reglab/statecodes huggingface dataset:
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.

2983. (a) Except as provided in subdivision (b), if the seller, except as the result of an accidental or bona fide error in computation, violates any provision of Section 2981.9, or of subdivision (a), (j), or (k) of Section 2982, the conditional sale contract shall not be enforceable, except by a bona fide purchaser, assignee, or pledgee for value, or until after the violation is corrected as provided in Section 2984, and, if the violation is not corrected, the buyer may recover from the seller the total amount paid, pursuant to the terms of the contract, by the buyer to the seller or his or her assignee. The amount recoverable for property traded in as all or part of the downpayment shall be equal to the agreed cash value of the property as the value appears on the conditional sale contract or the fair market value of the property as of the time the contract is made, whichever is greater.
(b) A conditional sale contract executed or entered into on or after January 1, 2012, shall not be made unenforceable solely because of a violation by the seller of paragraph (2) or (5) of subdivision (a) of Section 2982. In addition to any other remedies that may be available, the buyer is entitled to any actual damages sustained as a result of a violation of those provisions. Nothing in this subdivision affects any legal rights, claims, or remedies otherwise available under law.
(Amended by Stats. 2012, Ch. 162, Sec. 11. (SB 1171) Effective January 1, 2013.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.1.

2983.1. (a) If the seller or holder of a conditional sale contract, except as the result of an accidental or bona fide error of computation, violates any provision of subdivision (l) of Section 2982, the buyer may recover from the person three times the amount of any finance charge paid to that person.
(b) If a holder of a conditional sale contract that includes a guaranteed asset protection waiver, except as the result of an accidental or bona fide error of computation, violates any provision of subdivision (b) of Section 2982.12, the buyer may recover from the holder three times the amount of any guaranteed asset protection charges paid.
(c) Except as provided in subdivision (f), if a holder acquires a conditional sale contract without actual knowledge of the violation by the seller of Section 2981.9, or of subdivision (a), (j), or (k) of Section 2982, the contract shall be valid and enforceable by the holder except the buyer is excused from payment of the unpaid finance charge, unless the violation is corrected as provided in Section 2984.
(d) Except as provided in subdivision (f), if a holder acquires a conditional sale contract with knowledge of a violation of Section 2981.9, or of subdivision (a), (j), or (k) of Section 2982, the conditional sale contract shall not be enforceable except by a bona fide purchaser, assignee, or pledgee for value, or unless the violation is corrected as provided in Section 2984, and, if the violation is not corrected, the buyer may recover the amounts specified in Section 2983 from the person to whom payment was made.
(e) When a conditional sale contract is not enforceable under Section 2983 or this section, the buyer may elect to retain the motor vehicle and continue the contract in force, or may, with reasonable diligence, elect to rescind the contract and return the motor vehicle. The value of the motor vehicle returned shall be credited as restitution by the buyer without any decrease that results from the passage of time in the cash price of the motor vehicle as the price appears on the conditional sale contract.
(f) A conditional sale contract executed or entered into on or after January 1, 2012, shall not be made unenforceable, and the buyer shall not be excused from payment of any finance charge, solely because of a violation by the seller of paragraph (2) or (5) of subdivision (a) of Section 2982. In addition to any other remedies that may be available, the buyer is entitled to any actual damages sustained as a result of a violation of those provisions. Nothing in this subdivision affects any legal rights, claims, or remedies otherwise available under law.
(Amended by Stats. 2022, Ch. 283, Sec. 5. (AB 2311) Effective January 1, 2023.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.35.

2983.35. (a) If a creditor has requested a cosigner as a condition of granting credit to any person for the purpose of acquisition of a motor vehicle, the creditor or holder shall give the cosigner a written notice of delinquency prior to the repossession of the motor vehicle if the motor vehicle is to be repossessed pursuant to the motor vehicle credit agreement. The written notice of delinquency shall be personally served or shall be sent by certified mail, return receipt requested, or first-class mail, postage prepaid, directed to the last known address of the cosigner. If the last known address of the buyer and the cosigner are the same, a single written notice of delinquency given to both the borrower and cosigner prior to repossession satisfies the cosigner notice requirement of this section.
(b) A creditor or holder who fails to comply with this section may not recover any costs associated with the repossession of the vehicle from the cosigner.
(c) This section applies to any motor vehicle credit agreement, notwithstanding Section 2982.5.
(d) The following definitions govern the construction of this section.
(1) “Cosigner” means a buyer who executes a motor vehicle credit agreement but does not in fact receive possession of the motor vehicle that is the subject of the agreement.
(2) “Creditor” means a seller or lender described in paragraph (4).
(3) “Holder” means any other person who is entitled to enforce the motor vehicle credit agreement.
(4) “Motor vehicle credit agreement” means any conditional sales contract as defined in Section 2981 and any contract or agreement in which a lender gives value to enable a purchaser to acquire a motor vehicle and in which the lender obtains a security interest in the motor vehicle.
(Added by Stats. 1996, Ch. 313, Sec. 2. Effective January 1, 1997.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.4.

2983.4. Reasonable attorney’s fees and costs shall be awarded to the prevailing party in any action on a contract or purchase order subject to the provisions of this chapter regardless of whether the action is instituted by the seller, holder or buyer. Where the defendant alleges in his answer that he tendered to the plaintiff the full amount to which he was entitled, and thereupon deposits in court, for the plaintiff, the amount so tendered, and the allegation is found to be true, then the defendant is deemed to be a prevailing party within the meaning of this section.
(Amended by Stats. 1976, Ch. 1285.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.5.

2983.5. (a) An assignee of the seller’s right is subject to all equities and defenses of the buyer against the seller, notwithstanding an agreement to the contrary, but the assignee’s liability may not exceed the amount of the debt owing to the assignee at the time of the assignment.
(b) The assignee shall have recourse against the seller to the extent of any liability incurred by the assignee pursuant to this section regardless of whether the assignment was with or without recourse.
(Amended by Stats. 1975, Ch. 66.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.6.

2983.6. Any person who shall willfully violate any provision of this chapter shall be guilty of a misdemeanor.
(Added by Stats. 1968, Ch. 1338.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.7.

2983.7. No conditional sale contract shall contain any provision by which:
(a) The buyer agrees not to assert against the seller a claim or defense arising out of the sale or agrees not to assert against an assignee such a claim or defense.
(b) A power of attorney is given to confess judgment in this state, or an assignment of wages is given; provided, that nothing herein contained shall prohibit the giving of an assignment of wages contained in a separate instrument pursuant to Section 300 of the Labor Code.
(c) The buyer waives any right of action against the seller or holder of the contract or other person acting on his behalf, for any illegal act committed in the collection of payments under the contract or in the repossession of the motor vehicle.
(d) The buyer executes a power of attorney appointing the seller or holder of the contract, or other person acting on his behalf, as the buyer’s agent in the collection of payments under the contract or in the repossession of the motor vehicle.
(e) The buyer relieves the seller from liability for any legal remedies which the buyer may have against the seller under the contract or any separate instrument executed in connection therewith.
(f) The seller or holder of the contract is given the right to commence action on a contract under the provisions of this chapter in a county other than the county in which the contract was in fact signed by the buyer, the county in which the buyer resides at the commencement of the action, the county in which the buyer resided at the time the contract was entered into, or in the county in which the motor vehicle purchased pursuant to such contract is permanently garaged.
(Added by Stats. 1968, Ch. 1288.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2983.8.

2983.8. Notwithstanding Section 2983.2 or any other provision of law, no deficiency judgment shall lie in any event in any of the following instances:
(a) After any sale of any mobilehome for which a permit is required pursuant to Section 35780 or 35790 of the Vehicle Code for failure of the purchaser to complete his or her conditional sale contract given to the seller to secure payment of the balance of the purchase price of such mobilehome. The provisions of this subdivision shall not apply in the event there is substantial damage to the mobilehome other than wear and tear from normal usage. This subdivision shall apply only to contracts entered into on or after the effective date of the act that enacted this subdivision and before July 1, 1981.
(b) After any sale or other disposition of a motor vehicle unless the court has determined that the sale or other disposition was in conformity with the provisions of this chapter and the relevant provisions of Division 9 (commencing with Section 9101) of the Commercial Code, including Sections 9610, 9611, 9612, 9613, 9614, 9615, and 9626. The determination may be made upon an affidavit unless the court requires a hearing in the particular case.
(Amended by Stats. 1999, Ch. 991, Sec. 8. Effective January 1, 2000. Operative July 1, 2001, by Sec. 75 of Ch. 991.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.

2984. Any failure to comply with any provision of this chapter (commencing with Section 2981) may be corrected by the holder, provided, however, that a willful violation may not be corrected unless it is a violation appearing on the face of the contract and is corrected within 30 days of the execution of the contract or within 20 days of its sale, assignment or pledge, whichever is later, provided that the 20-day period shall commence with the initial sale, assignment or pledge of the contract, and provided that any other violation appearing on the face of the contract may be corrected only within such time periods. A correction which will increase the amount of the contract balance or the amount of any installment as such amounts appear on the conditional sale contract shall not be effective unless the buyer concurs in writing to the correction. If notified in writing by the buyer of such a failure to comply with any provision of this chapter, the correction shall be made within 10 days of notice. Where any provision of a conditional sale contract fails to comply with any provision of this chapter, the correction shall be made by mailing or delivering a corrected copy of the contract to the buyer. Any amount improperly collected by the holder from the buyer shall be credited against the indebtedness evidenced by the contract or returned to the buyer. A violation corrected as provided in this section shall not be the basis of any recovery by the buyer or affect the enforceability of the contract by the holder and shall not be deemed to be a substantive change in the agreement of the parties.
(Amended by Stats. 1963, Ch. 838.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.1.

2984.1. Every conditional sale contract shall contain a statement in contrasting red print in at least 8-point bold type which shall satisfy the requirements of Section 5604 of the Vehicle Code and be signed or initialed by the buyer, as follows:
THE MINIMUM PUBLIC LIABILITY INSURANCE LIMITS PROVIDED IN LAW MUST BE MET BY EVERY PERSON WHO PURCHASES A VEHICLE. IF YOU ARE UNSURE WHETHER OR NOT YOUR CURRENT INSURANCE POLICY WILL COVER YOUR NEWLY ACQUIRED VEHICLE IN THE EVENT OF AN ACCIDENT, YOU SHOULD CONTACT YOUR INSURANCE AGENT.
WARNING:
YOUR PRESENT POLICY MAY NOT COVER COLLISION DAMAGE OR MAY NOT PROVIDE FOR FULL REPLACEMENT COSTS FOR THE VEHICLE BEING PURCHASED. IF YOU DO NOT HAVE FULL COVERAGE, SUPPLEMENTAL COVERAGE FOR COLLISION DAMAGE MAY BE AVAILABLE TO YOU THROUGH YOUR INSURANCE AGENT OR THROUGH THE SELLING DEALER. HOWEVER, UNLESS OTHERWISE SPECIFIED, THE COVERAGE YOU OBTAIN THROUGH THE DEALER PROTECTS ONLY THE DEALER, USUALLY UP TO THE AMOUNT OF THE UNPAID BALANCE REMAINING AFTER THE VEHICLE HAS BEEN REPOSSESSED AND SOLD.
FOR ADVICE ON FULL COVERAGE THAT WILL PROTECT YOU IN THE EVENT OF LOSS OR DAMAGE TO YOUR VEHICLE, YOU SHOULD CONTACT YOUR INSURANCE AGENT.
THE BUYER SHALL SIGN TO ACKNOWLEDGE THAT HE/SHE UNDERSTANDS THESE PUBLIC LIABILITY TERMS AND CONDITIONS.
s/s ____________.
No person shall print for use as a sales contract form, any form which does not comply with this section.
(Amended by Stats. 1988, Ch. 177, Sec. 1.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.2.

2984.2. (a) No conditional sale contract, and no agreement between a seller and a buyer made in connection with a conditional sale contract, may provide for the inclusion of title to or a lien upon any property other than the following:
(1) The motor vehicle which is the subject matter of the sale, including any replacement of that motor vehicle, or accessories, accessions, or replacement of those accessories or accessions, or proceeds thereof.
(2) The proceeds of any insurance policies covering the motor vehicle which are required by the seller or the returned premiums of any such policies if the premiums for such policies are included in the amount financed.
(3) The proceeds of any credit insurance policies which the buyer purchases in connection with the motor vehicle conditional sale contract or the returned premiums of any such policies if the premiums for such policies are included in the amount financed.
(4) The proceeds and returned price of any service contract if the cost of such contract is included in the amount financed.
(b) Subdivision (a) shall not apply to any agreement which meets the requirements of subdivision (b) of Section 2982.5 and otherwise complies with this chapter, nor, with respect to a mobilehome sold prior to July 1, 1981, to any agreement whereby a security interest is taken in real property on which the mobilehome is installed on a foundation system pursuant to Section 18551 of the Health and Safety Code.
(c) A provision in violation of this section shall be void.
(Amended by Stats. 1987, Ch. 1043, Sec. 1.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.3.

2984.3. Any acknowledgment by the buyer of delivery of a copy of a conditional sale contract or purchase order and any vehicle purchase proposal and any credit statement that the seller has required or requested the buyer to sign, and that he or she has signed, during the contract negotiations, shall be printed or written in size equal to at least 10-point boldface type and, if contained in the contract, shall appear directly above the space reserved for the buyer’s signature or adjacent to any other notices required by law to be placed immediately above the signature space. The buyer’s written acknowledgment, conforming to the requirements of this section, of delivery of a completely filled-in copy of the contract, and a copy of the other documents shall be a rebuttable presumption of delivery in any action or proceeding by or against a third party without knowledge to the contrary when he or she acquired his or her interest in the contract. If the third party furnishes the buyer a copy of the documents, or a notice containing the disclosures identified in subdivision (a) of Section 2982, and stating that the buyer shall notify the third party in writing within 30 days if a copy of the documents was not furnished, and that notification is not given, it shall be conclusively presumed in favor of the third party that copies of the documents were furnished as required by this chapter.
(Amended by Stats. 1994, Ch. 146, Sec. 15. Effective January 1, 1995.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.4.

2984.4. (a) An action on a contract or purchase order under this chapter shall be tried in the superior court in the county where the contract or purchase order was in fact signed by the buyer, where the buyer resided at the time the contract or purchase order was entered into, where the buyer resides at the commencement of the action, or where the motor vehicle purchased pursuant to the contract or purchase order is permanently garaged.
In any action involving multiple claims, or causes of action, venue shall lie in those courts if there is at least one claim or cause of action arising from a contract subject to this chapter.
(b) In the superior court designated as the proper court in subdivision (a), the proper court location for trial of an action under this chapter is the location where the court tries that type of action that is nearest or most accessible to where the contract, conditional sale contract, or purchase order was in fact signed by the buyer, where the buyer resided at the time the contract, conditional sale contract, or purchase order was entered into, where the buyer resides at the commencement of the action, or where the motor vehicle purchased pursuant to the contract is permanently garaged. Otherwise, any location of the superior court designated as the proper superior court in subdivision (a) is the proper court location for the trial of the action. The court may specify by local rule the nearest or most accessible court location where the court tries that type of case.
(c) In any action subject to this section, concurrently with the filing of the complaint, the plaintiff shall file an affidavit stating facts showing that the action has been commenced in a superior court and court location described in this section as a proper place for the trial of the action. Those facts may be stated in a verified complaint and shall not be stated on information or belief. When that affidavit is filed with the complaint, a copy shall be served with the summons. If a plaintiff fails to file the affidavit or state facts in a verified complaint required by this section, no further proceedings may occur, but the court shall, upon its own motion or upon motion of any party, dismiss the action without prejudice. The court may, on terms that are just, permit the affidavit to be filed subsequent to the filing of the complaint and a copy of the affidavit shall be served on the defendant. The time to answer or otherwise plead shall date from that service.
(Amended by Stats. 2002, Ch. 806, Sec. 2. Effective January 1, 2003.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.5.

2984.5. (a) A seller shall maintain the following documents for at least seven years or the length of the conditional sales contract, whichever is longer:
(1) A copy of each buyer’s conditional sales contract.
(2) Any documents relied upon by the seller to determine a buyer’s creditworthiness, including, but not limited to, any consumer credit report, as defined in Section 1785.3, or any other document containing a buyer’s credit score, as defined in Section 1785.15.1.
(3) If the conditional sales contract is sold, assigned, or otherwise transferred, a copy of the terms of that sale, assignment, or transfer.
(b) A seller that unlawfully fails to comply with a court order to produce the documents described in subdivision (a) shall be liable in an action brought by the Attorney General for a civil penalty of five thousand dollars ($5,000) per violation. The penalties provided by this section are in addition to all rights and remedies that are otherwise available under law.
(Added by Stats. 2003, Ch. 59, Sec. 1. Effective January 1, 2004.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2b - Automobile Sales Finance Act › Section 2984.6.

2984.6. A holder of a conditional sales contract, purchase order, or security interest, or the agent of a holder, who has received a notice pursuant to Section 7507.6 of the Business and Professions Code, shall not make a subsequent assignment to skip trace, locate, or repossess the vehicle without simultaneously, and in the same manner by which the assignment is given, advising the assignee of the assignment of the information contained in the notice. As used in this section, “assignment” has the same meaning set forth in Section 7500.1 of the Business and Professions Code.
(Added by Stats. 2007, Ch. 192, Sec. 4. Effective September 7, 2007.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.

2985. (a) A real property sales contract is an agreement in which one party agrees to convey title to real property to another party upon the satisfaction of specified conditions set forth in the contract and that does not require conveyance of title within one year from the date of formation of the contract.
(b) For purposes of this chapter only, a real property sales contract does not include a contract for purchase of an attached residential condominium unit entered into pursuant to a conditional public report issued by the Bureau of Real Estate pursuant to Section 11018.12 of the Business and Professions Code.
(Amended by Stats. 2013, Ch. 352, Sec. 53. (AB 1317) Effective September 26, 2013. Operative July 1, 2013, by Sec. 543 of Ch. 352.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.1.

2985.1. A real property sales contract may not be transferred by the fee owner of the real property unless accompanied by a transfer of the real property which is the subject of the contract, and real property may not be transferred by the fee owner thereof unless accompanied by an assignment of the contract.
Nothing herein shall be deemed to prohibit the assignment or pledge of a real property sales contract, as security or for the purpose of effecting collection thereon, to the holder of a first lien on the real property which is the subject of the contract without a transfer of the real property or the transfer of a fee title in trust without the concurrent assignment of the sales contract.
(Amended by Stats. 1963, Ch. 71.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.2.

2985.2. Any person, or the assignee of such person, who sells a parcel of land under a sales contract which is not recorded and who thereafter causes an encumbrance or encumbrances not consented to in writing by the parties upon such property in an amount which, together with existing encumbrances thereon exceeds the amount then due under the contract, or under which the aggregate amount of any periodic payments exceeds the periodic payments due on the contract, excluding any pro rata amount for insurance and taxes, shall be guilty of a public offense punishable by a fine not exceeding ten thousand dollars ($10,000), or by imprisonment pursuant to subdivision (h) of Section 1170 of the Penal Code, or in a county jail not exceeding one year, or by both that fine and imprisonment.
(Amended by Stats. 2011, Ch. 15, Sec. 36. (AB 109) Effective April 4, 2011. Operative October 1, 2011, by Sec. 636 of Ch. 15, as amended by Stats. 2011, Ch. 39, Sec. 68.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.3.

2985.3. Every seller of improved or unimproved real property under a real property sales contract, or his assignee, who knowingly receives an installment payment from the buyer under a real property sales contract at a time when there is then due any payment by the seller, or his assignee, on an obligation secured by an encumbrance on the property subject to the real property sales contract, and who appropriates such payment received from the buyer to a use other than payment of the amount then due on the seller’s or assignee’s obligation, except to the extent the payment received from the buyer exceeds the amount due from the seller or assignee, is guilty of a public offense punishable by a fine not exceeding ten thousand dollars ($10,000), or by imprisonment pursuant to subdivision (h) of Section 1170 of the Penal Code, or in a county jail not exceeding one year, or by both that fine and imprisonment.
(Amended by Stats. 2011, Ch. 15, Sec. 37. (AB 109) Effective April 4, 2011. Operative October 1, 2011, by Sec. 636 of Ch. 15, as amended by Stats. 2011, Ch. 39, Sec. 68.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.4.

2985.4. Every seller of improved or unimproved real property under a real property sales contract who receives pro rata payments for insurance and taxes shall hold these amounts in trust for the purpose designated. These amounts shall not be disbursed for any other purpose without the consent of the payor and any person or corporation holding an encumbrance on the property.
This section shall not apply to a state- or federal-supervised assignee of a seller who as agent for the seller receives and disburses payments.
(Added by Stats. 1963, Ch. 560.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.5.

2985.5. Every real property sales contract entered into after January 1, 1966, shall contain a statement of:
(a) The number of years required to complete payment in accordance with the terms of the contract.
(b) The basis upon which the tax estimate is made.
(Added by Stats. 1965, Ch. 1214.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2c - Real Property Sales Contracts › Section 2985.6.

2985.6. (a) A buyer shall be entitled to prepay all or any part of the balance due on any real property sales contract with respect to the sale of land which has been subdivided into a residential lot or lots which contain a dwelling for not more than four families entered into on or after January 1, 1969; provided, however, that the seller, by an agreement in writing with the buyer, may prohibit prepayment for up to a 12-month period following the sale.
(b) Any waiver by the buyer of the provisions of this section shall be deemed contrary to public policy and shall be unenforceable and void; provided, however, that any such waiver shall in no way affect the validity of the remainder of the contract.
(Amended by Stats. 1978, Ch. 565.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2985.71.

2985.71. (a) Any solicitation to enter into a lease contract that includes any of the following items shall contain the disclosures described in subdivision (b):
(1) The amount of any payment.
(2) A statement of any capitalized cost reduction or other payment required prior to or at consummation or by delivery, if delivery occurs after consummation.
(3) A statement that no capitalized cost reduction or other payment is required prior to or at consummation or by delivery, if delivery occurs after consummation.
(b) A solicitation to enter into a lease contract that includes any item listed in subdivision (a) shall also clearly and conspicuously state all of the following items:
(1) All of the disclosures prescribed by Regulation M set forth in the manner required or permitted by Regulation M, whether or not Regulation M applies to the transaction.
(2) The mileage limit after which mileage charges may accrue and the charge per mile for mileage in excess of the stated mileage limit.
(3) The statement “Plus tax and license” or a substantially similar statement, if amounts due for use tax, license fees, and registration fees are not included in the payments.
(c) No solicitation to aid, promote, or assist directly or indirectly any lease contract may state that a specific lease of any motor vehicle at specific amounts or terms is available unless the lessor usually and customarily leases or will lease that motor vehicle at those amounts or terms.
(d) A failure to comply with the provisions of this section shall not affect the validity of the leasing contract. No owner or employee of any entity, other than the lessor, that serves as a medium in which a lease solicitation appears or through which a lease solicitation is disseminated, shall be liable under this section.
(e) This section shall remain in effect only until July 1, 2024, and as of that date is repealed.
(Amended by Stats. 2023, Ch. 400, Sec. 5. (SB 478) Effective January 1, 2024. Repealed as of July 1, 2024, by its own provisions. See later operative version added by Sec. 6 of Stats. 2023, Ch. 400.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2985.71.

2985.71. (a) Any solicitation to enter into a lease contract that includes any of the following items shall contain the disclosures described in subdivision (b):
(1) The amount of any payment.
(2) A statement of any capitalized cost reduction or other payment required prior to or at consummation or by delivery, if delivery occurs after consummation.
(3) A statement that no capitalized cost reduction or other payment is required prior to or at consummation or by delivery, if delivery occurs after consummation.
(b) A solicitation to enter into a lease contract that includes any item listed in subdivision (a) shall also clearly and conspicuously state all of the following items:
(1) All of the disclosures prescribed by Regulation M set forth in the manner required or permitted by Regulation M, whether or not Regulation M applies to the transaction.
(2) The mileage limit after which mileage charges may accrue and the charge per mile for mileage in excess of the stated mileage limit.
(3) The statement “Plus tax and license” or a substantially similar statement, if amounts due for use tax, license fees, and registration fees are not included in the payments.
(c) No solicitation to aid, promote, or assist directly or indirectly any lease contract may state that a specific lease of any motor vehicle at specific amounts or terms is available unless the lessor usually and customarily leases or will lease that motor vehicle at those amounts or terms.
(d) A failure to comply with the provisions of this section shall not affect the validity of the leasing contract. No owner or employee of any entity, other than the lessor, that serves as a medium in which a lease solicitation appears or through which a lease solicitation is disseminated, shall be liable under this section.
(e) A lessor is not in violation of paragraph (29) of subdivision (a) of Section 1770 because it excludes from the advertised, displayed, or offered lease payment a fee or charge in accordance with paragraph (3) of subdivision (b).
(f) This section shall become operative on July 1, 2024.
(Repealed (in Sec. 5) and added by Stats. 2023, Ch. 400, Sec. 6. (SB 478) Effective January 1, 2024. Operative July 1, 2024, by its own provisions.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2985.9.

2985.9. The following documents and agreements are not required to be contained in a lease contract:
(a) An “express warranty,” as that term is defined in paragraph (1) of subdivision (a) of Section 1791.2, whether it relates to the sale or lease of a consumer good.
(b) Titling and transfer documents utilized to register, title, or transfer ownership of vehicles described in the lease contract with government registration authorities.
(c) Insurance policies, service contracts, and optional debt cancellation agreements.
(d) Documents that memorialize the sale or lease of goods or services, relating to the leased vehicle, between the provider of those goods or services and lessee that are included in the gross capitalized cost of the lease and separately itemized in the “Itemization of Gross Capitalized Cost.”
(Added by Stats. 2001, Ch. 287, Sec. 3. Effective January 1, 2002.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.3.

2986.3. No lease contract shall contain any provision by which:
(a) A power of attorney is given to confess judgment in this state, or an assignment of wages is given; provided that nothing herein contained shall prohibit the giving of an assignment of wages contained in a separate instrument pursuant to Section 300 of the Labor Code.
(b) The lessee waives any right of action against the lessor or holder of the contract or other person acting on his or her behalf for any illegal act committed in the collection of payments under the contract or in the repossession of the motor vehicle.
(c) The lessee relieves the lessor from liability for any legal remedies which the lessee may have against the lessor under the contract or any separate instruments executed in connection therewith.
(d) The lessor or holder of the contract is given the right to commence action on a contract under the provisions of this chapter in a county other than the county in which the contract was in fact signed by the lessee, the county in which the lessee resides at the commencement of the action, the county in which the lessee resided at the time the contract was entered into or in the county in which the motor vehicle leased pursuant to such contract is permanently garaged.
(Amended by Stats. 1997, Ch. 800, Sec. 9. Effective January 1, 1998.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.4.

2986.4. Any acknowledgment by the lessee of delivery of a copy of a lease contract or purchase order and any vehicle lease proposal and any credit statement which the lessor has required or requested the lessee to sign, and which the lessee has signed, during the contract negotiations, shall be printed or written in size equal to at least 10-point bold type and, if contained in the contract, shall appear directly above the space reserved for the lessee’s signature. The lessee’s written acknowledgment, conforming to the requirements of this section, of delivery of a completely filled in copy of the contract, and a copy of such other documents shall be a rebuttable presumption of delivery in any action or proceeding by or against a third party without knowledge to the contrary when he or she acquired his or her interest in the contract. If such third party furnishes the lessee a copy of such documents, or a notice containing items set forth in subdivision (c) of Section 2985.8, and stating that the lessee shall notify such third party in writing within 30 days if he or she was not furnished a copy of such documents, and no such notification is given, it shall be conclusively presumed in favor of such a third party that copies of the documents were furnished as required by this chapter.
(Amended by Stats. 1997, Ch. 800, Sec. 10. Effective January 1, 1998.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.5.

2986.5. (a) No person shall lease a used motor vehicle for operation on California highways if such vehicle does not meet all of the equipment requirements of Division 12 (commencing with Section 24000) of the Vehicle Code. This subdivision does not apply to an extension or a subsequent lease of the same motor vehicle to the same lessee.
(b) If a lessee of a vehicle pays to the lessor an amount for the licensing or transfer of title of the vehicle which amount is in excess of the actual fees due for such licensing or transfer, or which amount is in excess of the amount which has been paid, prior to the sale, by the lessor to the state in order to avoid penalties that would have accrued because of late payment of such fees, the lessor shall return such excess amount to the lessee, whether or not such lessee requests the return of the excess amount.
(Added by Stats. 1976, Ch. 1284.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.6.

2986.6. No agreement in connection with a lease contract which provides for the inclusion of title to or a lien upon any personal or real property, other than the motor vehicle which is the subject matter of the lease contract, or accessories therefor, or special and auxiliary equipment used in connection therewith, as security for the payment of the contract obligations, shall be enforceable. This section does not apply to a security deposit, advance payment of rent or other cash prepayment.
(Added by Stats. 1976, Ch. 1284.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.10.

2986.10. (a) An assignee of the lessor’s rights is subject to all equities and defenses of the lessee against the lessor, notwithstanding an agreement to the contrary, but the assignee’s liability may not exceed the amount of the obligation owing to the assignee at the time of the assignment.
(b) The assignee shall have recourse against the lessor to the extent of any liability incurred by the assignee pursuant to this section regardless of whether the assignment was with or without recourse.
(Added by Stats. 1976, Ch. 1284.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.12.

2986.12. It shall be unlawful for any lessor to induce or attempt to induce any person to enter into a contract subject to this chapter by offering a rebate, discount, commission or other consideration, on the condition that the lessee gives information or assistance for the purpose of enabling a lessor to either lease or sell a motor vehicle to another.
(Added by Stats. 1976, Ch. 1284.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2986.13.

2986.13. (a) Any payment made by a lessee to a lessor pending the execution of a lease contract shall be refunded to the lessee in the event the lease contract is not executed.
(b) In the event of breach by the lessor of a lease contract where the lessee leaves his or her motor vehicle with the lessor as a trade-in downpayment and the motor vehicle is not returned by the lessor to the lessee for whatever reason, the lessee may recover from the lessor either the fair market value of the motor vehicle left as a downpayment or its value as stated in the lease contract, whichever is greater. The recovery shall be tendered to the lessee within five business days after the breach.
(c) The remedies of the buyer provided for in subdivision (b) are nonexclusive and cumulative and shall not preclude the lessee from pursuing any other remedy which he or she may have under any other provision of law.
(Amended by Stats. 1997, Ch. 800, Sec. 11. Effective January 1, 1998.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2988.

2988. (a) The Legislature finds that it is necessary to provide some protection for consumers who enter into lease contracts in which the lessee will bear the risk of the motor vehicle’s depreciation. This section is intended to provide relief to the consumer when an ostensibly inexpensive lease contract establishes an excessively low level of periodic payment which results, conversely, in an excessively high liability being imposed on the lessee at the expiration of the lease term because the lessor has failed to act in good faith in either estimating a residual value of the motor vehicle or establishing a level of periodic payment which bears no reasonable relation to the motor vehicle’s reasonably expected depreciation during the lease term. Therefore, the lessor will have the obligation to act in good faith and to come forward with competent evidence showing that the estimated residual value was so determined given the circumstances existing at the inception of the lease contract.
(b) Where the lessee is to bear the risk of the motor vehicle’s depreciation and the lessee’s liability on expiration of a consumer lease is based on the estimated residual value of the motor vehicle such estimated residual value shall be a reasonable approximation of the anticipated actual fair market value of the motor vehicle on lease expiration. There shall be a rebuttable presumption that the estimated residual value is unreasonable to the extent that the estimated residual value exceeds the actual residual value by more than three times the average payment allocable to a monthly period under the lease. The presumption stated in the preceding sentence shall not apply to the extent the excess of estimated over actual residual value is due to physical damage to the motor vehicle beyond reasonable wear and use, or to excessive use, and the lease may set standards for such wear and use if such standards are not unreasonable.
(c) For the purposes of this chapter, “fair market value” means the value the motor vehicle would have when sold in a commercially reasonable manner in the customary market for such motor vehicle.
(Added by Stats. 1976, Ch. 1284.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2988.7.

2988.7. If the lessor fails to comply with Section 2985.8, as an alternative to an action under Section 2988.5, the lessee may rescind the contract if the failure to comply was willful, or if correction will increase the amount of the contract balance, unless the lessor waives the collection of the increased amount.
(Added by Stats. 1976, Ch. 1284.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2988.9.

2988.9. Reasonable attorney’s fees and costs shall be awarded to the prevailing party in any action on a lease contract subject to the provisions of this chapter regardless of whether the action is instituted by the lessor, assignee, or lessee. Where the defendant alleges in his or her answer that he or she tendered to the plaintiff the full amount to which he or she was entitled, and thereupon deposits in court, for the plaintiff, the amount so tendered, and the allegation is found to be true, then the defendant is deemed to be the prevailing party within the meaning of this section.
(Amended by Stats. 2004, Ch. 183, Sec. 42. Effective January 1, 2005.)
2023 California Code › Civil Code - CIV › DIVISION 3 - OBLIGATIONS › PART 4 - OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS › TITLE 14 - LIEN › CHAPTER 2d - Vehicle Leasing Act › Section 2989.

2989. No civil action shall be filed against a lessor under the authority of this chapter if a federal civil action has previously been filed based on facts that give rise to a similar cause of action under this chapter.
(Added by Stats. 1976, Ch. 1284.)