BILL NUMBER: AB 1877	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Members Olsen and Ma

                        FEBRUARY 22, 2012

   An act to amend Section 7500.3 of the Business and Professions
Code, relating to repossessors.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1877, as introduced, Olsen. Repossession agencies: exemptions.
    Existing law, the Collateral Recovery Act, provides for the
licensure and regulation of repossession agencies by the Bureau of
Security and Investigative Services under the supervision and control
of the Director of Consumer Affairs. The act provides that a
repossession agency does not include the legal owner of collateral
that is subject to a security agreement or a bona fide employee of
the legal owner of collateral that is subject to a security
agreement.
   This bill would add that a repossession agency does not include
the bona fide agent of the legal owner of collateral that is subject
to a security agreement.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 7500.3 of the Business and Professions Code is
amended to read:
   7500.3.  A repossession agency shall not include any of the
following:
   (a) Any bank subject to the jurisdiction of the Commissioner of
Financial Institutions of the State of California under Division 1
(commencing with Section 99) of the Financial Code or the Comptroller
of the Currency of the United States.
   (b) Any person organized, chartered, or holding a license or
authorization certificate to make loans pursuant to the laws of this
state or the United States who is subject to supervision by any
official or agency of this state or the United States.
   (c) An attorney at law in performing his or her duties as an
attorney at law.
   (d) The legal owner of collateral that is subject to a security
agreement  , a bona fide agent of the legal owner of collateral
that is subject to a security agreement,  or a bona fide
employee employed exclusively and regularly by the legal owner of
collateral that is subject to a security agreement. With regard to
collateral subject to registration under the Vehicle Code, the legal
owner shall be the legal owner listed on the records of the
Department of Motor Vehicles or the seller or lessor named on a valid
conditional sales contract or rental or lease agreement if the
seller or lessor is a licensed vehicle dealer as defined in Section
285 of the Vehicle Code.
   (e) An officer or employee of the United States of America, or of
this state or a political subdivision thereof, while the officer or
employee is engaged in the performance of his or her official duties.

   (f) A qualified certificate holder or a registrant when performing
services for, or on behalf of, a licensee.