Current through Register 2024 Notice Reg. No. 38, September 20, 2024
(a) The following criteria have been developed and
will be considered by the Bureau pursuant to Section
482
of the Business and Professions Code for the purpose of evaluating whether or not an
applicant is rehabilitated for purposes of issuance or for reinstatement of a
license:
(1) The time that has elapsed since
commission of the acts(s) or offense(s):
(A) The
passage of less than two years after the most recent criminal conviction or act of
the applicant that is a cause of action in the Bureau's Statement of Issues against
the applicant is inadequate to demonstrate rehabilitation.
(B) Notwithstanding subdivision (a)(1)(A), above,
the two year period may be increased based upon consideration of the following:
(i) The nature and severity of the crime(s) and/or
act(s) committed by the applicant.
(ii)
The applicant's history of criminal convictions and/or license discipline that are
"substantially related" to the qualifications, functions, or duties of a real estate
licensee. However, no rehabilitation shall be required where the sole proven basis
or bases for denial of an application is an expunged conviction as described in
Business and Professions Code Section
480(c).
(2) Restitution to any person who has suffered
monetary losses through "substantially related" acts or omissions of the applicant,
or escheat to the State of these monies or other properties if the victim(s) cannot
be located.
(3) Expungement of criminal
convictions.
(4) Expungement or
discontinuance of a requirement of registration pursuant to the provisions of
Section
290 of the Penal
Code.
(5) Successful completion or early
discharge from probation or parole.
(6)
Abstinence from the use of controlled substances and/or alcohol for not less than
two years if the conduct which is the basis to deny the Bureau action sought is
attributable in part to the use of controlled substances and/or alcohol.
(7) Payment of the fine and/or other monetary
penalty imposed in connection with a criminal conviction or quasi-criminal
judgment.
(8) Stability of family life
and fulfillment of parental and familial responsibilities subsequent to the
conviction or conduct that is the basis for denial of the Bureau action
sought.
(9) Completion of, or sustained
enrollment in, formal education or vocational training courses for economic
self-improvement.
(10) Discharge of, or
bona fide efforts toward discharging, adjudicated debts or monetary obligations to
others.
(11) Correction of business
practices resulting in injury to others or with the potential to cause such
injury.
(12) Significant or
conscientious involvement in community, church or privately-sponsored programs
designed to provide social benefits or to ameliorate social problems.
(13) New and different social and business
relationships from those which existed at the time of the conduct that is the basis
for denial of the Bureau action sought.
(14) Change in attitude from that which existed at
the time of the conduct in question as evidenced by the following:
(A) Testimony and/or other evidence of
rehabilitation submitted by the applicant.
(B) Evidence from family members, friends and/or
other persons familiar with applicant's previous conduct and with his or her
subsequent attitudes and/or behavioral patterns.
(C) Evidence from probation or parole officers
and/or law enforcement officials competent to testify as to applicant's social
adjustments.
(D) Evidence from
psychiatrists or other persons competent to testify with regard to neuropsychiatric
or emotional disturbances.
(E) Absence
of subsequent felony convictions, misdemeanor convictions, or other conduct that
provides grounds to discipline a real estate licensee, which reflect an inability to
conform to societal rules when considered in light of the conduct in
question.
(b) The
SAFE Act, commencing with section
10166.01
of the Business and Professions Code, imposes specific conditions that apply to
applications for a mortgage loan originator license endorsement. Each of the above
criteria notwithstanding, no mortgage loan originator license endorsement shall be
issued to an applicant for such license endorsement where the applicant:
(1) Has been convicted of any felony during the
seven year period preceding the date of his or her application for a license
endorsement. This ban is not subject to mitigation or rehabilitation unless the
felony conviction has been expunged or pardoned, or unless the real estate licensee
has obtained a certificate of rehabilitation under Chapter 3.5 (commencing with
Section 4852.01) of Title 6 of Part 3 of the Penal Code.
(2) Has ever been convicted of a felony where such
felony involved an act of fraud, dishonesty, a breach of trust, or money laundering.
This ban is not subject to mitigation or rehabilitation unless the felony conviction
has been expunged or pardoned, or unless the real estate licensee has obtained a
certificate of rehabilitation under Chapter 3.5 (commencing with Section 4852.01) of
Title 6 of Part 3 of the Penal Code.
1. New subsection
(d), subsection relettering and new NOTE filed 6-20-2002; operative 7-20-2002
(Register 2002, No. 25).
2. New subsection (n)(5) and amendment of NOTE
filed 9-5-2003; operative 10-5-2003 (Register 2003, No. 36).
3. New
subsections (o) and (p) and amendment of NOTE filed 2-23-2010 as an emergency;
operative 2-23-2010 (Register 2010, No. 9). A Certificate of Compliance must be
transmitted to OAL by 8-23-2010 or emergency language will be repealed by operation
of law on the following day.
4. Certificate of Compliance as to 2-23-2010
order transmitted to OAL 5-6-2010 and filed 6-29-2010 (Register 2010, No.
27).
5. Change without regulatory effect amending first paragraph and
subsections (a), (f) and (h) filed 6-30-2014 pursuant to section
100, title 1, California Code of
Regulations (Register 2014, No. 27).
6. Amendment of section heading,
section and NOTE filed 3-9-2017; operative 7-1-2017 (Register 2017, No.
10).
Note: Authority cited: Sections
482,
10080
and
10166.17,
Business and Professions Code. Reference: Sections
480,
482,
10166.05(b)
and
10166.051,
Business and Professions Code.
