Bill Text: CA SB710 | 2015-2016 | Regular Session | Chaptered
Bill Title: Real estate licensees: fictitious business names: team names.
Spectrum: Bipartisan Bill
Status: (Passed) 2016-08-29 - Chaptered by Secretary of State. Chapter 224, Statutes of 2016. [SB710 Detail]
Download: California-2015-SB710-Chaptered.html
BILL NUMBER: SB 710 CHAPTERED
BILL TEXT
CHAPTER 224
FILED WITH SECRETARY OF STATE AUGUST 29, 2016
APPROVED BY GOVERNOR AUGUST 29, 2016
PASSED THE SENATE AUGUST 11, 2016
PASSED THE ASSEMBLY JUNE 30, 2016
AMENDED IN ASSEMBLY JUNE 9, 2016
AMENDED IN ASSEMBLY FEBRUARY 9, 2016
AMENDED IN ASSEMBLY JUNE 23, 2015
AMENDED IN SENATE MAY 28, 2015
AMENDED IN SENATE MAY 19, 2015
AMENDED IN SENATE MAY 12, 2015
INTRODUCED BY Senator Galgiani
(Coauthor: Senator Cannella)
(Coauthors: Assembly Members Chávez, Gomez, and Jones)
FEBRUARY 27, 2015
An act to amend Section 10159.7 of the Business and Professions
Code, relating to real estate licensees, and declaring the urgency
thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
SB 710, Galgiani. Real estate licensees: fictitious business
names: team names.
The Real Estate Law provides for the licensure and regulation of
real estate brokers and real estate salespersons by the Bureau of
Real Estate headed by the Real Estate Commissioner. That law requires
advertising and solicitation materials using a fictitious business
name or that contain a team name to display the responsible broker's
identity, as provided. Existing law defines "responsible broker's
identity" to mean a name and the associated license identification
number under which the responsible broker is currently licensed and
conducts business in general or is a substantial division of the real
estate firm, as specified.
This bill would revise the definition of "responsible broker's
identity" to mean the name or both the name and associated license
identification number.
This bill would declare that it is to take effect immediately as
an urgency statute.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 10159.7 of the Business and Professions Code is
amended to read:
10159.7. (a) For the purposes of this article, the following
definitions shall apply:
(1) "Responsible broker's identity" means the name under which the
responsible broker is currently licensed by the bureau and conducts
business in general or is a substantial division of the real estate
firm, or both the name and the associated license identification
number. Responsible broker's identity does not include a fictitious
business name obtained pursuant to paragraph (2) of subdivision (a)
of Section 10159.5 or the use of a team name pursuant to Section
10159.6.
(2) "Fictitious business name" means a professional identity or
brand name under which activity requiring a real estate license is
conducted and the use of which is subject to approval by the bureau
pursuant to Section 10159.5.
(3) "Ownership of a fictitious business name" means the right to
use, renew, and control the use of a fictitious business name
obtained in accordance with Section 10159.5.
(4) "Responsible broker" means the broker responsible for the
exercise of control and supervision of salespersons under Section
10159.2, or a licensee subject to discipline under subdivision (h) of
Section 10177 for failure to supervise activity requiring a real
estate license. The supervision of a salesperson required under this
part or any other law is limited to regulatory compliance and
consumer protection.
(5) "Team name" means a professional identity or brand name used
by a salesperson, and one or more other real estate licensees, for
the provision of real estate licensed services. Notwithstanding any
other law, the use of a team name does not require that a separate
license be issued for that name pursuant to Section 10159.5. A team
name does not constitute a fictitious business name for purposes of
this part or any other law or for purposes of filing a fictitious
business name statement with an application as required by
subdivision (a) of Section 10159.5 if all of the following apply:
(A) The name is used by two or more real estate licensees who work
together to provide licensed real estate services, or who represent
themselves to the public as being a part of a team, group, or
association to provide those services.
(B) The name includes the surname of at least one of the licensee
members of the team, group, or association in conjunction with the
term "associates," "group," or "team."
(C) The name does not include any term or terms, such as "real
estate broker," "real estate brokerage," "broker," or "brokerage" or
any other term that would lead a member of the public to believe that
the team is offering real estate brokerage services, that imply or
suggest the existence of a real estate entity independent of a
responsible broker.
(b) Nothing in this section changes a real estate broker's duties
under this division to supervise a salesperson.
SEC. 2. This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
This act corrects an inadvertent drafting error in Senate Bill 146
of the 2015-16 Regular Session that requires the listing of a
company name and responsible broker's license number on all "team"
advertising, when the intent of that legislation was to require one
or the other, but not both. In order to ensure that the law regarding
advertising is not overly burdensome, it is necessary that this act
take effect immediately.
