Code Section

Corporations Code - CORP

TITLE 4. SECURITIES [25000 - 31516]

  ( Title 4 added by Stats. 1949, Ch. 384. )
  

DIVISION 5. FRANCHISE INVESTMENT LAW [31000 - 31516]

  ( Division 5 added by Stats. 1970, Ch. 1400. )
  

PART 2. REGULATION OF THE SALE OF FRANCHISES [31100 - 31157]

  ( Part 2 added by Stats. 1970, Ch. 1400. )
  

CHAPTER 2. Disclosure [31110 - 31125]
  ( Chapter 2 added by Stats. 1970, Ch. 1400. )

  
31116.  

(a) Except as provided in subdivision (b), if no stop order under Section 31115 is in effect under this law, registration of the offer of franchises automatically becomes effective at 12 p.m., California time, of the 30th business day after the filing of a complete application for registration or the last preeffective amendment thereto, or at an earlier time that the commissioner determines.

(b) With respect to any application for registration or the last amendment thereto filed between January 1, 1971, and March 15, 1971, if no stop order under Section 31115 is in effect under this law, registration becomes effective on April 15, 1971; with respect to any application filed after March 15, 1971, and before May 10, 1971, if no stop order under Section 31115 is in effect under this law, registration becomes effective on June 1, 1971, or the 15th business day after the filing, whichever is the later, or at an earlier time that the commissioner determines.

(c) For purposes of this section, “complete application” means an application that contains the appropriate filing fee, Uniform Franchise Disclosure Document, and all additional exhibits, including financial statements in conformity with regulations of the commissioner. “Preeffective amendment” means an amendment to an application that is filed before the effective date of the registration of the sale of franchises.

(Amended by Stats. 2015, Ch. 303, Sec. 48. (AB 731) Effective January 1, 2016.)