California Code of Civil Procedure

§ 1298

CCP § 1298 Effective Jan 1, 2025Title 9.4 · Part 3

Statute text

(a)Whenever any contract to convey real property, or contemplated to convey real property in the future, including marketing contracts, deposit receipts, real property sales contracts as defined in Section 2985 of the Civil Code, leases together with options to purchase, or ground leases coupled with improvements, but not including powers of sale contained in deeds of trust or mortgages, contains a provision for binding arbitration of any dispute between the principals in the transaction, the contract shall have that provision clearly titled “ARBITRATION OF DISPUTES.” If a provision for binding arbitration is included in a printed contract, it shall be set out in at least 8-point bold type or in contrasting red in at least 8-point type, and if the provision is included in a typed contract, it shall be set out in capital letters.

(b)Whenever any contract or agreement between principals and agents in real property sales transactions, including, but not limited to, listing agreements, as defined in Section 1086 of the Civil Code, and buyer-broker representation agreements, as defined in Section 2079.13 of the Civil Code, contains a provision requiring binding arbitration of any dispute between the principals and agents in the transaction, the contract or agreement shall have that provision clearly titled “ARBITRATION OF DISPUTES.” If a provision for binding arbitration is included in a printed contract, it shall be set out in at least 8-point bold type or in contrasting red in at least 8-point type, and if the provision is included in a typed contract, it shall be set out in capital letters.

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Legislative history

Amended by Stats. 2024, Ch. 516, Sec. 6. (AB 2992) Effective January 1, 2025.