California Code of Regulations › Title 25 - Housing and Community Development › Division 1 - Housing and Community Development › Chapter 4 - Manufactured Housing Sales, Occupational Licensing and Education › Subchapter 1 - Sales and Occupational Licensing › Article 5 - Advertising Listing Agreements and Sales Practices › Section 5057 - Representations

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
A dealer or salesperson shall not do any of the
						following:
(a) Knowingly make a
					 material misrepresentation to the owner or seller of a MH-Unit or commercial
					 modular of its likely market value, either for the purpose of securing a
					 listing or for the purpose of acquiring an interest in the MH-Unit or
					 commercial modular for the licensee's own account.
(b) State or imply to an owner or seller of a
					 MH-Unit or commercial modular during listing negotiations that the licensee is
					 precluded by law, regulation or by the rules of any group or organization of
					 licensees, from charging less than the commission or fee quoted to the owner by
					 the licensee.
(c) Fail in a
					 transaction for the sale, lease or exchange of a MH-Unit or commercial modular
					 to disclose to a prospective purchaser or lessee facts known to the licensee
					 materially affecting the value or desirability of the MH-Unit or commercial
					 modular, when the licensee has reason to believe that such facts are not known
					 to, nor readily observable by a prospective purchaser or lessee.
(d) When seeking a listing, represent to an
					 owner or seller of the MH-Unit or commercial modular that the soliciting
					 licensee has obtained a bona fide written offer to purchase the MH-Unit or
					 commercial modular, unless at the time of representation the licensee has
					 possession of a bona fide written offer to purchase.
(e) Fail to present or cause to be presented
					 to the registered owner or seller of the MH-Unit or commercial modular any
					 offer to purchase or lease received prior to the preparation of the purchase
					 documents or rental agreement.
(f)
					 Present competing offers to the seller to purchase the MH-Unit or commercial
					 modular in such a manner as to induce the owner or seller to accept the offer
					 which will provide the greatest compensation to the dealer, without regard to
					 the benefits, advantages, and/or disadvantages to the owner or
					 seller.
(g) Knowingly underestimate
					 the probable closing costs in a transaction in a communication to the
					 prospective purchaser or seller of a MH-Unit or commercial modular in order to
					 induce that person to make or to accept an offer to purchase the MH-Unit or
					 commercial modular.
(h) Fail to
					 explain to the parties or prospective parties to a transaction the meaning and
					 probable significance of a contingency in an offer or contract that the
					 licensee knows or reasonably believes may affect the closing date of the
					 transaction, or the timing of the vacating of the MH-Unit or commercial modular
					 by the seller or its occupancy by the purchaser.
(i) Knowingly make a false or misleading
					 representation to the seller or purchaser of a MH-Unit or commercial modular as
					 to the form, amount and/or treatment of a deposit toward purchase.
(j) Refund all or part of an offeror's
					 purchase money deposit in a MH-Unit or commercial modular sales transaction
					 after the registered owner has accepted the offer to purchase, unless the
					 licensee has the express permission of the registered owner to make the
					 refund.
(k) Fail to disclose the
					 registered owner of a MH-Unit or commercial modular the nature and extent of
					 any direct or indirect ownership interest or security interest that the
					 licensee expects to acquire as a result of the sale. The prospective purchase
					 of the MH-Unit or commercial modular by a person related to the licensee by
					 blood or marriage, by an entity in which the licensee has an ownership
					 interest, or by any other person with whom the licensee occupies a special
					 relationship shall be disclosed.
(l) Represent, without a reasonable basis,
					 the nature and/or condition of the interior or exterior features or accessories
					 of a MH-Unit or commercial modular when soliciting an offer.
(m) Represent, without a reasonable basis, in
					 the case of the MH-Unit located in a mobilehome park, any characteristics of
					 the mobilehome park or its operation, when soliciting an offer.
(n) Fail to respond to reasonable inquiries
					 of a seller as to the status or extent of efforts to market the MH-Unit or
					 commercial modular listed exclusively with the licensee.
(o) Fail to disclose to a potential purchaser
					 when discussing the purchase of a MH-Unit or commercial modular, the existence
					 of any direct or indirect ownership interest or security interest of the
					 licensee in the MH-Unit or commercial modular.
(p) Fail to disclose to a prospective
					 purchaser of a used MH-Unit that it may become subject to the age limitations
					 as specified in Section 798.73 of the Civil Code within three (3) years from
					 the date of sale to the prospective purchaser.
1.
						Certificate of Compliance including amendment transmitted to OAL 11-3-82 filed
						12-15-82 (Register 82, No. 51).
2. Amendment of subsections (k) and
						(o) filed 2-1-84; effective upon filing pursuant to Government Code Section
						11346.2(d) (Register 84, No. 5).
3. Amendment of section and NOTE
						filed 1-29-2010; operative 1-29-2010 pursuant to Government Code section
						11343.4 (Register 2010, No. 5).
Note: Authority cited: Section 18015, Health and Safety
						  Code. Reference: Sections 18007, 18008, 18008.7, 18061, 18062 and 18062.2,
						  Health and Safety Code; Section 798.73, Civil
						  Code.