SECTIONS 10000-10035 - California Statutes

BUSINESS AND PROFESSIONS CODE

SECTION 10000-10035

10000. This part may be cited as the Real Estate Law.

10001. The definitions in this chapter apply to the provisions of
this part only and do not affect any other provisions of this code.

10003. "Commissioner" refers to the Real Estate Commissioner.

10004. "Department" means the Department of Real Estate in the
Business and Transportation Agency.

10005. Whenever the terms "division," "State Real Estate Division,"
or "Real Estate Division" are used in this division, they mean the
Department of Real Estate.
Whenever the terms " State Real Estate Division" or " Real Estate
Division" are used in any other law, they mean the Department of Real
Estate.

10006. "Person" includes corporation, company and firm.

10007. "Provisions of this part relating to real estate" refers to
the provisions of Chapters 1, 2, 3 and 6 of Part 1.

10008. "Provisions of this part relating to business opportunity
regulation" refers to the provisions of Chapters 1, 2, and 6 of Part
1.

10008.5. Solely with regard to any transaction involving the sale,
lease, or exchange of a business opportunity occurring before, on, or
after the effective date of this section, this division shall not
apply to any person licensed at the time of the transaction as a
securities broker or securities dealer under any law of this state or
of the United States, or by any employee, officer, or agent of that
person while acting under the direction of, and within the scope of,
his or her employment with that person in connection with the
transaction.
As used in this section, "any transaction involving the sale,
lease, or exchange of a business opportunity" does not include any of
the acts described in Section 10131 or Section 10131.2 if the
substance of the transaction is to transfer, sell, lease, or exchange
an interest in real property for the purpose of evading this part.

10009.5. "Provisions of this part relating to mineral, oil and gas
brokerage" refers to the provisions of Chapters 1, 2, 6 and 7, of
Part 1.

10010. "Provisions of this part relating to hearings" refers to the
provisions of Article 3 of Chapter 2 of Part 1.

10011. "Licensee," when used without modification, refers to a
person, whether broker or salesman, licensed under any of the
provisions of this part.

10012. "Broker," when used without modification, refers to a person
licensed as a broker under any of the provisions of this part.

10013. "Salesman," when used without modification, refers to a
person licensed as a saleman under any of the provisions of this
part.

10014. "Real estate licensee" refers to a person, whether broker or
salesman, licensed under Chapter 3 of this part.

10015. "Real estate broker" refers to a person licensed as a broker
under Chapter 3 of this part.

10016. "Real estate salesman" refers to a person licensed as a
salesman under Chapter 3 of this part.

10017. Whenever the word salesman is used in this division, or in
the rules and regulations of the commissioner, it means salesperson.
A licensee, however, may elect to refer to the licensed status as
real estate salesman, real estate saleswoman, or real estate
salesperson.

10023. "Mineral, oil and gas licensee" refers to a person licensed
under Chapter 7 (commencing with Section 10500) of this part.

10024. "Mineral, oil and gas broker" refers to a person licensed as
a broker under Chapter 7 of this part.

10026. (a) The term "advance fee," as used in this part, is a fee,
regardless of the form, that is claimed, demanded, charged, received,
or collected by a licensee for services requiring a license, or for
a listing, as that term is defined in Section 10027, before fully
completing the service the licensee contracted to perform or
represented would be performed. Neither an advance fee nor the
services to be performed shall be separated or divided into
components for the purpose of avoiding the application of this
division.
(b) For the purposes of this section, the term "advance fee" does
not include:
(1) "Security" as that term is used in Section 1950.5 of the Civil
Code.
(2) A "screening fee" as that term is used in Section 1950.6 of
the Civil Code.
(3) A fee that is claimed, demanded, charged, received, or
collected for the purpose of advertising the sale, lease, or exchange
of real estate, or of a business opportunity, in a newspaper of
general circulation, any other written publication, or through
electronic media comparable to any type of written publication,
provided that the electronic media or the publication is not under
the control or ownership of the broker.
(4) A fee earned for a specific service under a "limited service"
contract. For purposes of this section, a "limited service" contract
is a written agreement for real estate services described in
subdivision (a), (b), or (c) of Section 10131, and pursuant to which
such services are promoted, advertised, or presented as stand-alone
services, to be performed on a task-by-task basis, and for which
compensation is received as each separate, contracted-for task is
completed. To qualify for this exclusion, all services performed
pursuant to the contract must be described in subdivision (a), (b),
or (c) of Section 10131.
(c) A contract between a real estate broker and a principal that
requires payment of a commission to the broker after the contract is
fully performed does not represent an agreement for an advance fee.
(d) This section does not exempt from regulation the charging or
collecting of a fee under Section 1950.5 or 1950.6 of the Civil Code,
but instead regulates fees that are not subject to those sections.

10027. The term "listing" as used in this part includes, but is not
limited to:
(a) The name or a list of the names, of the owners, landlords,
exchangers, or lessors, or the location or locations, of property, or
of an interest in property, offered for rent, sale, lease, or
exchange.
(b) The name, or a list of the names, or the location or locations
at which prospective or potential purchasers, buyers, lessees,
tenants or exchangers of property may be found or contacted.
(c) An agreement by which a person who is engaged in the business
of promoting the sale or lease of business opportunities or real
estate agrees to render to an owner or lessee of such property any
services, to promote the sale or lease of said property.
(d) An agreement by which a person who is engaged in the business
of finding, locating or promoting the sale or lease of business
opportunities or real estate, agrees to circularize, notify or refer
real estate brokers or salesmen to said property which is offered for
sale or lease.

10028. "Trust deed" or "deed of trust" as used in this part
includes "mortgage."

10029. "Real property sales contract" as used in this part is an
agreement wherein one party agrees to convey title to real property
to another party upon the satisfaction of specified conditions set
forth in the contract and which does not require conveyance of title
within one year from the date of formation of the contract.

10030. As used in this part, the words "business opportunity" shall
include the sale or lease of the business and goodwill of an
existing business enterprise or opportunity.

10032. (a) All obligations created under Section 10000, and
following, all regulations issued by the commissioner relating to
real estate salespersons, and all other obligations of brokers and
real estate salespersons to members of the public shall apply
regardless of whether the real estate salesperson and the broker to
whom he or she is licensed have characterized their relationship as
one of "independent contractor" or of "employer and employee."
(b) A real estate broker and a real estate salesperson licensed
under that broker may contract between themselves as independent
contractors or as employer and employee, for purposes of their legal
relationship with and obligations to each other. Characterization of
a relationship as either "employer and employee" or "independent
contractor" for statutory purposes, including, but not limited to,
withholding taxes on wages and for purposes of unemployment
compensation, shall be governed by Section 650 and Sections 13000 to
13054, inclusive, of the Unemployment Insurance Code. For purposes of
workers compensation the characterization of the relationship shall
be governed by Section 3200, and following, of the Labor Code.

10035. Neither Section 10185 nor any other provision of this part
which makes violation of this part a crime shall be construed to
preclude application of any other criminal provision of the law of
this state to an act or omission which constitutes a violation of
this part.