SB 1253 Summary

• Authorizes limited liability companies (LLCs) to be licensed as real estate brokers, matching existing authority granted to corporations and individuals.

• Requires LLCs to obtain additional licenses for each member, manager, or officer (beyond the designated one) who acts as a real estate broker, consistent with corporate broker licensing requirements.

• Makes conforming changes throughout the Real Estate Law to apply existing broker regulations, examination requirements, supervision rules, and disciplinary provisions to LLC brokers and their designated members, managers, and officers.

• Excludes money in the Real Estate Fund from administrative fines, civil penalties, criminal penalties, and cost recovery related to LLC brokers from continuous appropriation, making such funds subject to legislative appropriation instead.

• Establishes that willful violations of real estate law by LLCs constitute crimes, creating a state-mandated local program with no state reimbursement required under the California Constitution.