What's New Postings: 2011

  • 12/27/11 - On January 5, 2012, the Commissioner of Corporations (Commissioner) will file with the Office of Administrative Law (OAL) the readoption of emergency regulations to extend the effectiveness of Rule 260.204.9 (10 C.C.R. §260.204.9) for a period of no longer than 90 days.    The changes to the rule will extend the current exemption from registration for investment advisers who are deemed “private advisers” for an additional 90 days.  The anticipated operative date of the emergency regulation is January 18, 2012. (PRO 02/11 Emergency Filing)
  • 12/21/11 - The California Corporations Commissioner proposes to amend Rule 260.204.9 to provide an exemption from registration for investment advisers to certain private funds.  The Rule as currently in effect, was adopted as an emergency regulation on July 21, 2011. The Rule currently exempts persons deemed to be “private advisers.” 
    In this rulemaking action the Commissioner proposes to adopt a permanent exemption for certain advisers to “private funds.”  The proposed exemption would be consistent with the regulation of private funds under Dodd-Frank, and with the NASAA Proposed Model Rule for Exempt Reporting Advisers (published on 6/13/2011).
    The period within which to comment on this proposed regulatory action ends on February 20, 2012.  (PRO 02/11
  • 12/7/11 - Notice to Potential Claimants of A.C.T.  Escrow, Inc. The Commissioner of Corporations Appoints a Conservator for A.C.T. Escrow, Inc. - By an order dated December 6, 2011, the California Department of Corporations appointed Peter Davidson, Esq., as Conservator of A.C.T. Escrow, Inc. This action was taken when it was learned that A.C.T. Escrow, Inc. had committed numerous violations of the California Escrow Law.  If you have any questions concerning  A.C.T. Escrow, Inc. you may contact Mr. Davidson at  pdavidson@ECJLAW.COM.
  • 11/30/11 - The California Corporations Commissioner adopted Sections 1580 through 1596 of Title 10 of the California Code of Regulations, which implement the Pilot Program for Affordable Credit-Building Opportunities (SB 1146, Chap. 640, Stats 2010) under the California Finance Lenders Law.  This regulatory action was filed with the Secretary of State on November 21, 2011 and becomes effective on December 21, 2011.  (PRO 14/10)

  • 1/23/2011 - The next Escrow Law Advisory Committee meeting will be on Tuesday December 6, 2011 at 10:00 A.M. The meeting will be held at the Department of Corporations' Los Angeles office located at 320 West Fourth Street, 7th floor conference room. Agenda. The minutes of the September 8, 2011 meeting are now available. Minutes

  • 1/14/11 - The 2010 Annual Report of Operations of Finance Companies Licensed under the California Finance Lenders Law is available on our website. This report is based on unaudited data presented by Licensees and is primarily statistical in nature.

  • 10/10/11 - **INTERNET ALERT – uscentralescrow.com** -
    The Department of Corporations has been notified that U.S. and Central America Escrow Services and uscentralescrow.com is offering escrow services over the internet and is falsely advertising that it holds Department of Corporations license number 963-1656, which is held by a valid escrow company, Pickford Escrow Company, Inc.  Uscentralescrow.com is not a website of Pickford Escrow Company, Inc.  U.S. and Central America Escrow Services and uscentralescrow.com is not licensed to conduct escrows by the California Department of Corporations. [See all Consumer Alerts]

  • 10/07/11 - Notice to Mid-Sized Investment Advisory Firms Transitioning to California Regulation [Full Text of Letter] | [California Instructions] | [General Information]
  • 09/14/11 - ** Notice to Potential Claimants of Piron Escrow, Inc.** The Commissioner of Corporations Appoints a Conservator for Piron Escrow, Inc. - By an order dated September 2, 2011, the California Department of Corporations appointed Peter Davidson, Esq., as Conservator of Piron Escrow, Inc.  This action was taken when it was learned that Piron Escrow, Inc. had committed numerous violations of the California Escrow Law.  If you have any questions concerning Piron Escrow, you may contact Mr. Davidson at  pdavidson@ECJLAW.COM
  • 08/29/11 - The next Escrow Law Advisory Committee meeting will be on Thursday September 8, 2011 at 10:00 A.M. The meeting will be held at the Department of Corporations' Los Angeles office located at 320 West Fourth Street, 7th floor conference room. Agenda. The minutes of the June 7, 2011 meeting are now available. Minutes
  • 08/24/11 - The California Corporations Commissioner is proposing additional changes relating to the Pilot Program for Affordable Credit-Building Opportunities (SB 1146, Chap. 640, Stats 2010) under the California Finance Lenders Law of Title 10 of the California Code of Regulations, originally published in the February 25, 2011, California Register (Register 2011, No. 8-Z).
    Because the proposed revised text differs from the text of the regulations previously made available for public comment, the Commissioner is making the revised text available for an additional comment period. The period within which to comment on these amendments ends on September 9, 2011. (PRO 14/10)
  • On July 21, 2011, an emergency regulation became operative to delay the elimination of the current exemption from registration for investment advisers who are deemed "private advisers" under the Wall Street Regulatory Reform and Consumer Protection Act (the Dodd-Frank Act).  Private advisers may continue to rely on the exemption from registration for an additional 180 days.  (See PRO 02/11 E, Commissioner's May 13, 2011 Letter)

  • 07/18/11 - The Commissioner of Corporations has adopted emergency regulations amending Section 260.204.9 of Title 10 of the California Code of Regulations extending the current exemption from registration for investment advisers who are deemed “private advisers”.  These emergency regulations become effective July 21, 2011 and remain in effect for 180 days.  (PRO 02/11 - E)
  • 07/08/11:  The California Corporations Commissioner is requesting comments on proposed amendments to the regulation setting forth requirements for investment advisers with custody of clients’ funds or securities.  The proposed amendments incorporate provisions from the Securities and Exchange Commission’s custody rule under the Investment Advisers Act of 1940, and provisions from NASAA’s proposed Model Rule on investment adviser custody.  The Commissioner is seeking comments from interested parties prior to initiating a rulemaking action, and requests that comments be received by August 5, 2011.  (Invitation for Comments, PRO 04/11
  • 06/16/11 - The California Corporations Commissioner is providing notice that on June 28, 2011, the Department will file an emergency regulation amending Section 260.204.9 of Title 10 of the California Code of Regulations.  The changes to the rule will extend the current exemption from registration for investment advisers who are deemed “private advisers” for an additional six months.  The anticipated operative date of the emergency regulation is July 21, 2011.  (PRO 02/11 E)
  • 06/10/11 - Lead Generator Survey for Deferred Deposit Originators licensed under the California Deferred Deposit Transaction Law.  The Department of Corporations is conducting a survey to obtain information on lead generators that identify and refer payday loan customer to deferred deposit originators over the Internet. [See Survey]
  • 05/27/11 - The next Escrow Law Advisory Committee meeting will be on Tuesday June 7, 2011 at 10:00 A.M. The meeting will be held at the Department of Corporations' Los Angeles office located at 320 West Fourth Street, 7th floor conference room. Agenda
  • 05/27/11 - Next Escrow Management Training class is scheduled for Tuesday July 26, 2011 in the Department's Los Angeles office.  Corporate officers of licensed escrow companies and escrow managers may attend the class, but prior registration is required.  Space is limited, therefore, no walk-ins are allowed.  Those interested in attending should contact Escrow Institute at (800) 337-2769  or by email at admin@escrowinstitute.org
  • 05/26/11 - - **INTERNET ALERT – mutual-group.com** - The Department of Corporations has been notified that mutual-group.com is offering escrow services over the internet and is falsely advertising that it is Mutual Escrow Corporation, a valid escrow company that holds Department of Corporations license number 963-1937.  Mutual-group.com is not a website of Mutual Escrow Corporation.  Mutual-group.com is not licensed to conduct escrows by the California Department of Corporations. (Consumer Alerts)
  • 05/17/2011  The Escrow Law Advisory Committee will have the following vacancies starting with the June 7, 2011 meeting: representatives from a medium-size licensed escrow company, an escrow company that handles a different type of business specialization and an attorney specializing in escrow matters.  Escrow Managers and corporate officers of licensed escrow companies that fit the descriptions for the vacant positions and attorneys with licensed escrow company clients are encouraged to apply. The deadline for receipt of letters of qualifications and/or resumes is the end of the day on May 26, 2011.  Please see memo for more information.
  • 05/16/11 - The California Corporations Commissioner adopted Section 260.004.1 under Title 10 of the California Code of Regulations under the Corporate Securities Law of 1968. The rule clarifies broker-dealer licensure requirements for certain officers and directors of issuers. This regulatory action was filed with the Secretary of State on May 3, 2011 and will become effective on June 3, 2011. (PRO 09/09)
  • 05/13/11 - The Department of Corporations will soon issue emergency regulations to address the July 21, 2011 elimination of the current exemption from registration for investment advisers who are deemed "private advisers" under the Wall Street Regulatory Reform and Consumer Protection Act ("Dodd-Frank").
  • 05/03/11 - The California Corporations Commissioner adopted rules implementing the federal law, the Secure and Fair Enforcement of Mortgage Licensing Act of 2008 (SAFE Act) and SB 36 (Chapter 160, Statutes of 2009 – Calderon). The rules were adopted as emergency regulations on April 1, 2010, and this regulatory action permanently adopts various sections of Title 10, Chapter 3, of the California Code of Regulations. These rules were filed with the Secretary of State on April 25, 2011 and become effective 30 days after filing with the Secretary of State. PRO 16/08
  • 05/02/11 - The California Corporations Commissioner is proposing further amendments to Sections 1581, 1582, 1584, and 1585 of Title 10 of the California Code of Regulations, originally published in the February 25, 2011, California Register (Register 2011, No. 8-Z).  This rulemaking action relates to the Pilot Program for Affordable Credit-Building Opportunities (SB 1146, Chap. 640, Stats 2010) under the California Finance Lenders Law.  The period within which to comment on these amendments ends on May 18, 2011.  PRO 14/10
  • 04/11/11 - Deadline for Investment Advisers to Comply With The Dodd-Frank Act May Be Extended - Due to the time needed to revise the Investment Advisor Registration Depository (IARD) and other timing issues, the SEC is considering extending the time for investment advisers to come into compliance with the requirements of The Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”). Specifically, investment advisers transitioning from SEC registration to state registration and advisers relying on the “private advisers” exemption likely will be given until at least the first quarter of 2012 to comply with the requirements of Dodd-Frank  (See SEC letter to NASAA).
    The Department will continue to work with the SEC and registered investment advisers to ensure the smooth and timely implementation of Dodd-Frank.  Updates will be posted to this website as additional information becomes available.
  • 04/01/11 - April is California FInancial Literacy Month. This coordinated consumer education campaign encourages individuals throughout the state to take full advantage of resources designed to improve financial literacy. This year’s theme – Financial Responsibility Today for Financial Stability Tomorrow – highlights the importance of making well-informed financial decisions to improve our financial future. During the 11th Annual California Financial Literacy Month, The Departments of Corporations, Financial Institutions and Real Estate are promoting free resources to help consumers manage money, credit, investments, and debt and learn to avoid identity theft, protect their privacy, and prevent financial scams and fraud. Online information, workshops and seminars, community events, CDs and printed materials are some of the available tools for people interested in improving their financial literacy.
  • 03/28/11 - ** INTERNET ALERT – Online Escrow, Inc. and Escrow Online** - The Department of Corporations has been notified that Online Escrow, Inc., and Escrow Online both using www.oesc.info, are offering escrow services over the internet and are falsely advertising that they hold California Department of Corporations license numbers 963-0771 and 963-1990. License number 963-0771 was assigned to a previously licensed company named 1 Escrow Online, Inc., and these companies are not related to 1 Escrow Online, Inc.  License number 963-1990 is assigned to Moneyline Escrow, Inc., a licensed company.  Online Escrow, Inc. and Escrow Online are not related to Moneyline Escrow, Inc.  Online Escrow, Inc., and Escrow Online are not licensed by the California Department of Corporations. (Consumer Alerts)
  • 03/18/11 - San Francisco Office Relocation. During the weekend of April 9-10, 2011, the Department of Corporations' will relocate its San Francisco office to One Sansome Street, Suite 600, San Francisco California, 94104.  All telephone numbers and fax numbers will remain the same. Limited services will be available at the San Francisco office on Friday, April 8, 2011, however all other offices will be open as usual. The Department will be open at its new location in San Francisco on Monday, April 11, 2011.
  • 03/15/11 - The California Corporations Commissioner invites interested parties to provide comments on the regulatory oversight of private fund advisers (advisers to alternative investment vehicles).  The Commissioner seeks comments on or before March 28, 2011.  (PRO 02/11)
  • 03/03/11 - The Commissioner of Corporations has adopted emergency regulations implementing the Pilot Program for Affordable Credit-Building Opportunities (Senate Bill 1146, Chapter 640, Statutes of 2010).  These emergency regulations became effective March 3, 2011, and remain in effect for 180 days.   (PRO 14/10)
  • 02/28/2011 - The next Escrow Law Advisory Committee meeting will be on Thursday March 10, 2011 at 10:00 A.M. The meeting will be held at the Department of Corporations' Los Angeles office located at 320 West Fourth Street, 8th floor conference room B. Agenda
  • 02/14/11 - The California Corporations Commissioner is providing notice that on February 22, 2011 the Department will file emergency regulations adopting and amending various sections of Title 10 of the California Code of Regulations.  These emergency regulations implement the Pilot Program for Affordable Credit-Building Opportunities (Senate Bill 1146, Chap. 640, Stats 2010) under the California Finance Lenders Law.  (PRO 14/10)
  • 02/11/11 - The California Corporations Commissioner proposes to adopt and amend various sections of Title 10 of the California Code of Regulations.  This proposed rulemaking action implements the Pilot Program for Affordable Credit-Building Opportunities (SB 1146, Chap. 640, Stats 2010) under the California Finance Lenders Law.  The period within which to comment on this proposed regulatory action ends on April 11, 2011.  (PRO 14/10)
  • 02/01/11 - The minutes for the December 7, 2010 Escrow Advisory Committee Meeting are now available
  • 01/25/11 - All California Department of Corporations Licensed companies who have an active License status in NMLS will be required to file the NMLS Mortgage Call Report on a quarterly basis.  Reporting will begin for the first quarter of 2011.  The report will be available for filing in late April 2011.  The reports will be filed electronically through NMLS and will be due 45 days after the end of each quarter.  Please see the letter for more information.  Also refer to the NMLS website for additional information at:  http://mortgage.nationwidelicensingsystem.org/slr/common/mcr/Pages/default.aspx.
  • 01/25/11 - The California Corporations Commissioner has included a supplement to the Initial Statement of Reasons to the rulemaking file proposing to adopt rules to implement the federal law, the Secure and Fair Enforcement of Mortgage Licensing Act of 2008 (SAFE Act) and SB 36 (Chapter 160, Statutes of 2009 – Calderon).  The proposed rules were adopted as emergency regulations on April 1, 2010, and the Notice of Rulemaking was originally published in the December 10, 2010 California Register (Register 2010, No. 50-Z).  The period within which to comment on these amendments ends on February 9, 2011.  (PRO 16/08)
  • 01/21/10 - Commissioner's update on mid-sized private fund advisers, and comment letter on the SEC's proposed definition of "Venture Capital Fund."   In light of the repeal of the "private advisers" exemption under the Investment Advisers Act of 1940, the Commissioner is considering amending Rule 260.204.9 of Title 10 of the California Code of Regulations.
  • 01/18/11 - The 2009 Annual Report of Operations of Finance Companies Licensed under the California Finance Lenders Law is available on our website. This report is based on unaudited data presented by Licensees and is primarily statistical in nature.
  • 01/10/11 - In or about July 2010, Kristie Jaynes, Conservator for Dependable Escrow Co. (Dependable Escrow) filed a proof of loss and claim with the Escrow Agents' Fidelity Corporation (EAFC) and the EAFC has responded to her claim. On November 29, 2010, the Conservator and EAFC entered into a settlement agreement to resolve the Dependable Escrow claim for the sum of $306,580.15. It is anticipated that the Conservator will begin distributing the funds to the trust funds claimants shortly, once a final determination has been made.
    The claim letter and form are available on the Department's website. If you did not receive a letter and have a claim to file, print the form from the Department's website or contact the Department at 1-866-ASK-CORP (1-866-275-2677) and request a form.