Today's Law As Amended


Bill PDF |Add To My Favorites |Track Bill | print page

AB-1242 Real estate: contracts granting exclusivity to sell: one-year maximum.(2023-2024)



As Amends the Law Today


SECTION 1.

 Section 10142.5 is added to the Business and Professions Code, to read:

10142.5.
 (a) A real estate broker shall not enter into a contract that grants an agent the exclusive right to list or sell in excess of one year.
(b) The total money damages or other compensation to be collected against a consumer for breach of a contract granting a real estate broker the exclusive right to sell for a term in excess of one year, shall not exceed the total compensation, if any, provided to the consumer to entice the consumer to enter into the contract.
(c) A violation of subdivision (a) shall not be subject to the criminal penalties set forth in Section 10185.

SEC. 2.

 Section 27280.2 is added to the Government Code, to read:

27280.2.
 (a) A person shall not knowingly present for recording or filing with a county recorder a memorandum, agreement, instrument, or other document related to an exclusive right to list or sell real estate.
(b) A person who presents for recording or filling with a county recorder a document in violation of this section shall be subject to a civil penalty not to exceed one thousand dollars (1000) per violation.
(b) Civil penalties collected pursuant to this section shall be deposited into the Consumer Recovery Account within the Real Estate Fund.