirements
of Section 10153.2.

(e) Application for endorsement to act as a mortgage loan
originator, as defined in Section 10166.01, shall be made either
electronically or in writing as directed by the commissioner. The
commissioner may prescribe the format and the content of the
mortgage loan originator endorsement application, which shall
meet the minimum requirements for licensing of a mortgage loan
originator, pursuant to the Secure and Fair Enforcement for
Mortgage Licensing Act of 2008 (Public Law 110-289).

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begin insert SEC. 3. end insert   

end insert

begin insert Section 10162 of the end insert begin insert Business and Professions Code end insert
begin insert is amended to read: end insert

10162.  

begin insert (a) end insert begin insert   end insert Every licensed real estate broker shall have and
maintain a definite place of business in the State of California
begin delete which shall serve end delete begin insert that serves end insert as his begin insert or her end insert office for the transaction
of business. This office shall be the place where his begin insert or her end insert license
is displayed and where personal consultations with clients are held.

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No

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begin insert (b) end insert begin insert   end insert begin insert A end insert real estate license begin delete authorizes end delete begin insert does not authorize end insert the
licensee to do business except from the location stipulated in the
real estate license as issued or as altered pursuant to Section
10161.8.

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(c) (1) Every licensee shall provide to the commissioner his or
her current office or mailing address, a current telephone number,
and a current email address that he or she maintains or uses to
perform any activity that requires a real estate license, at which
the bureau may contact the licensee.

end insert begin insert

(2) Every licensee shall inform the commissioner of any change
to his or her office or mailing address, telephone number, or email
address no later than 30 days after making the change.

end insert

begin insert

begin insert SEC. 4. end insert   

end insert begin insert

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.

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