CALIFORNIA STATUTES AND CODES
SECTIONS 9840-9853
BUSINESS AND PROFESSIONS CODE
SECTION 9840-9853
9840. It shall be unlawful to act as a service dealer without first
having registered in accordance with the provisions of this chapter
and unless such registration is currently valid.
9841. (a) The director may deny, suspend, revoke, or place on
probation the registration of a service dealer for any of the
following acts or omissions done by himself or herself or any
employee, partner, officer, or member of the service dealer and
related to the conduct of his or her business:
(1) Making or authorizing any statement or advertisement that is
untrue or misleading, and that is known, or which by the exercise of
reasonable care should be known, to be untrue or misleading.
(2) Making any false promises of a character likely to influence,
persuade, or induce a customer to authorize the repair, installation,
service, or maintenance of the equipment as specified by this
chapter.
(3) Any other conduct that constitutes fraud or dishonest dealing.
(4) Conduct constituting incompetence or negligence.
(5) Failure to comply with the provisions of this chapter or any
regulation, rule, or standard established pursuant to this chapter.
(6) Any willful departure from or disregard of accepted trade
standards for good and workmanlike installation or repair.
(7) Conviction of a crime that has a substantial relationship to
the qualifications, functions and duties of a registrant under this
chapter, in which event the record of the conviction shall be
conclusive evidence thereof.
(8) A violation of any order of the bureau made pursuant to this
chapter.
(b) The director may also deny, or may suspend, revoke, or place
on probation, the registration of a service dealer if the applicant
or registrant, as the case may be, has committed acts or crimes
constituting grounds for denial of licensure under Section 480.
(c) The director may also deny, or may suspend, revoke, or place
on probation, the registration of a service dealer if the applicant
or registrant, as the case may be, will be or is holding the
registration for the benefit of a former registrant whose
registration has been suspended or revoked and who will continue to
have some involvement in the applicant's or new registrant's
business.
9842. All work done by a service dealer shall be recorded on an
invoice in such detail as is required by regulations issued by the
director and shall describe all service work done and all parts
supplied. If any used parts are supplied, the invoice shall clearly
state that fact. One copy shall be given to the customer and one copy
shall be retained by the service dealer for a period of at least
three years.
9843. The service dealer shall return replaced parts to the
customer excepting such parts as may be exempted from this
requirement by regulations of the director and excepting such parts
as the service dealer needs to return to the manufacturer or
distributor under a warranty arrangement.
9844. An initial written estimate for the cost of repair shall be
given to the customer before performing any repairs. The written
estimate shall include all costs for parts and labor, and the service
dealer may not charge for work done or parts supplied in excess of
the estimate without the previous consent of the customer. The
service dealer may charge a reasonable fee for services provided in
determining the nature of the malfunction in preparation of a written
estimate for repair. The service dealer shall advise the customer in
writing of the amount of the fee prior to a repair made in the
residence, before removal of the consumer goods from the customer's
residence, or upon acceptance of the goods at the repair facility or
registered location.
9844.1. The charge for the installation of any equipment subject to
the requirements of this chapter shall be given to the customer in
writing prior to making the installation. Whenever the charge for
installation is included in the sale price of the item and is not
separately stated, or whenever the charge for installation is reduced
as an incentive to effectuate the purchase and sale, the bureau may
determine the reasonable charge attributable to the installation for
purposes of enforcement.
9844.5. No lien or other right to maintain possession of the
equipment pending payment of charges for repair or installation,
including those arising from Chapter 6 (commencing with Section 3046)
of Title 14, Part 4, Division 3 of the Civil Code, shall exist where
the total charges levied for the repair or installation of such
equipment exceeds the higher of (1) any amount estimated in writing
pursuant to Section 9844, or (2) a written revision of such estimate
signed and dated by the owner of the equipment, or in lieu thereof an
oral revision of the written estimate, authorized by the owner and
fully documented by the service dealer.
9845. A service dealer may not make the compensation of any
employee, partner, officer, or member dependent upon the value of
parts replaced in any equipment by, or with the consent of, such
employee, partner, officer, subcontractor, or member. This does not
include the sale of equipment as defined in subdivision (h) of
Section 9801.
9846. The use of "guarantee" and words of like import shall conform
to the regulations adopted by the director.
9847. Each service dealer shall maintain all records that are
required by the regulations adopted to carry out the provisions of
this chapter for a period of at least three years. These records
shall be open for reasonable inspection by the director or other law
enforcement officials.
9847.5. Each service contractor shall maintain those records as are
required by the regulations adopted to carry out the provisions of
this chapter for a period of at least three years. These records
shall be open for reasonable inspection by the director or other law
enforcement officials.
This section shall remain in effect only until January 1, 2013,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2013, deletes or extends that date.
9848. All proceedings to deny registration or suspend, revoke, or
place on probation a registration shall be conducted pursuant to
Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of
Title 2 of the Government Code.
9849. The expiration of a valid registration shall not deprive the
director of jurisdiction to proceed with any investigation or hearing
on a cease and desist order against a service dealer or service
contractor or to render a decision to suspend, revoke, or place on
probation a registration.
This section shall remain in effect only until January 1, 2013,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2013, deletes or extends that date.
9849. The expiration of a valid registration shall not deprive the
director of jurisdiction to proceed with any investigation or hearing
on a cease and desist order against a service dealer or to render a
decision to suspend, revoke, or place on probation a registration.
This section shall become operative on January 1, 2013.
9850. Any person who fails to comply with the provisions of this
chapter or of the regulations made pursuant to this chapter is guilty
of a misdemeanor and punishable by a fine not exceeding one thousand
dollars ($1,000) or by imprisonment not exceeding six months, or by
both such fine and imprisonment.
9851. The superior court in and for the county wherein any person
carries on, or attempts to carry on, business as a service dealer or
service contractor in violation of the provisions of this chapter, or
any regulation thereunder, shall, on application of the director,
issue an injunction or other appropriate order restraining that
conduct.
The proceedings under this section shall be governed by Chapter 3
(commencing with Section 525) of Title 7 of Part 2 of the Code of
Civil Procedure, except that the director shall not be required to
allege facts necessary to show or tending to show lack of an adequate
remedy at law or irreparable injury.
This section shall remain in effect only until January 1, 2013,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2013, deletes or extends that date.
9851. The superior court in and for the county wherein any person
carries on, or attempts to carry on, business as a service dealer in
violation of the provisions of this chapter, or any regulation
thereunder, shall, on application of the director, issue an
injunction or other appropriate order restraining that conduct.
The proceedings under this section shall be governed by Chapter 3
(commencing with Section 525) of Title 7 of Part 2 of the Code of
Civil Procedure, except that the director shall not be required to
allege facts necessary to show or tending to show lack of an adequate
remedy at law or irreparable injury.
This section shall become operative on January 1, 2013.
9852. No person required to have a valid registration under the
provisions of this chapter shall have the benefit of any lien for
labor or materials or the right to sue on a contract for repairs or
installation done by such individual, unless he or she has such a
valid registration.
9853. A plea or verdict of guilty or a conviction following a plea
of nolo contendere made to a charge substantially related to the
qualifications, functions, and duties of a service dealer or service
contractor is deemed to be a conviction within the meaning of this
article. The director may suspend, revoke, or place on probation a
registration, or may deny registration, when the time for appeal has
elapsed, or the judgment of conviction has been affirmed on appeal or
when an order granting probation is made suspending the imposition
of sentence, irrespective of a subsequent order under Section 1203.4
of the Penal Code, allowing that person to withdraw his or her plea
of guilty and to enter a plea of not guilty, or setting aside the
verdict of guilty, or dismissing the accusation, information, or
indictment.
This section shall remain in effect only until January 1, 2013,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2013, deletes or extends that date.
9853. A plea or verdict of guilty or a conviction following a plea
of nolo contendere made to a charge substantially related to the
qualifications, functions, and duties of a service dealer is deemed
to be a conviction within the meaning of this article. The director
may suspend, revoke, or place on probation a registration, or may
deny registration, when the time for appeal has elapsed, or the
judgment of conviction has been affirmed on appeal or when an order
granting probation is made suspending the imposition of sentence,
irrespective of a subsequent order under Section 1203.4 of the Penal
Code allowing that person to withdraw his or her plea of guilty and
to enter a plea of not guilty, or setting aside the verdict of
guilty, or dismissing the accusation, information, or indictment.
This section shall become operative on January 1, 2013.