2015 New Law Affecting REALTORS The use of a team name does not require application to CalBRE for a separate license to be issued for that name. Sales agents may contract to maintain ownership of their own fictitious business names. This CAR sponsored law authorizes the use of team names under the California Business and Professions Code. (Presently, it is only by virtue of CalBRE’s Bulletin from Spring 2013 is their use permitted). Under the new law, the use of a team name no longer requires the broker to apply to CalBRE for the issuance of a separate license, and does not constitute a fictitious business name if: •The name is used by two or more real estate licensees •The name includes a licensee’s surname in conjunction with the term “associates,” “group,” or “team” •And the name does not include any term or terms that imply or suggest the existence of a real estate entity independent of a responsible broker. Despite the above, a team name may still have to be recorded with the county recorder (under existing law). Advertising that contains a team name, including print or electronic media and “for sale” signs, must adhere to the following: •The licensee’s name and license number, and shall be displayed in a conspicuous manner. •The responsible broker’s identity shall be displayed as prominently and conspicuously as the team name. •The advertising material shall not contain terms that imply the existence of a real estate entity independent of the responsible broker. Fictitious Business Names Owned by a Salesperson This law confirms that a sales agent may maintain ownership of a fictitious business name if permitted by contract with the broker. Additionally, the broker may, by contract, permit the agent to file an application for a fictitious business name with the county clerk on the broker’s behalf, deliver to CalBRE an application signed by the broker for use of the fictitious business name, and pay for any associated fees to the county or CalBRE. Nonetheless a salesperson using a fictitious business name shall use that name only as permitted by his or her responsible broker. Marketing and solicitation materials using a fictitious business name owned by a sales person, including business cards, print or electronic media and “for sale” signs, shall include: • The responsible broker’s identity in a manner equally as prominent as the fictitious business name, and • The salesperson’s name and license number Assembly Bill 2018 codified as Business and Professions Code §§10159.5, 10159.6 and 10159.7. Effective date is January 1, 2015
Posted on: Thu, 08 Jan 2015 17:46:35 +0000
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