California Financial Code

§ 90009.5

FIN § 90009.5 Effective Jan 1, 2021Div. 24 · Ch. 6

Statute text

(a)Notwithstanding paragraph (1) of subdivision (a) of Section 90009, the department shall promulgate rules regarding registration requirements applicable to a covered person no later than three years following the initiation of its second action to enforce a violation of this division by persons providing the same or substantially similar consumer financial product or service as the covered person.

(b)The regulation requiring a covered person to register with the department shall become inoperative on January 1, of the calendar year that is four years following the initial year of required registration unless the Legislature takes action to extend the registration or to incorporate the scope of the activity in which the covered person is authorized to engage into a new or existing licensing law. The Legislature shall conduct public hearings to obtain input on the desirability or feasibility of extending, revising, or terminating the regulation. Failure of the Legislature to take action pursuant to this section shall not impact the department’s enforcement authority under this division.

(c)The department shall submit to the appropriate committees of the Legislature on or before December 1 before the year a regulation described in subdivision (b) is set to become inoperative, a complete report of the department’s activities related to the covered persons required to be registered by the regulation covering the entire period since the initial year of required registration.

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Legislative history

Added by Stats. 2020, Ch. 157, Sec. 7. (AB 1864) Effective January 1, 2021.