Article 3.5 - Licenses and Certificates of Authority

California Business and Professions Code — §§ 7651-7653.9

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Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

Application for license as a cemetery broker shall be made in writing on the form prescribed by the bureau and filed at the principal office of the bureau. The application shall be accompanied by the original cemetery broker’s license fee.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The bureau shall not grant an original cemetery broker’s license to any person who is not a resident of this state. Change of residence to another state shall terminate the license.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

A cemetery license does not give authority to do any act specified in this act to any person other than the person to whom the license is issued.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The bureau shall not grant an original cemetery broker’s license to any person who has not held a cemetery salesperson’s license for at least two years prior to the date of his or her application for the broker’s license, and during that time was not actively engaged in the business of a cemetery salesperson except that if an applicant for a cemetery broker’s license having at least the equivalent of two years’ general cemetery experience files a written petition with the bureau setting forth his or her qualifications and experience and the bureau approves, he or she may be issued a cemetery broker’s license immediately upon passing the appropriate examinations and satisfying the other requirements of this article.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

Application for license as a cemetery salesperson shall be made in writing on the form prescribed by the bureau and filed at the principal office of the bureau. The application shall be signed by the applicant, and shall be accompanied by the cemetery salesperson’s license fee.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

Notwithstanding any other provision of this chapter, Section 7651.7 does not apply to an applicant for a cemetery salesperson’s license.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The bureau shall investigate the qualifications of the applicants. Except as otherwise prescribed in this article, it may issue the license applied for to an applicant on a showing satisfactory to it that the following facts exist:

(a)The applicant is properly qualified to perform the duties of a cemetery broker or salesperson.
(b)Granting the license will not be against public interest.
(c)The applicant intends actively and in good faith to carry on the business of a cemetery broker or a cemetery salesperson.
(d)In the case of a corporate applicant, the articles of incorporation permit it to act as a cemetery broker.
(e)In the case of an association or copartnership applying for such a license, its articles of association or agreement of partnership authorize it to act as a cemetery broker.
(f)The license is not being secured for the purpose of permitting the applicant to advertise as a cemetery broker or salesperson without

actually engaging in such business.

(g)The applicant has not committed acts or crimes constituting grounds for denial of licensure under Section 480.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

All cemetery brokers who do not possess a certificate of authority shall, in addition to the requirements of this chapter, file with the bureau a satisfactory bond to the people of the State of California, duly executed by a sufficient surety or sureties to be approved by the bureau, in the amount of ten thousand dollars ($10,000). That bond shall be conditioned for the honest and faithful performance by such broker and his or her salespersons and employees of any undertaking as a licensed cemetery broker or salesperson or employee of said broker at any time when licensed under this chapter, and the strict compliance with the provisions of this chapter and of Division 8 (commencing with Section 8100) of the Health and Safety Code, relating to

cemeteries, and the honest and faithful application of all funds received. That

bond shall be further conditioned upon the payment of all damages suffered by any person damaged or defrauded by reason of the violation of any of the provisions of this chapter or of Division 8 (commencing with Section 8100) of the Health and Safety Code relating to cemeteries, or by reason of the violation of the obligation of such broker as an agent, as such obligations are laid down by the Civil Code, or by reason of any fraud connected with or growing out of any transactions contemplated by this chapter or Division 8 (commencing with Section 8100) of the Health and Safety Code.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The bureau shall ascertain by written examination that the applicant, and, in case of a copartnership or corporation applicant for a cemetery broker’s license, that each officer, agent, or member thereof through whom it proposes to act as a cemetery licensee has:

(a)Appropriate knowledge of the English language, including reading, writing, and spelling, and of elementary arithmetic.
(b)A fair understanding of:
(1)Cemetery associations, cemetery corporations, and duties of directors.
(2)Plot ownership, deeds, certificates of ownership, contracts of sale, liens, and leases.
(3)Establishing, dedicating, maintaining, managing, operating, improving, and conducting a cemetery.
(4)The care, preservation, and embellishment of cemetery property.
(5)The care and

preservation of endowment care funds, trust funds, and the investment thereof.

(c)A general and fair understanding of the obligations between principal and agent, of the principles of cemetery brokerage practice and the business ethics pertaining thereto, as well as of the provisions of this act relating to cemetery brokerage.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The bureau may, in its discretion, waive the examination of any applicant for a cemetery broker’s license who held an unrevoked or unsuspended cemetery license on June 30 of the preceding fiscal year as an individual broker, an officer of a corporation, or member of a copartnership.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

An application on the form prescribed by the bureau for the renewal of any unrevoked and unsuspended license filed before midnight of June 30 of the year for which such unrevoked and unsuspended license was issued, accompanied by the applicable renewal fee, entitles the applicant to continue operating under his or her existing license after its usual expiration date, if not previously suspended or revoked, and until such date as he or she is notified in writing that the application has been granted or denied.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

When a cemetery brokerage license is issued to a cemetery brokerage corporation, if it desires any of its officers other than the officer through whom it is already licensed to act under its license as a cemetery broker, it shall procure an additional license for each such officer. When a cemetery brokerage license is granted to cemetery brokerage copartnership, if it desires any of its members other than the one through whom it is already licensed to act as a cemetery broker, it shall procure an additional license for each such member.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

Each officer of a corporation through whom it is licensed to act as a cemetery broker, and each member of a copartnership through whom it is licensed to act as a cemetery broker, is, while so employed under such license, a licensed cemetery broker, but licensed only to act as such for and on behalf of the corporation or the copartnership, as officer or member, respectively.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The bureau may require such proof as it deems advisable concerning the compliance by such applicant to all the laws, rules, regulations, ordinances and orders applicable.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

The cemetery licenses of both broker and salesperson shall be prominently displayed in the office of the broker.

The cemetery salesperson’s license shall remain in the possession of the licensed cemetery broker employer until canceled or until the salesperson leaves the employ of the broker.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

Immediately upon the salesperson’s withdrawal from the employ of the broker, the broker shall return the salesperson’s license to the bureau for cancellation. A license canceled but not suspended or revoked may be reinstated within the fiscal year upon receipt of application therefor and the fee for the reinstatement of the license.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

(a)Every licensed cemetery broker shall have and maintain a definite place of business in this state which shall serve as his or her office for the transaction of business.
(b)No cemetery license authorizes the licensee to do business except from the location for which the cemetery license was issued.
(c)Notice in writing shall be given the bureau of change of business location of a cemetery broker, whereupon the bureau shall issue a new cemetery license for the unexpired period. The change or

abandonment of business location without notification to the bureau shall automatically cancel the license theretofore issued.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

(a)If the applicant for a cemetery broker’s license maintains more than one place of business within the state, he or she shall apply for and procure an additional license for each branch office so maintained. Every such application shall state the name of the person and the location of the place of business for which such license is desired.
(b)The bureau may determine whether or not a broker is doing a cemetery brokerage business at or from any particular location which requires him or her to have a branch office license.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

Each cemetery broker shall erect and maintain a sign in a conspicuous place on the premises to indicate that he or she is a licensed cemetery broker and his or her name shall be clearly shown thereon. The size and place of the sign shall conform to regulations that may be adopted by the bureau.

Added by Stats. 2015, Ch. 395, Sec. 19. (AB 180) Effective January 1, 2016.

For a violation of any of the provisions of Sections 7652.2, 7652.3, 7652.4, and 7652.6, the bureau may temporarily suspend or permanently revoke the license of the cemetery licensee in accordance with the provisions of this act relating to disciplinary proceedings.

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