California · Corporations Code

CORP §31210: It is unlawful for any person to effect or attempt to effect a sale of a franchise in this state, except in transactions exempted under Chapter 1 (commencing with Section 31100) of Part 2 of this divi

Civil

What this law says, in plain English

A person cannot sell a franchise in this state unless they are properly identified, licensed, or registered under specified regulatory requirements.

Read the full statutory text

It is unlawful for any person to effect or attempt to effect a sale of a franchise in this state, except in transactions exempted under Chapter 1 (commencing with Section 31100) of Part 2 of this division, unless that person is any of the following: (a) Identified in Item 2 of a franchise disclosure document submitted with an application or amended application filed with the commissioner pursuant to Part 2 (commencing with Section 31100) of this division. (b) Licensed by the Department of Real Estate as a real estate broker or real estate salesperson. (c) Licensed by the commissioner as a broker-dealer or agent pursuant to the Corporate Securities Law of 1968. (d) Registered as a franchise broker pursuant to Part 7 (commencing with Section 31520).

Verify at the official source: California legislative text

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