2009 California Business and Professions Code - Section 10150-10165 :: Article 2. Licenses

10150.  (a) Application for the real estate broker license
examination shall be made in writing to the commissioner. The
commissioner may prescribe the format and content of the broker
examination application. The application for the broker examination
shall be accompanied by the real estate broker license examination
fee.
   (b) Persons who have been notified by the commissioner that they
passed the real estate broker license examination may apply for a
real estate broker license. A person applying for the broker
examination may also apply for a real estate broker license. However,
a license shall not be issued until the applicant passes the real
estate broker license examination. If there is any change to the
information contained in a real estate broker license application
after the application has been submitted and before the license has
been issued, the commissioner may require the applicant to submit a
supplement to the application listing the changed information.
   (c) Application for the real estate broker license shall be made
in writing to the commissioner. The commissioner may prescribe the
format and content of the broker license application. The application
for the real estate broker license shall be accompanied by the
appropriate fee.
   (d) Application for an endorsement to act as a mortgage loan
originator, as defined in Section 10166.01, shall be made either
electronically or in writing as directed by the commissioner. The
commissioner may prescribe the format and content of the mortgage
loan originator endorsement application, which shall meet the minimum
requirements for licensing of a mortgage loan originator, pursuant
to the Secure and Fair Enforcement for Mortgage Licensing Act of 2008
(Public Law 110-289).

10150.6.  The Real Estate Commissioner shall not grant an original
real estate broker's license to any person who has not held a real
estate salesman's license for at least two years and qualified for
renewal real estate salesman status, within the five-year period
immediately prior to the date of his application for the broker's
license, and during such time was not actively engaged in the
business of real estate salesman, except that an applicant for a real
estate broker's license having at least the equivalent of two years'
general real estate experience or graduation from a four-year
college or university course, which course included specialization in
real estate, files a written petition with the Department of Real
Estate setting forth his qualifications and experience, and the
commissioner approves, he may be issued a real estate broker's
license immediately upon passing the examination and satisfying the
other requirements of this article.

10151.  (a) Application for the real estate salesperson license
examination shall be made in writing to the commissioner. The
commissioner may prescribe the format and content of the salesperson
examination application. The application for the salesperson
examination shall be accompanied by the real estate salesperson
license examination fee.
   (b) Persons who have been notified by the commissioner that they
passed the real estate salesperson license examination may apply for
a real estate salesperson license. A person applying for the
salesperson examination may also apply for a real estate salesperson
license. However, a license shall not be issued until the applicant
passes the real estate salesperson license examination. If there is
any change to the information contained in a real estate salesperson
license application after the application has been submitted and
before the license has been issued, the commissioner may require the
applicant to submit a supplement to the application listing the
changed information.
   (c) An application for the real estate salesperson license
examination or for both the examination and license that is received
by the commissioner on or after October 1, 2007, shall include
evidence or certification, satisfactory to the commissioner, of
successful completion at an accredited institution of a
three-semester unit course, or the quarter equivalent thereof, or
successful completion of an equivalent course of study as defined in
Section 10153.5, in real estate principles as well as the successful
completion at an accredited institution of a course in real estate
practice and one additional course set forth in Section 10153.2,
other than real estate principles, real estate practice, advanced
legal aspects of real estate, advanced real estate finance, or
advanced real estate appraisal. The applicant shall provide this
evidence or certification to the commissioner prior to taking the
real estate salesperson license examination.
   (d) The commissioner shall waive the requirements of this section
for the following applicants:
   (1) An applicant who is a member of the State Bar of California.
   (2) An applicant who has qualified to take the examination for an
original real estate broker license by satisfying the requirements of
Section 10153.2.
   (e) Application for endorsement to act as a mortgage loan
originator, as defined in Section 10166.01, shall be made either
electronically or in writing as directed by the commissioner. The
commissioner may prescribe the format and the content of the mortgage
loan originator endorsement application, which shall meet the
minimum requirements for licensing of a mortgage loan originator,
pursuant to the Secure and Fair Enforcement for Mortgage Licensing
Act of 2008 (Public Law 110-289).

10151.5.  (a) An applicant who is not a resident of this state shall
be eligible for a real estate license provided (1) the applicant
qualifies for licensure under this chapter, including Section 10162,
and (2) the state or other jurisdiction that is the place of
residence of the applicant permits a resident of California to
qualify for and obtain a real estate license in that jurisdiction.
   (b) A foreign corporation shall be exempt from the eligibility
requirement set forth in clause (2) of subdivision (a) if, and for so
long as, at least one of the officers of the corporation who is
designated and licensed as a real estate broker pursuant to Section
10158 or 10211 is a resident of this state.
   (c) Every nonresident applicant for a real estate license shall,
along with his or her application, file with the Real Estate
Commissioner an irrevocable consent that if in any action commenced
against him or her in this state, personal service of process upon
him or her cannot be made in this state after the exercise of due
diligence, a valid service may thereupon be made upon the applicant
by delivering the process to the Department of Real Estate.

10152.  (a) The commissioner may require any other proof he or she
may deem advisable concerning the honesty and truthfulness of any
applicant for a real estate license or license examination, or of the
officers, directors, or persons owning more than 10 percent of the
stock, of any corporation making application therefor, before
authorizing the issuance of a real estate license. For this purpose
the commissioner may call a hearing in accordance with this part
relating to hearings. To assist in his or her determination the
commissioner shall require every original applicant to be
fingerprinted prior to issuing a license. The commissioner may
require the fingerprints to be submitted either with the application
to take the license examination or with the application for a real
estate license.
   (b) This section shall become operative on July 1, 2004.

10153.  In addition to the proof of honesty and truthfulness
required of any applicant for a real estate license, the commissioner
shall ascertain by written examination that the applicant, and in
case of a corporation applicant for a real estate broker's license
that each officer, or agent thereof through whom it proposes to act
as a real estate licensee, has all of the following:
   (a) An appropriate knowledge of the English language, including
reading, writing, and spelling and of arithmetical computations
common to real estate and business opportunity practices.
   (b) An understanding of the principles of real estate and business
opportunity conveyancing, the general purposes and general legal
effect of agency contracts, deposit receipts, deeds, mortgages, deeds
of trust, chattel mortgages, bills of sale, land contracts of sale
and leases, and of the principles of business and land economics and
appraisals.
   (c) A general and fair understanding of the obligations between
principal and agent, of the principles of real estate and business
opportunity practice and the canons of business ethics pertaining
thereto, of the provisions of this part, of Chapter 1 (commencing
with Section 11000) of Part 2, and of the regulations of the Real
Estate Commissioner as contained in Title 10 of the California
Administrative Code.

10153.1.  It is unlawful for any person with respect to any
examination under this part to practice any deception or fraud with
regard to his or her identity in connection with any examination,
application, or request to be examined.
   Any person who willfully violates or knowingly participates in the
violation of this section is guilty of a misdemeanor.

10153.2.  (a) An applicant to take the examination for an original
real estate broker license shall also submit evidence, satisfactory
to the commissioner, of successful completion, at an accredited
institution, of:
   (1) A three-semester unit course, or the quarter equivalent
thereof, in each of the following:
   (A) Real estate practice.
   (B) Legal aspects of real estate.
   (C) Real estate appraisal.
   (D) Real estate financing.
   (E) Real estate economics or accounting.
   (2) A three-semester unit course, or the quarter equivalent
thereof, in three of the following:
   (A) Advanced legal aspects of real estate.
   (B) Advanced real estate finance.
   (C) Advanced real estate appraisal.
   (D) Business law.
   (E) Escrows.
   (F) Real estate principles.
   (G) Property management.
   (H) Real estate office administration.
   (I) Mortgage loan brokering and lending.
   (J) Computer applications in real estate.
   (K) On and after July 1, 2004, California law that relates to
common interest developments, including, but not limited to, topics
addressed in the Davis-Stirling Common Interest Development Act
(Title 6 (commencing with Section 1350) of Part 4 of Division 2 of
the Civil Code).
   (b) The commissioner shall waive the requirements of this section
for an applicant who is a member of the State Bar of California and
shall waive the requirements for which an applicant has successfully
completed an equivalent course of study as determined under Section
10153.5.
   (c) The commissioner shall extend credit under this section for
any course completed to satisfy requirements of Section 10153.3 or
10153.4.

10153.3.  (a) This section shall apply to an application for the
real estate salesperson license examination, the real estate
salesperson license, and for both the examination and license
received by the commissioner prior to October 1, 2007.
   (b) Application for the real estate salesperson license
examination pursuant to this section shall be made in writing to the
commissioner. The commissioner may prescribe the format and content
of the salesperson examination application. The application for the
salesperson examination shall be accompanied by the real estate
salesperson license examination fee.
   (c) In order to take the examination for a real estate salesperson
license, an applicant under this section shall submit evidence or
certification satisfactory to the commissioner of enrollment in, or
successful completion at, an accredited institution of a
three-semester unit course, or the quarter equivalent thereof, or
successful completion of an equivalent course of study as defined in
Section 10153.5, in real estate principles. Evidence of enrollment
satisfactory to the commissioner may include a statement from the
applicant made under penalty of perjury.
   (d) An applicant under this section may take the real estate
salesperson license examination within two years of the date his or
her application was received by the commissioner. Notwithstanding
subdivision (c), if the applicant fails to schedule an examination or
to obtain a passing score on it within that time period, he or she
shall be required to submit evidence or certification satisfactory to
the commissioner of satisfactory completion at an accredited
institution of the courses described in subdivision (c) of Section
10151 or satisfactory completion of an equivalent course of study as
defined in Section 10153.5, before taking the examination.
   (e) An applicant under this section shall, prior to issuance of
the real estate salesperson license, submit evidence or certification
satisfactory to the commissioner of successful completion of the
real estate principles course as described in subdivision (c) and of
successful completion at an accredited institution or successful
completion of an equivalent course of study as defined in Section
10153.5, of a course in real estate practice and one additional
course set forth in Section 10153.2 other than real estate
principles, real estate practice, advanced legal aspects of real
estate, advanced real estate finance, or advanced real estate
appraisal.
   (f) The commissioner shall waive the requirements of this section
for an applicant who is a member of the State Bar of California, or
who has completed an equivalent course of study, as determined under
Section 10153.5, or who has qualified to take the examination for an
original real estate broker license by satisfying the requirements of
Section 10153.2.

10153.4.  (a) This section shall apply to an application for the
real estate salesperson license examination, the real estate
salesperson license, and for both the examination and license
received by the commissioner prior to October 1, 2007, if the
applicant obtains a passing score on the real estate salesperson
license examination and submits a license application prior to
October 1, 2007.
   (b) Application for the real estate salesperson license
examination pursuant to this section shall be made in writing to the
commissioner. The commissioner may prescribe the format and content
of the salesperson examination application. The application for the
salesperson examination shall be accompanied by the real estate
salesperson license examination fee.
   (c) An applicant under this section shall comply with the
requirements of subdivision (c) of Section 10153.3 in order to take
the real estate salesperson license examination.
   (d) An applicant under this section who obtains a passing score on
the real estate salesperson license examination prior to October 1,
2007, shall, prior to the issuance of the real estate salesperson
license, submit evidence or certification satisfactory to the
commissioner of successful completion at an accredited institution of
a three-semester unit course, or the quarter unit equivalent
thereof, or successful completion of an equivalent course of study as
defined in Section 10153.5, in real estate principles as described
in subdivision (c) of Section 10153.3. An applicant for an original
real estate salesperson license under this section shall also, prior
to the issuance of the license, or within 18 months after issuance,
submit evidence or certification satisfactory to the commissioner of
successful completion at an accredited institution or a private
vocational school, as specified in Section 10153.5, of a course in
real estate practice and one additional course set forth in Section
10153.2, other than real estate principles, real estate practice,
advanced legal aspects of real estate, advanced real estate finance,
or advanced real estate appraisal.
   (e) A salesperson who qualifies for a license pursuant to this
section shall not be required for the first license renewal
thereafter to complete the continuing education pursuant to Article
2.5 (commencing with Section 10170), except for the courses specified
in paragraphs (1) to (4), inclusive, of subdivision (a) of Section
10170.5 or, on and after July 1, 2007, except for the courses
specified in paragraphs (1) to (5), inclusive, of subdivision (a) of
Section 10170.5.
   (f) The salesperson license issued to an applicant who has
satisfied only the requirements of subdivision (c) at the time of
issuance shall be automatically suspended effective 18 months after
issuance if the licensee has failed to satisfy the requirements of
subdivision (d). The suspension shall not be lifted until the
suspended licensee has submitted the required evidence of course
completion and the commissioner has given written notice to the
licensee of the lifting of the suspension.
   (g) The original license issued to a salesperson shall clearly set
forth the conditions of the license and shall be accompanied by a
notice of the provisions of this section and of any regulations
adopted by the commissioner to implement this section.
   (h) The commissioner shall waive the requirements of this section
for any person who presents evidence of admission to the State Bar of
California, and the commissioner shall waive the requirement for any
course for which an applicant has completed an equivalent course of
study as determined under Section 10153.5.

10153.5.  As used in Sections 10151, 10153.2, 10153.3, and 10153.4,
"an equivalent course of study" consists of courses at a private
vocational school that have been found by the commissioner, upon
consideration of an application for approval, to be equivalent in
quality to the real estate courses offered by the colleges and
universities accredited by the Western Association of Schools and
Colleges.
   As used in Sections 10151, 10153.2, 10153.3, and 10153.4,
"accredited institution" shall mean a college or university that
either:
   (a) Is accredited by the Western Association of Schools and
Colleges, or by any other regional accrediting agency recognized by
the United States Department of Education.
   (b) In the judgment of the commissioner, has a real estate
curriculum equivalent in quality to that of the institutions
accredited pursuant to subdivision (a).

10153.6.  All real estate broker licenses issued by the commissioner
shall be for a period of four years.
   Applicants shall qualify in the appropriate examination and
satisfy all other requirements prior to issuance of the license.
   The four-year license may be renewed upon filing the required
application and fee, and complying with the provisions of Article 2.5
(commencing with Section 10170).

10153.7.  All real estate salesperson licenses issued by the
commissioner shall be for a period of four years.
   Applicants must qualify in the appropriate examination and satisfy
all other requirements prior to issuance of the license.
   The four-year license may be renewed upon filing the required
application and fee, and complying with the provisions of Article 2.5
(commencing with Section 10170).

10153.8.  When an applicant for real estate license fails the
qualifying examination, he may apply for reexamination by filing the
appropriate application and fee.
   The application and fee for reexamination shall be filed and the
reexamination taken within the two-year period following the date the
application for examination was filed.

10154.  A person who has obtained a conditional license pursuant to
Section 10153.4, but has not satisfied the requirements for an
unqualified license under Section 10153.4, shall not be entitled to a
late renewal of the license under Section 10201, and shall not be
entitled to the issuance of another conditional license until four
years after the date of the issuance of the preceding conditional
license.

10156.2.  An application on the form prescribed by the commissioner
for the renewal of a license, filed before midnight of the last day
of the period for which a previous license was issued, accompanied by
the applicable renewal fee and good faith evidence of compliance
with the provisions of Article 2.5 (commencing with Section 10170) of
this chapter, entitles the applicant to continue operating under his
existing license after its specified expiration date, if not
previously suspended or revoked.
   If the commissioner determines that the applicant has not complied
with the continuing education requirements he shall either (1)
advise the applicant of the applicability of Section 10171.2 on an
extended period for compliance; or (2) advise the applicant that his
rights to operate under the prior license will expire five days from
the date such notice is mailed, or on the date the license would
normally expire, whichever is later; and the commissioner's reason
for that determination, and the right of the applicant to request a
hearing on the decision.

10156.5.  The commissioner may issue a restricted license to a
person:
   (a) Who is or has been licensed under this chapter and who has
been found by the commissioner after a hearing to have violated
provisions of Division 4 of this code where such violation would
justify the suspension or revocation of the license.
   (b) Who is applying for a license under this chapter, who has met
the examination and experience requirements, but who has been found
by the commissioner after a hearing to have failed to have made a
satisfactory showing that he meets all of the other requirements for
the license applied for, where such failure would justify the denial
of the license applied for.

10156.6.  A restricted license issued pursuant to Section 10156.5 as
the commissioner in his or her discretion finds advisable in the
public interest may be restricted:
   (a) By term.
   (b) To employment by a particular real estate broker, if a
salesperson.
   (c) By conditions to be observed in the exercise of the privileges
granted.
   (d) If a salesperson licensee or applicant has not complied with
Section 10153. 4 within 18 months after issuance of the license.

10156.7.  (a) A restricted license issued pursuant to Section
10156.5 does not confer any property right in the privileges to be
exercised thereunder, and the holder of a restricted license does not
have the right to the renewal of the license.
   (b) Except as provided in subdivision (c), the commissioner may
without hearing issue an order suspending the licensee's right to
further exercise any privileges granted under a restricted license
pending final determination made after formal hearing.
   (c) A restricted salesperson license containing a condition
requiring compliance with Section 10153.4 shall be automatically
suspended upon the licensee's failure to comply with the condition.
The suspension shall not be lifted until the suspended licensee has
submitted the required evidence of course completion and the
commissioner has given written notice to the licensee of the lifting
of the suspension.

10156.8.  As one of the conditions to the issuance of a restricted
license authorized by Section 10156.5 the commissioner may require
the filing of surety bonds in such form and condition as he may
require in respect to the restricted licensee for the protection of
persons or classes of persons with whom said licensee may deal.

10157.  No real estate license gives authority to do any act
specified in this chapter to any person, other than the person to
whom the license is issued.

10158.  When a real estate license is issued to a corporation, if it
desires any of its officers other than the officer designated by it
pursuant to Section 10211, to act under its license as a real estate
broker, it shall procure an additional license to so employ each of
such additional officers.

10159.  Each officer of a corporation through whom it is licensed to
act as a real estate broker is, while so employed under such
license, a licensed real estate broker, but licensed only to act as
such for and on behalf of the corporation as an officer.

10159.2.  (a) The officer designated by a corporate broker licensee
pursuant to Section 10211 shall be responsible for the supervision
and control of the activities conducted on behalf of the corporation
by its officers and employees as necessary to secure full compliance
with the provisions of this division, including the supervision of
salespersons licensed to the corporation in the performance of acts
for which a real estate license is required.
   (b) A corporate broker licensee that has procured additional
licenses in accordance with Section 10158 through officers other than
the officer designated pursuant to Section 10211 may, by appropriate
resolution of its board of directors, assign supervisory
responsibility over salespersons licensed to the corporation to its
broker-officers.
   (c) A certified copy of any resolution of the board of directors
assigning supervisory responsibility over real estate salespersons
licensed to the corporation shall be filed with the Real Estate
Commissioner within five days after the adoption or modification
thereof.

10159.5.  Every person applying for a license under this chapter who
desires to have such license issued under a fictitious business name
shall file with his application a certified copy of his fictitious
business name statement filed with the county clerk pursuant to
Chapter 5 (commencing with Section 17900) of Part 3 of Division 7.

10160.  The real estate salesman's license shall remain in the
possession of the licensed real estate broker employer until canceled
or until the salesman leaves the employ of the broker, and the
broker shall make his license and the licenses of his salesman
available for inspection by the commissioner or his designated
representative.

10161.5.  When the holder of a real estate broker's or salesman's
license is required to relinquish his license to assume an office in
local, state, or federal government, he may have it reinstated at any
time within six months of termination of his service in office upon
payment of the appropriate renewal fee, and compliance with the
provisions of Article 2.5 (commencing with Section 10170) of this
chapter, if the relinquished license was issued four or more years
prior to his application for reinstatement.

10161.8.  (a) Whenever a real estate salesman enters the employ of a
real estate broker, the broker shall immediately notify the
commissioner thereof in writing.
   (b) Whenever employment of a real estate salesman is terminated,
the broker shall immediately notify the commissioner thereof in
writing.
   (c) Whenever a licensee acquires a business address different from
the address shown on his license he shall mark out the former
address on the face of the license and type or write the new main
office address in ink on the reverse side, and date and initial same.
   (d) Whenever a real estate salesman enters the employ of a new
real estate broker he shall mark out the name of his former broker on
the face of the license and type or write the name of the new
employing broker in ink on the reverse side, and date and initial
same.

10162.  Every licensed real estate broker shall have and maintain a
definite place of business in the State of California which shall
serve as his office for the transaction of business. This office
shall be the place where his license is displayed and where personal
consultations with clients are held.
   No real estate license authorizes the licensee to do business
except from the location stipulated in the real estate license as
issued or as altered pursuant to Section 10161.8.

10163.  If the applicant for a real estate broker's license
maintains more than one place of business within the State he shall
apply for and procure an additional license for each branch office so
maintained by him. Every such application shall state the name of
the person and the location of the place or places of business for
which such license is desired. The commissioner may determine whether
or not a real estate broker is doing a real estate brokerage
business at or from any particular location which requires him to
have a branch office license.

10165.  For a violation of any of the provisions of Section 10160,
10161.8, 10162, or 10163, the commissioner may temporarily suspend or
permanently revoke the license of the real estate licensee in
accordance with the provisions of this part relating to hearings.