Offices - Repossessors - Business & Professions - CA

Section § 7505

If someone with a repossession business wants to operate from another location or use different business names, they need to get a separate license for each location or name. They can't advertise or list themselves under any name or address that they're not officially licensed for. Applying for these additional licenses follows the same process as getting the initial one.

A licensee desiring to operate a repossession business at a location other than the address shown on his or her license shall apply and qualify for a license for each additional location. A licensee desiring to operate a repossession business under one or more fictitious trade styles shall apply and qualify for a license for each fictitious trade style. No licensee shall indicate, or cause to be indicated, in any printed matter, or in any directory or listing, that he or she conducts a repossession business under any name, or at any address, other than the names and addresses for which he or she is licensed.

An application for a license for an additional location or an additional trade style shall be in the same form, and the applicant shall meet the same requirements, as for an original license.

repossession business license application additional location

Section § 7505.1

This law says that every repossession agency office needs to be managed by someone who has the right qualifications, known as a certificate holder. Additionally, an office can have more than one of these qualified people in charge if they want.

Every office licensed as a repossession agency shall be under the active charge of a qualified certificate holder. Nothing in this chapter prohibits a licensee from having more than one qualified certificate holder in an office.

repossession agency qualified certificate holder office management

Section § 7505.3

If the person in charge of a repossession agency leaves, the agency must notify the bureau within 30 days, or face automatic license suspension. After notifying, the license lasts 90 more days unless a new person takes charge during that time. If a licensed individual dies, their immediate family can run the business for 120 days, or longer if they apply and meet requirements. For partners, notification of a partner's departure needs to happen within 30 days or the license will be canceled after that period. An immediate family member, like a spouse or child, may continue the license if they prove their relationship and submit paperwork timely.

(a) Whenever a qualified certificate holder actively in charge of an office ceases to be in charge, the licensee shall file with the bureau notice, in writing, within 30 days from that cessation.

If the notice is filed, the license shall remain in force for a period of 90 days after the filing of the notice. At the end of the 90-day period or an additional period, not to exceed one year, as specified by the director, if written notice is not given that a qualified person is then actively in charge of the office, the agency license shall be automatically suspended.

If the licensee fails to give written notice at the end of the 30-day period, the agency license shall be automatically suspended.

A license suspended under this section may be reinstated upon payment of the reinstatement fee and submission of a reinstatement application.

A person who performs any act for which a repossession agency license is required during the period of suspension is subject to the penal provisions of Article 3 (commencing with Section 7502), in addition to the provisions of Article 9 (commencing with Section 7508) and Article 10 (commencing with Section 7510).

(b) In the case of the death of a person licensed as an individual, an immediate family member shall be entitled to continue the business under the same license for 120 days following the death of the licensee. Except as provided in subdivision (c), at the end of the 120-day period, the license shall be automatically canceled.

(c)

(1) (A) Except as provided in subparagraph (B), in the case of the death of a person licensed as an individual, an immediate family member shall be granted a license to continue the business under the same license number and business name if the immediate family member submits a written request and an initial application and application fee to the bureau within 120 days following the death of the licensee.

(B) If two or more immediate family members submit separate written requests pursuant to this paragraph to continue the license, the bureau shall grant the license to an immediate family member only if a court order issued within 120 days following the death of the licensee gives ownership of the asset clearly and unequivocally to that immediate family member.

(2) The immediate family member requesting the continuance of the license pursuant to this subdivision shall be subject to all of the requirements of this chapter, including the provisions of Section 7503.5.

(d) In the case of the death or disassociation of a partner of an entity licensed as a partnership, the licensee shall notify the bureau, in writing, within 30 days from the death or disassociation of the individual. If notice is given, the license shall remain in force for 90 days following the death or disassociation. At the end of that period, the license shall be automatically canceled. If the licensee fails to notify the bureau within the 30-day period, the license shall be automatically canceled at the end of that period.

(e) A license extended under this section is subject to all other provisions of this chapter.

(f) For purposes of this section, “immediate family member” means a spouse, father, mother, brother, sister, son, daughter, granddaughter, or grandson of the deceased licensee who submits proof of that relationship.

qualified certificate holder license suspension repossession agency

Section § 7505.4

In simple terms, this law states that a person cannot manage or be in charge of a licensed repossession office if they have ever had a repossession license revoked or suspended, have been denied registration, or were a key person of a repossession agency that had its license revoked for a valid reason.

Except as herein otherwise provided, no person shall be in charge of any licensed office if the person has ever had a license revoked or suspended or has ever been denied registration pursuant to Article 7 (commencing with Section 7506); or if the person was a partner, managing employee, or officer, of a repossession agency the license of which has been revoked for cause.

licensed office revoked license suspended license

Section § 7505.5

This law specifies that the person responsible for running an office at a repossession agency must have a special qualification certificate and display it prominently with the agency’s license. They can only manage up to two locations and share responsibility for operations and staff with the license holder. If a licensee isn't doing business but wants to keep their license, they must notify the bureau in writing. If they start business again, they must inform the bureau within 30 days.

The person deemed to be actively in charge of an office shall be the holder of a qualification certificate and the certificate, together with the current renewal certificate, shall be prominently displayed below the repossession agency’s license. The person shall be in charge of not more than two licensed locations. The person shall share equally with the licensee the responsibility for the conduct of the business and the personnel of the licensed agency or agencies, if more than one agency is licensed at that location. This section shall not apply to any licensee who notifies the bureau in writing that the licensee is not conducting any business, but wishes to maintain a current license status with the bureau. When the licensee resumes conducting business, the licensee shall so inform the bureau in writing within 30 days.

qualification certificate repossession agency licensee responsibility