AB 1807, as introduced, Bonta. Escrow agents.
Existing law subjects the escrow industry to various laws and regulations under the oversight of the Real Estate Commissioner, the Commissioner of Business Oversight, or the Insurance Commissioner. Existing law requires the commissioners to notify each other when taking enforcement or disciplinary action related to certain escrow services. Existing law requires the Bureau of Real Estate to maintain an Internet Web site that displays a database of individuals who have been subject to disciplinary action related to the escrow industry.
This bill would limit the time period for which the Bureau of Real Estate’s Internet Web site is required to display disciplinary actions taken against a licensee to 10 years or a lesser as the Real Estate Commissioner deems to be in the best interest of the public.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 10176.1 of the Business and Professions
2Code is amended to read:
(a) (1) Whenever the commissioner takes any
2enforcement or disciplinary action against a licensee, and the
3enforcement or disciplinary action is related to escrow services
4provided pursuant to paragraph (4) of subdivision (a) of Section
517006 of the Financial Code, upon the action becoming final the
6commissioner shall notify the Insurance Commissioner and the
7Commissioner of Business Oversight of the action or actions taken.
8The purpose of this notification is to alert the departments that
9enforcement or disciplinary action has been taken, if the licensee
10seeks or obtains employment with entities regulated by the
11departments.
12(2) The commissioner shall provide the Insurance Commissioner
13and the Commissioner of Business Oversight, in addition
to the
14notification of the action taken, with a copy of the written
15accusation, statement of issues, or order issued or filed in the matter
16and, at the request of the Insurance Commissioner or the
17Commissioner of Business Oversight, with any underlying factual
18material relevant to the enforcement or disciplinary action. Any
19confidential information provided by the commissioner to the
20Insurance Commissioner or the Commissioner of Business
21Oversight shall not be made public pursuant to this section.
22Notwithstanding any other provision of law, the disclosure of any
23underlying factual material to the Insurance Commissioner or the
24Commissioner of Business Oversight shall not operate as a waiver
25of confidentiality or any privilege that the commissioner may
26assert.
27(b) The commissioner shall establish and maintain, on the
28begin insert Internetend insert Web site
maintained by the Bureau of Real Estate, a
29database of its licensees, including those who have been subject
30to any enforcement or disciplinary action that triggers the
31notification requirements of thisbegin delete section.end deletebegin insert
section for a period of
3210 years or a lesser time as the commissioner deems to be in the
33best interest of the public.end insert The database shall also contain a direct
34link to the databases, described in Section 17423.1 of the Financial
35Code and Section 12414.31 of the Insurance Code and required
36to be maintained on thebegin insert Internetend insert Web sites of the Department of
37Business Oversight and the Department of Insurance, respectively,
38of persons who have been subject to enforcement or disciplinary
39action for malfeasance or misconduct related to the escrow industry
P3 1by the Insurance Commissioner and the Commissioner of Business
2Oversight.
3(c) There shall be no liability on the part of, and no cause of
4action of any nature shall arise against, the State of California, the
5Bureau of Real Estate, the Real Estate
Commissioner, any other
6state agency, or any officer, agent, employee, consultant, or
7contractor of the state, for the release of any false or unauthorized
8information pursuant to this section, unless the release of that
9information was done with knowledge and malice, or for the failure
10to release any information pursuant to this section.
O
99