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Sales Disclosure Chart

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Tel (213) 739-8282
Fax (213) 480-7724
Jan. 10, 2019 (revised)

REALTORS® know very well the importance, and the complexity, of the various state and federal disclosure laws governing real estate transactions in California. This Sales Disclosure Chart is designed to provide REALTORS® and their clients with an easy-to-use reference guide for determining the applicability of these laws to the sales transactions most commonly handled by real estate licensees. 

Be sure to check the detailed disclosure information in the Summary Disclosure Chart since there may be exceptions or special exemptions to a disclosure requirement.

The Sales Disclosure Chart addresses the general applicability of common disclosure requirements in particular types of transactions, but does not cover all disclosures required by law such as additional local requirements. 

Finally, certain transactions, including new home, subdivision, and common interest development sales, are subject to separate disclosure requirements.

Access the printer-friendly version of the Sales Disclosure Chart for REALTORS® (PDF file--Adobe Acrobat Reader Required**)

** Acrobat Reader is free downloadable software that will enable members to read any PDF files.


Disclosure Res. 
1-4 Units

Standard
Res.
1-4 Units

Probate/
Trust/
Bankruptcy
Res.
1-4 Units

REO/Forecl. 
Res. 5+ Units
Commercial
& Industrial/
Vacant Land
Personal Property Mobile Homes
C.A.R.
Form14/
Publication
Law

Advisability
of Title
Insurance

(When No Title Insurance Issued)

Yes*

 
Yes*

Yes*

Yes*

Yes*

No

Cal. Civ. Code §1057.6.

*Typically handled by escrow agent

Agency
Disclosure

Agency Confirmation  

Yes

 
Yes

Yes

Yes

Yes*

Yes

Disclosure
Form: AD

Confirmation Form: "Agency" section of C.A.R. purchase agreements or AC-6

Cal. Civ. Code §§ 2079.13 et seq.

 

Airport in
Vicinity1

Yes

 Yes Yes

No

No

Yes

NHD expert's report

Cal. Civ. Code § 1103.4.

Area of Potential Flooding1

Yes

 
Yes

Yes

Yes

Yes

Yes

NHD (if form required)

Cal. Gov't. Code
§§ 8589.4, 8589.5; Cal. Civ. Code §§ 1103 et seq.

Broker's Statutory
Duty to
Inspect Property

Yes*

 
Yes*

Yes*

No

No

Yes

TDS
(for real property)

MHTDS (for personal property manufactured or mobile homes)

AVID may be used (if TDS and
MHTDS not required)

Cal. Civ. Code §§ 2079 et seq.

*See Summary Disclosure Chart for Exemptions

Carbon Monoxide Detector Disclosure


Yes

 
No

No


No


No


Yes

TDS
(for real property)

MHTDS (for personal property manufactured or mobile homes)

Form WCMD is optional

Cal. Civ. Code §§1102.6, 1102.6d.

Carbon Monoxide Detector Compliance


Yes*

 
Yes*

Yes*


Yes*


No


Yes*


No compliance certification required

 

Form WCMD is optional

Cal.Health & Safety Code § 17926.

*Installation is not a precondition of sale or transfer of the dwelling.

See Summary Disclosure Chart for additional details.

Commercial Property Owner's
Guide to Earthquake Safety

(Booklet)

Yes2

 
No

No

Yes*


Yes*/No

No

The Commercial Property Owner's
Guide to Earthquake
Safety

Cal. Bus. & Prof. Code §10147; Cal. Gov't Code §§ 8875.6, 8875.9, 8893.2, 8893.3; Cal. Civ. Code § 2079.9.

*See Summary Disclosure Chart for Exemptions

Common Interest Development Documents

 

CC&Rs, Articles of Incorp., Bylaws, Rules & Policies, Current Financial Information (Operating Budget), Assessments, Assoc. Insurance, Civil Code Section 1133 Notice (if applic. For subdividers), Enforceable Policies/Fine Structure; A copy of the minutes of the meetings if requested; estimated fee for required HOA disclosures as distinguished from other fees, fines or assessments on specified form if requested; actual charges on specified form at time documents are delivered; statement describing leasing prohibitions, if any

 
Yes
 
Yes

Yes

Yes

No

No (unless the owner has an ownership interest in a subdivision, cooperative or condominium for mobilehomes)

Forms HOA-IR, HOA-RS and HOA-RN may be used to comply with statutory and contractual disclosure obligations

Cal. Civ. Code §§ 4525, 4528, 4530 and 4202

Death (in last 3 years)

Yes*

 
Yes*

Yes*

Yes*

Yes*

No**

TDS (if required)

SPQ may be used
(or ESD if TDS exempt)

Cal.Civ. Code §1710.2.

*if deemed a "material fact"

**Statute applies only to real estate but may be required under "material fact" analysis.

Earthquake Fault Zone1

Yes

 
Yes

Yes

Yes

Yes

Yes

NHD (if form required)

Cal. Pub. Res. Code §§ 2621 et seq.; Cal. Civ. Code §§ 1103 et seq.

Energy Use Report

 

This law has been repealed effective January 1, 2016. Cal.Pub.Res. Code § 25402.10

No

 No No

No

Yes/No

No

EPA's Portfolio Manager Energy Star Report 15.

Public Resources Code 25402.10

20 California Code of Regulations §§ 1680-1684

This law has been repealed effective January 1, 2016. Cal.Pub.Res. Code § 25402.10.

 

Farm or Ranch Proximity1

Yes

 No No

No

No

Yes

NHD expert's report

Cal. Civ. Code § 1103.4.

FHA/HUD Inspection Notice

Yes*

 
Yes*

Yes*

No

No

No

HID

HUD Mortgagee Letter 06-24

*Required only for FHA loans or HUD-owned property by lender.

FIRPTA (Federal Tax Withholding)
and
California Tax Withholding

Yes*

 
Yes*

Yes*

Yes*

Yes*

No

AS may be used
(applies
to both
federal
and
California
Tax Withholding).

AB may be used(applies only to federal withholding).

Cal. Rev. & Tax Code §§ 18662, 18668; 26 U.S.C. §1445.

*If seller eligible, AS or other form required to avoid withholding by escrow.

Flood Disaster Insurance Requirements

Yes

 
Yes

Yes

Yes

Yes5

Yes

42 U.S.C. § 5154a.

Gas and Hazardous Liquid Transmission Pipeline Notice

Yes

 Yes Yes

Yes

No

No

"Gas and Hazardous Transmission Pipeline" disclosure section of C.A.R. contracts

Cal. Civ. Code § 2079.10.5.

Groundwater Basin Comprehensive Notice (if received)

Yes

 Yes* Yes*

Yes*

Yes*

No

Attach notice to TDS or if TDS-exempt, provide notice separately

Cal. Code of Civil Procedure § 836(f). General duty to disclose. See Material Facts.

Hazardous Substances, release of,17

No

 No No

No

Yes

No

 

Health & Saf. Code §25359.7

Home Energy Rating System (HERS)Booklet

(Optional Disclosure4-- Booklet Now Available)

 

No

 No No

No

No

No

Home Energy Rating System (HERS) Booklet (part of Combined Hazards Booklet)

Cal. Civ. Code § 2079.10; Cal. Pub. Res. Code §§ 25402.9, 25942.

Homeowner's Guide to Earthquake Safety
(Booklet and Form)

Yes*

 
No

No

No

No

No6

The Homeowner's Guide to Earthquake
Safety

"Residential Earthquake Hazards Report" Form in Booklet

Cal. Bus. & Prof. Code § 10149; Cal. Gov't Code §§ 8897.1, 8897.5; Cal. Civ. Code § 2079.8.

*See Summary Disclosure Chart for Exemptions.

Industrial Use Zone Location

Yes

 
No3
 
No

No

No

No

SPQ may be used (or ESD if TDS exempt)

Cal. Civ. Code § 1102.17; Cal. Code of Civ. Proc. § 731a.

Lead-Based Paint Pamphlet and Form

Yes*

 
Yes*

Yes*/No

Yes*

No

Yes
(Probably)7

Pamphlet:Protect
Your
Family
From Lead In Your Home
(incorporated in Residential Environmental Hazards: A Guide for Homeowners, Buyers, Landlords
and Tenants
)

Form: FLD

42 U.S.C.S. § 4852d; 40 CFR Part 745.

*Applies only to residential property built before 1978. See the Summary Disclosure Chart for exemptions.

Material Facts8

Yes

 
Yes

Yes

Yes

Yes

Yes

TDS or MHTDS
(if required)

The ESD or SPQ is required contractually by the RPA-CA depending on whether the transaction is TDS exempt. If a TDS is required, then an SPQ is also required. IF the transaction is TDS exempt, then the ESD is required.

Case law; Cal. Civ. Code §§ 2079 et seq.

Megan's
Law Disclosure (Registered Sex Offender Database)

Yes

 
Yes

Yes

No

No

No

"Database Disclosure" section of C.A.R. contracts

REO and REOL may be used for REO transactions

Cal. Civ. Code § 2079.10a.

Mello-Roos, 1915 Bond Act Assessments9 , and voluntary contractual assessment.

Yes

 
No3
 
No

No

No

No

Cal. Civ. Code
§ 1102.6b; Cal. Gov't Code §§ 53340.2, 53754, Cal. Str. & H. Code § 5898.24.

MethLabClean-Up Order

(Release of Illegal Controlled Substance Remediation Order)

Yes

 Yes Yes

Yes

Yes

Yes*

TDS (if required) (question II.C.1)

SPQ or MCN may be used (or ESD if TDS exempt)

Cal.Health & Safety Code
§ 25400.28 (disclosure); §§ 25400.11(q) and (r) (definitions).

*Exempt if located in a mobilehome park or manufactured home park.

Military Ordnance Location

Yes

 
No3
 
No

No

No

No

SPQ may be used (or ESD if TDS exempt)

Cal. Civ. Code § 1102.15.

Mining Operations 1

Yes

 No No

No

No

Yes

NHD expert's report

Cal. Civ. Code § 1103.4

Mold
(Disclosure
of Excessive
Mold or Health
Threat)10

No

 
No

No

No

No/No

No

RGM may be used (optional).

Cal.
Health & Safety Code §§ 26140, 26141, 26147.

CDHS has not yet established limits.

Natural Hazard Disclosure Statement

Yes

 
No

No

No

No

Yes

The form NHD has been discontinued in the C.A.R. forms library. The statutory Natural Hazard Disclosure Statement which is provided as part of the third party NHD private report fulfills the statutory requirement.

Cal. Civ. Code §§ 1103 et seq.

Pest Control Inspection Report and Certification
(wood destroying pests or organisms)

Yes*

 Yes* Yes*

Yes*

Yes*/No

No

 

Cal. Civ. Code § 1099.

*Seller or Seller’s agent must deliver inspection report and subsequent certification (of work completed) to Buyer only if required by contract or the Buyer’s lender.

Private Transfer Fee

Yes

 
No3
 
No

No

No

No

NTF may be used

Cal. Civ. Code § 1102.6e.

Residential Environmental Hazards Booklet

(Optional Disclosure11)

No

 
No

No

No

No

No

Residential Environmental Hazards: A Guide for Homeowners, Buyers, Landlords
and Tenants
(
also in Combined Hazards Booklet)

Cal. Civ. Code § 2079.7.

Seismic
Hazard Zone1

Yes

 
Yes

Yes

Yes

Yes

Yes

NHD (if form required)

Cal. Pub. Res. Code § 2694; Cal. Civ. Code §§ 1103 et seq.

Smoke Detectors
Must Be In Compliance

Yes

 
Yes16
 
Yes/Yes16

Yes

No**/No

Yes

Cal. Health & Safety Code §§ 13113.7, 13113.8, 18029.6.

**Yes, if there is a "dwelling unit" on the commercial or industrial property

Smoke Detector Written Statement of Compliance

Yes*

 
No

Yes*/No

No

No

Yes***

TDS (now contains statement of compliance)

WHSD may be used for real property when no TDS

*** HCD Declaration for mobilehomes and manufactured homes (MHTDS also contains statement of compliance)

Cal. Health & Safety Code §§ 13113.8, 18029.6; 25 Cal. Code Regs. § 5545.

*Required for single-family or two-unit dwellings and factory-built real property only.

Special Flood Hazard Area1

Yes

 
Yes

Yes

Yes

Yes

Yes

NHD (if form required)

Cal. Gov't Code § 8589.3; Cal. Civ. Code §§ 1103 et seq.

State Responsibility Area (Fire Hazard Area)1

Yes

 
Yes

Yes

Yes

Yes

Yes

NHD (if form required)

Cal. Pub. Res. Code §§ 4125, 4136; Cal. Civ. Code §§ 1103 et seq.

Supplemental Property Tax Notice

Yes

 
No3
 
No

No

No

No

SPT (or SBSA may be used)

Cal. Civ. Code § 1102.6c.

Transfer Disclosure Statement

Yes

 
No3
 
No

No

No

Yes*

TDS (for
real
property)

MHTDS (for personal property manufactured or mobile homes)

Cal. Civ. Code §§ 1102 et seq.

* Probate, Bankruptcy, REO,and Trusts exempt

Very High Fire
Hazard Severity Zone1

Yes

 
Yes

Yes

Yes

Yes

Yes

NHD (if form required)

Cal. Gov't. Code § 51183.5; Cal. Civ. Code §§ 1103 et seq.

Water Conserving Fixtures Compliance
( SB 407 )

Required by virtue of ownership, but not a point of sale requirement

Yes*

 
Yes*

Yes*

Yes*

Yes*/No

No

 

Cal. Civ. Code §§ 1101.4(b), 1101.5(a) (d).

* Not a point of sale requirement

*Applies only to real property built on or before Jan. 1, 1994;

Effective date of law for single-family residential real property is Jan. 1, 2017;

Effective date for two or more unit resid. real prop. and commercial real prop. is
Jan. 1, 2019 (all prop.).

Effective date of law where some types of permitted improvements are made is Jan. 1, 2014.

See the Summary Disclosure Chart for exemptions.

Water Conserving Fixtures Disclosure
(SB 407)

Yes*

 
Yes*

Yes*

Yes*

Yes*/No

No

C.A.R. Forms TDS and SPQ should be used, or the ESD if the property is TDS-exempt. C.A.R. Form WCMD is optional.

Cal. Civ. Code §§ 1101.4(c), 1101.5(e), 1102.155.

*Applies only to real property built on or before Jan. 1, 1994;

Effective date of law for single-family residential real property is Jan. 1, 2017;

Effective date for two or more unit resid. real prop. and commercial real prop. is Jan. 1, 2019.

See the Summary Disclosure Chart for exemptions.

Water
Heater Bracing Requirement

Yes

 
Yes

Yes

Yes

Maybe12/No

Yes13

Cal. Health & Safety Code §§ 19211, 18031.7.

Water
Heater Bracing Statement
of Compliance

Yes

 
Yes

Yes

Yes

Maybe12/No

Yes***

TDS (now contains statement of compliance)

WHSD may be used for real property if no TDS

*** HCD Declaration for mobilehomes and manufactured homes

Cal. Health & Safety Code §§ 19211, 18031.7;
25 Cal. Code Regs. §4102.

Window Security Bars

Yes

 No No

No

No

Yes

TDS (for real property)

MHTDS (for personal property manufactured or mobilehomes)

Cal. Civ. Code §1102.16.

 


ENDNOTES

  1. This information is included in disclosure reports obtainable from third-party disclosure reporting companies. In transactions requiring a Natural Hazard Disclosure Statement (NHD), this information must be disclosed on the NHD form (which also may be prepared by a third-party company on behalf of a seller or real estate agent).  Note that the "Airport in Vicinity", "Farm and Ranch Proximity" and "Notice of Mining Operations" disclosures are required to be included, when applicable, on NHD reports by experts. The statute doesn't otherwise make this a disclosure requirement.  (Cal. Civ. Code § 1103.4.)
  2. This disclosure requirement applies to transfers of precast concrete or reinforced/unreinforced masonry buildings with wood-frame floors or roofs. Though this requirement is most relevant to commercial properties, the law does not specifically exempt masonry buildings used for residential purposes.
  3. Transfers by fiduciaries (e.g., trustees) administering trusts generally are exempt from this disclosure requirement. However, if the trustee is a natural person who is the trustee of a revocable trust and he or she is a former owner of the property or an occupant in possession of the property within the preceding year, then compliance is required.
  4. The delivery of this booklet is not mandatory (unless required by contract), but provides important legal protections to a seller or real estate agent who elects to provide the booklet.
  5. This disclosure requirement applies to transferors of "personal, commercial, or residential property" for which flood-related disaster assistance has been provided. Vacant land is not specifically addressed by this law. As a practical matter, however, a seller generally can determine, at the time federal disaster assistance is received, whether flood insurance is required by federal agencies for the property in question.
  6. California law requires delivery of The Homeowner's Guide to Earthquake Safety in connection with transfers of real property. However, it may be prudent to provide this booklet to purchasers of personal property manufactured or mobile homes.
  7. Federal law does not specifically require these disclosures in sales of personal property mobilehomes. However, federal regulators have taken the position that mobilehomes built before 1978 are covered by this law.
  8. A seller or real estate agent involved in the transfer of real property or a mobilehome may be liable for failing to disclose material facts affecting the value or desirability of the property. Whether or not a particular fact is "material" depends on a variety of factors. A seller or real estate agent who is unsure as to the materiality of a particular fact should consult an attorney. Alternatively, many sellers and real estate agents resolve such doubts in favor of disclosure to minimize exposure to liability. While the disclosure of certain material facts sometimes must be made in a particular format (e.g., the Transfer Disclosure Statement, or the Manufactured Home or Mobile home Transfer Disclosure Statement), the law generally does not regulate how material facts must be disclosed (though written disclosure is almost always recommended). However, the RPA-CA requires that the seller complete an SPQ in transactions where a TDS is required, or if a TDS is not required, that the seller complete an ESD.
  9. This information, as it pertains to Mello-Roos Community Facilities Districts, generally applies to resale transactions. Subdividers and their agents may have to comply with separate Mello-Roos district disclosure obligations under California Government Code § 53341.5.
  10. California's Toxic Mold Protection Act requires that in residential and commercial/industrial lease transactions, and in commercial/industrial sales transactions, landlords/sellers disclose to tenants/buyers mold that either exceeds permissible limits set by California's Department of Health Services (CDHS) or poses a health threat. This disclosure need not be made until the CDHS establishes permissible mold exposure limits. The CDHS has not yet taken this action, and the Act does not specifically require any alternative disclosure in the interim.
  11. The delivery of this booklet is not mandatory (unless required by contract), but provides important legal protections to a seller or real estate agent who elects to provide the booklet. This booklet is often combined with The Homeowner's Guide to Earthquake Safety and the lead hazard disclosure pamphlet Protect Your Family From Lead In Your Home (which are mandatory in certain transactions).
  12. California law requires the seller of any real property to certify that new and replacement water heaters have been braced, anchored, or strapped to resist movement during an earthquake. Though these statutory requirements are most relevant to water heaters located in residential properties, they do not specifically exempt commercial or industrial properties.
  13. California law requires all new and replacement water heaters, and all existing residential water heaters, to be braced, anchored, or strapped to resist movement during an earthquake, including those in mobilehomes and manufactured homes. 
  14. California law sometimes requires that a specific form (or exact language) be used.  Examples are the AD, FLD, TDS, MHTDS, and the NHD.  Other times, the law requires a disclosure but doesn't mandate that particular language be used.  However, C.A.R. provides forms for that purpose--indicated in this chart by the words "may be used."  The law doesn't require the use of these forms.  Examples are the AVID, MCN, NTF, SBSA, ESD, SPQ, AS, AB, WHSD, REO, and REOL. 
  15. The disclosure required by this law consists of four documents: the Disclosure Summary Sheet, the Statement of Energy Performance, the Data Checklist, and the Facility Summary, all of which must be generated through the US Environmental Protection Agency (EPA) Energy Star Portfolio Manager.  This law has been repealed effective January 1, 2016. Cal.Pub.Res. Code § 25402.10 .
  16. Smoke alarms are required under state law to be installed on all properties intended for human occupancy. However, as a point of sale requirement there are limited exceptions including bankruptcy, trust, probate and foreclosure sales, but not REO sales. It is prudent risk management to have the smoke alarms installed regardless of the type of property being sold. This is because it is often required by both locations and lenders, in addition to the state law requirement. 
  17. Under the Hazardous Substances Account Act, any owner of nonresidential property who knows, or has reasonable cause to believe, that any release of a "hazardous substance" as defined in the Act is location on or beneath his or her property must disclose this fact in writing to any prospective buyer or tenant before consummating the transaction. A residential seller discloses "environmental hazards" on the TDS in answer to question C.1., or if TDS exempt, on the Exempt Seller's Disclosures (form SSD) as a material fact

This chart is just one of the many legal publications and services offered by C.A.R. to its members. For a complete listing of C.A.R.'s legal products and services, please visit C.A.R. Member Legal Services.

Readers who require specific advice should consult an attorney. C.A.R. members requiring legal assistance may contact C.A.R.'s Member Legal Hotline at (213) 739-8282, Monday through Friday, 9 a.m. to 6 p.m. and Saturday, 10 a.m. to 2 p.m.

C.A.R. members who are broker-owners, office managers, or Designated REALTORS® may contact the Member Legal Hotline at (213) 739-8350 to receive expedited service. Members may also submit online requests to speak with an attorney on the Member Legal Hotline by going to http://www.car.org/legal/legal-hotline-access/.  Written correspondence should be addressed to:

CALIFORNIA ASSOCIATION OF REALTORS®
Member Legal Services
525 South Virgil Avenue
Los Angeles, CA 90020


Copyright© 2019 CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). Permission is granted to C.A.R. members to reprint this material in hardcopy or PDF format only for personal use or with individual clients. This material may not be used or reproduced for commercial purposes. Other reproduction or use is strictly prohibited without the express written permission of the C.A.R Legal Department. All rights reserved. Revised by Robert Bloom, Esq.

The information contained herein is believed accurate as of January 10, 2019. It is intended to provide general answers to general questions and is not intended as a substitute for individual legal advice. Advice in specific situations may differ depending upon a wide variety of factors. Therefore, readers with specific legal questions should seek the advice of an attorney.

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