18000. (a) This part shall be known and may be cited as the
Manufactured Housing Act of 1980.
(b) The Legislature finds and declares all of the following:
(1) Manufactured housing, both in mobilehome parks or manufactured
housing communities, and outside of those parks or communities,
provides a safe and affordable housing option for many Californians.
(2) Confusion exists among consumers, enforcement agencies,
lenders, and others in the housing industry regarding the difference
between "manufactured housing" and "mobilehomes." All single-family
factory-constructed housing built on or after June 15, 1976, that is
in compliance with the standards of the United States Department of
Housing and Urban Development promulgated under the federal National
Manufactured Housing Construction and Safety Standards Act of 1974
(42 U.S.C. Sec. 5401 and following) are manufactured housing or
manufactured homes, not "mobilehomes" and, as such, often are subject
to additional benefits.
(3) Continued use of the term "mobilehome" in various statutes, as
well as the implication that the terms are interchangeable,
exacerbates the confusion between the two products and deters
affordable financing, discourages use in certain localities, and
perpetuates incorrect perceptions as to codes and standards.
(4) The changes made by the act adding this subdivision to clarify
the meaning of the terms "mobilehomes" and "manufactured homes" are
not intended to effect any substantive change with respect to the
treatment of those housing products or to the consumer protections
provided for those housing products.
18000.5. The provisions of this part, insofar as they are
substantially the same as existing statutory provisions relating to
the same subject matter, shall be construed as restatements and
continuations, and not as new enactments. During any transition
required by this part, and until July 1, 1982, the department may
determine or effectuate any action or requirement in a manner which
implements the legislative intent of this part and which protects
appropriate interests of any parties subject to or protected by this
part. Regulations implementing this part and promulgated prior to
July 1, 1982, shall be deemed emergency regulations pursuant to
Section 11346.1 of the Government Code.
18001. "Approved," when used in connection with any material,
appliance, or construction, means meeting the requirements and
approval of the Department of Housing and Community Development.
18001.6. "Building" is any permanent structure built for the
support, shelter, or enclosure of persons, animals, chattel, or
property of any kind.
18001.8. "Commercial modular" means a structure transportable in
one or more sections, designed and equipped for human occupancy for
industrial, professional, or commercial purposes, which is required
to be moved under permit, and shall include a trailer coach as
defined in Section 635 of the Vehicle Code. "Commercial coach" has
the same meaning as "commercial modular" as that term is defined in
this section.
18002. "Commission" is the Commission of Housing and Community
Development.
18002.3. "Consumer" includes any person or entity which purchases
or leases a manufactured home, mobilehome, commercial coach,
recreational vehicle, or truck camper for consideration, except a
dealer or manufacturer.
18002.6. (a) "Dealer" means a person not otherwise expressly
excluded by subdivision (b), who is engaged in any of the following
activities:
(1) For commission, money, or other thing of value, sells,
exchanges, leases, buys, offers for sale, or negotiates or attempts
to negotiate a sale or exchange of an interest in a manufactured
home, mobilehome, or commercial coach, or induces or attempts to
induce any person to buy or exchange an interest in a manufactured
home, mobilehome, or commercial coach, and who receives or expects to
receive a commission, money, brokerage fees, profit, management
fees, or any other things of value from either the seller or
purchaser of the manufactured home, mobilehome, or commercial coach.
(2) Is engaged wholly or in part in the business of selling
manufactured homes, mobilehomes, or commercial coaches or buying or
taking in trade manufactured homes, mobilehomes, or commercial
coaches for the purpose of reselling, selling, or offering for sale,
or consigning to be sold, or otherwise dealing in manufactured homes,
mobilehomes, or commercial coaches, whether or not these
manufactured homes, mobilehomes, or commercial coaches are owned by
the dealer.
(b) "Dealer" does not include any of the following:
(1) An insurance company, bank, savings and loan association,
finance company, or public official coming into possession of one or
more manufactured homes, mobilehomes, or commercial coaches in the
regular course of business, who only sells manufactured homes,
mobilehomes, or commercial coaches under a contractual right or
obligation, in performance of an official duty, or under the
authority of any court of law. However, a sale subject to this
paragraph shall be for the purpose of preventing the seller from
suffering a loss or pursuant to the authority of a court of competent
jurisdiction.
(2) Persons who sell or distribute manufactured homes,
mobilehomes, or commercial coaches, subject to registration or
titling pursuant to Chapter 8 (commencing with Section 18075), for a
manufacturer to dealers licensed under this part, or who are employed
by manufacturers or distributors to promote the sale of manufactured
homes, mobilehomes, or commercial coaches dealt in by that
manufacturer or distributor. However, if any person also sells
manufactured homes, mobilehomes, or commercial coaches at retail, the
person is a dealer and is subject to this part.
(3) Persons regularly employed as salespersons by dealers licensed
under this part while acting within the scope of that employment.
(4) Persons exclusively engaged in the bona fide business of
exporting manufactured homes, mobilehomes, or commercial coaches, or
of soliciting orders for the sale and delivery of manufactured homes,
mobilehomes, or commercial coaches outside the territorial limits of
the United States, if no federal excise tax is legally payable on
any of those transactions or the tax is legally refundable on the
transactions. Persons not exclusively engaged in the bona fide
business of exporting manufactured homes, mobilehomes, or commercial
coaches but who are engaged in the business of soliciting orders for
the sale and delivery of manufactured homes, mobilehomes, or
commercial coaches outside the territorial limits of the United
States shall be exempt from licensure as dealers only if their gross
sales proceeds from manufactured homes, mobilehomes, or commercial
coaches produce less than 10 percent of their total gross revenue
from all business transacted.
(5) Persons not engaged in the purchase or sale of manufactured
homes, mobilehomes, or commercial coaches as a business.
(6) Persons disposing of manufactured homes, mobilehomes, or
commercial coaches acquired for their own use or for use in a
business of acquiring, leasing, or selling manufactured homes,
mobilehomes, or commercial coaches, if the manufactured homes,
mobilehomes, or commercial coaches have been so acquired and used in
good faith and not acquired or used for the purpose of avoiding the
provisions of this part.
(7) Persons licensed as real estate brokers who buy, sell, list,
or negotiate the purchase, sale, or exchange of manufactured homes or
mobilehomes pursuant to Section 10131.6 of the Business and
Professions Code.
18002.8. "Department" means the Department of Housing and Community
Development.
18003. "Distributor" means any person other than a manufacturer who
sells or distributes new manufactured homes, mobilehomes, or
commercial coaches to dealers in this state.
18003.3. "Dwelling unit" means one or more habitable rooms which
are designed to be occupied by one family with facilities for living,
sleeping, cooking, eating, and sanitation.
18003.5. "Escrow agent" means the person, firm, or corporation
authorized by law to conduct the escrows required by Section 18035.
18003.6. "Established place of business" means a place actually
occupied, either continuously or at regular periods, by a licensee,
where the books and records pertinent to the type of business being
conducted are kept.
18003.8. "Franchise" means a written agreement between two or more
persons having all of the following conditions:
(a) A commercial relationship of definite duration or continuing
indefinite duration.
(b) The franchisee is granted the right to offer, and sell at
retail, new manufactured homes, mobilehomes, or commercial coaches
manufactured or distributed by the franchisor.
(c) The franchisee constitutes a component of the franchisor's
distribution system.
(d) The operation of the franchisee's business is substantially
associated with the franchisor's trademark, trade name, advertising,
or other commercial symbol designating the franchisor, as determined
by the department.
(e) The operation of a portion of the franchisee's business is
substantially reliant on the franchisor for a continued supply of new
manufactured homes, mobilehomes, or commercial coaches, parts, and
accessories, as determined by the department.
18004. "Franchisee" means any person who, pursuant to a franchise,
receives new manufactured homes, mobilehomes, or commercial coaches
from the franchisor and who sells manufactured homes, mobilehomes, or
commercial coaches at retail.
18004.3. "Franchisor" means any person who manufactures, assembles,
or distributes new manufactured homes, mobilehomes, or commercial
coaches and who grants a franchise.
18004.6. "Fraud" includes any act or omission which is included
within the definition of either "actual fraud" or "constructive fraud"
as defined, respectively, in Sections 1572 and 1573 of the Civil
Code, and the term "deceit" has the same meaning as defined in
Section 1710 of the Civil Code.
In addition, the terms "fraud" and "deceit" include, but are not
limited to, the following:
(a) A misrepresentation in any manner, whether intentionally false
or due to gross negligence, of a material fact.
(b) A promise or representation not made honestly and in good
faith.
(c) An intentional failure to disclose a material fact.
(d) Any act falling within the provisions of Section 484 of the
Penal Code.
18004.8. "Good moral character" has the same meaning as specified
in Division 1.5 (commencing with Section 475) of the Business and
Professions Code.
18005. "Hearing" or "notice of hearing", as used in this part,
shall mean notice and hearing under Chapter 5 (commencing with
Section 11500) of Division 3 of Title 2 of the Government Code except
in the case of summary action pursuant to Section 18064.5.
18005.3. "Junior lienholder" means a person, other than a legal
owner, holding a security interest in a manufactured home,
mobilehome, commercial coach, floating home, or truck camper
perfected by filing the appropriate documents with the department
pursuant to Section 18080.7.
18005.6. "Lease" means an oral or written contract for the use,
possession, and occupation of property. "Lease" includes rent.
18005.8. "Legal owner" means a person holding a security interest
in a manufactured home, mobilehome, commercial coach, floating home,
or truck camper perfected by filing the appropriate documents with
the department pursuant to Section 18080.7 if the person is entitled
to the designation, as provided in Article 3 (commencing with Section
18085) or 4 (commencing with Section 18098) of Chapter 8. A lien
created pursuant to Section 18080.9 is not a security interest for
purposes of this definition.
18006. "Licensee" means a dealer, dealer branch, manufacturer,
distributor, or salesperson licensed pursuant to this part.
18006.3. "Manufacturer" means any person who produces from raw
materials or basic components a manufactured home, mobilehome, or
commercial coach of a type subject to the provisions of this part, or
who permanently alters for purposes of retail sales, rent, or lease,
within this state, manufactured homes, mobilehomes, or commercial
coaches by converting them into manufactured homes, mobilehomes, or
commercial coaches subject to this part.
18007. (a) "Manufactured home," for the purposes of this part,
means a structure that was constructed on or after June 15, 1976, is
transportable in one or more sections, is eight body feet or more in
width, or 40 body feet or more in length, in the traveling mode, or,
when erected on site, is 320 or more square feet, is built on a
permanent chassis and designed to be used as a single-family dwelling
with or without a foundation when connected to the required
utilities, and includes the plumbing, heating, air conditioning, and
electrical systems contained therein. "Manufactured home" includes
any structure that meets all the requirements of this paragraph
except the size requirements and with respect to which the
manufacturer voluntarily files a certification and complies with the
standards established under the National Manufactured Housing
Construction and Safety Act of 1974 (42 U.S.C., Sec. 5401, and
following).
(b) Notwithstanding any other provision of law, if a codified
provision of state law uses the term "manufactured home," and it
clearly appears from the context that the term "manufactured home"
should apply only to manufactured homes, as defined under subdivision
(a), the codified provision shall apply only to those manufactured
homes. If any codified provision of state law, by its context,
requires that the term applies to manufactured homes or mobilehomes
without regard to the date of construction, the codified provision
shall apply to both manufactured homes, as defined under subdivision
(a), and mobilehomes as defined under Section 18008.
18008. (a) "Mobilehome," for the purposes of this part, means a
structure that was constructed prior to June 15, 1976, is
transportable in one or more sections, is eight body feet or more in
width, or 40 body feet or more in length, in the traveling mode, or,
when erected onsite, is 320 or more square feet, is built on a
permanent chassis and designed to be used as a single-family dwelling
with or without a foundation system when connected to the required
utilities, and includes the plumbing, heating, air conditioning, and
electrical systems contained therein. "Mobilehome" includes any
structure that meets all the requirements of this paragraph and
complies with the state standards for mobilehomes in effect at the
time of construction. "Mobilehome" does not include a commercial
modular, as defined in Section 18001.8, factory-built housing, as
defined in Section 19971, a manufactured home, as defined in Section
18007, a multifamily manufactured home, as defined in Section
18008.7, or a recreational vehicle, as defined in Section 18010.
(b) Notwithstanding any other provision of law, if a codified
provision of state law uses the term "mobilehome," and it clearly
appears from the context that the term "mobilehome" should apply only
to mobilehomes, as defined under subdivision (a), the codified
provision shall apply only to those mobilehomes. If any codified
provision of state law, by its context, requires that the term
applies to mobilehomes or manufactured homes without regard to the
date of construction, the codified provision shall apply to both
mobilehomes, as defined under subdivision (a), and manufactured
homes, as defined under Section 18007.
18008.5. "Manufactured home or mobilehome accessory building or
structure" or "manufactured home or mobilehome accessory" includes,
but is not limited to, any awning, portable, demountable, or
permanent cabana, ramada, storage cabinet, carport, skirting, heater,
cooler, fence, windbreak, or porch or other equipment established
for the use of the occupant of the manufactured home or mobilehome.
18008.7. (a) "Multifamily manufactured home," for the purposes of
this part, means either of the following:
(1) A structure transportable under permit in one or more
sections, designed and equipped to contain not more than two dwelling
units, a dormitory, or an efficiency unit, to be used either with a
support system pursuant to Section 18613 or a foundation system
pursuant to subdivision (a) of Section 18551.
(2) A structure transportable under permit in one or more
sections, designed to be used with a foundation system for three or
more dwelling units, as defined by Section 18003.3.
(b) Multifamily manufactured homes shall be constructed in
compliance with applicable department regulations. The egress and
fire separation requirements of Title 24 of the California Code of
Regulations applicable to dormitories, hotels, apartment houses, and
structures that contain two dwelling units shall also be applicable
to all multifamily manufactured homes constructed for those purposes.
The accessibility and adaptability requirements of Title 24 of the
California Code of Regulations applicable to covered multifamily
dwelling units shall also be applicable to multifamily manufactured
homes containing three or more dwelling units.
(c) Notwithstanding any other provision of law, all provisions of
law that apply to manufactured homes shall apply equally to
multifamily manufactured homes, except as provided in this section.
(d) For purposes of this section:
(1) "Dormitory" means a room or rooms inhabited for the purposes
of temporary residence by two or more persons.
(2) "Efficiency unit" has the same meaning as defined in Section
17958.1.
(3) "Multiunit manufactured housing" has the same meaning as
"multifamily manufactured home," as that term is defined in this
section.
18009. "New manufactured home," "new mobilehome," or "new
commercial coach" is a manufactured home, mobilehome, or commercial
coach which is not defined as a "used manufactured home," "used
mobilehome", or "used commercial coach" under Section 18014, which is
delivered for sale or lease in this state, and which has not been
delivered to a first purchaser or lessor for purposes other than
resale or reletting.
18009.3. (a) "Park trailer" means a trailer designed for human
habitation for recreational or seasonal use only, that meets all of
the following requirements:
(1) It contains 400 square feet or less of gross floor area,
excluding loft area space if that loft area space meets the
requirements of subdivision (b) and Section 18033. It may not exceed
14 feet in width at the maximum horizontal projection.
(2) It is built upon a single chassis.
(3) It may only be transported upon the public highways with a
permit issued pursuant to Section 35780 of the Vehicle Code.
(b) For purposes of this section and Section 18033, "loft area"
means any area within a unit that is elevated 30 inches or more above
the main floor area and designed to be occupied. In order for the
floor of a loft area to be occupied and excluded from the calculation
of gross floor area for purposes of subdivision (a), the loft area
shall meet all of the requirements of Section 18033. Loft areas not
meeting the requirements of this subdivision and Section 18033 shall
not be occupied and shall be posted with a permanent label
conspicuously located within 24 inches of the opening of each
noncomplying loft. The label language and design shall provide the
following:
WARNING
This area is not designed to be occupied and shall be used only for
storage.
Lettering on this label shall contrast with the label's background
and shall be not less than one-quarter inch in height, except for
the word "WARNING" which shall be not less than one-half inch in
height.
(c) A park trailer hitch, when designed by the manufacturer to be
removable, may be removed and stored beneath a park trailer.
(d) If any provision of this section or Section 18033 conflicts
with ANSI Standard A119.5 Recreational Park Trailers as it is
published at any time, the statutory provision shall prevail.
18009.5. "Registered owner" means a person registered by the
department as the owner of a manufactured home, mobilehome,
commercial coach, floating home, or truck camper.
18010. "Recreational vehicle" means both of the following:
(a) A motor home, travel trailer, truck camper, or camping
trailer, with or without motive power, designed for human habitation
for recreational, emergency, or other occupancy, that meets all of
the following criteria:
(1) It contains less than 320 square feet of internal living room
area, excluding built-in equipment, including, but not limited to,
wardrobe, closets, cabinets, kitchen units or fixtures, and bath or
toilet rooms.
(2) It contains 400 square feet or less of gross area measured at
maximum horizontal projections.
(3) It is built on a single chassis.
(4) It is either self-propelled, truck-mounted, or permanently
towable on the highways without a permit.
(b) A park trailer, as defined in Section 18009.3.
18010.5. "Regulations" or "rules and regulations," as used in this
part, means regulations promulgated by the commission or department,
as appropriate, pursuant to Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code.
18011. "Rent" means money or other consideration given for the
right of use, possession, and occupation of property.
18012. "Retailer" means a dealer.
18012.3. "Sale" or "sold," for purposes of Chapter 8 (commencing
with Section 18075) does not include or extend to any sale made by a
manufacturer or a distributor to a dealer or by a dealer to another
dealer licensed under this part.
18012.4. "Slide-in camper" means a portable unit, consisting of a
roof, floor, and sides, designed to be loaded onto, and unloaded
from, a truck and designed for human habitation for recreational or
emergency occupancy. "Slide-in camper" means a truck camper.
18012.5. "Special purpose commercial modular" means a vehicle with
or without motive power, designed and equipped for human occupancy
for industrial, professional, or commercial purposes, which is not
required to be moved under permit, and shall include a trailer coach.
"Special purpose commercial coach" has the same meaning as "special
purpose commercial modular" as that term is defined in this section.
18013. (a) "Salesperson" means a person employed by a dealer and
not otherwise expressly excluded by this section, who does one or
more of the following:
(1) For commission, money, profit, or other thing of value, sells,
exchanges, buys, leases, or offers for sale, negotiates, or attempts
to negotiate, a sale, lease, or exchange of an interest in a
manufactured home, mobilehome, or commercial coach.
(2) Induces or attempts to induce any person to buy, lease, or
exchange an interest in a manufactured home, mobilehome, or
commercial coach, and who receives or expects to receive a
commission, money, brokerage fees, profit, or any other thing of
value, from either the seller, lessee, or purchaser of the
manufactured home, mobilehome or commercial coach.
(3) Exercises managerial control over the business of a licensed
manufactured home, mobilehome, or commercial coach dealer or who
supervises salespersons employed by a licensed dealer, whether
compensated by salary or commission, including, but not limited to,
any person who is employed by the dealer as a general manager,
assistant general manager, sales manager, or in any capacity,
regardless of title, where the individual reviews, advises,
supervises, or oversees, sales contracts, credit applications, or any
other documents pertaining to the sale, purchase, or lease of
manufactured homes or mobilehomes, or any employee of a licensed
manufactured home, mobilehome, or commercial coach dealer who
negotiates with or induces a customer to enter into a security
agreement, lease, or purchase agreement or purchase order for the
sale of a manufactured home, mobilehome, or commercial coach on
behalf of the licensed manufactured home, mobilehome, or commercial
coach dealer.
(b) The term "salesperson" does not include any of the following:
(1) A representative of an insurance company, finance company,
bank, savings and loan association, or public official, who in the
regular course of business, is required to dispose of, or sell
manufactured homes, mobilehomes, or commercial coaches under a
contractual right or obligation of the employer, or in the
performance of an official duty, or under authority of any court of
law, as long as the sale is for the purpose of protecting the seller
from any loss or is pursuant to the authority of a court of competent
jurisdiction.
(2) A person who is licensed as a manufacturer or distributor.
(3) A person exclusively employed in a bona fide business of
exporting manufactured homes, mobilehomes, or commercial coaches, or
of soliciting orders for the sale and delivery of mobilehomes or
commercial coaches outside the territorial limits of the United
States.
(4) A person not engaged in the purchase or sale of manufactured
homes, mobilehomes, or commercial coaches as a business, disposing of
manufactured homes, mobilehomes, or commercial coaches acquired for
the person's own use, or for use in business when they have been so
acquired and used in good faith and not for the purpose of avoiding
the provisions of this part.
(5) A person licensed as a manufactured home, mobilehome, or
commercial coach dealer doing business as a sole ownership or a
member of a partnership or a stockholder and director of a
corporation licensed as a manufactured home, mobilehome, or
commercial coach dealer under this part, as long as the person
engages in the activities of a salesperson exclusively on behalf of
the sole ownership or partnership or corporation in which the person
owns an interest or stock, and the person owning the stock is a
director of the corporation; otherwise, the person shall be deemed to
be a manufactured home, mobilehome, or commercial coach salesperson
and subject to the provisions of Section 18045.
18013.2. "Third-party entity" or "third party," as used in this
part, means an entity which is all of the following:
(a) In the business of inspecting equipment, systems, and
assemblies and monitoring quality assurance programs, or analyzing
plans, designs, specifications, and engineering calculations
supporting design concepts.
(b) Not under the control or jurisdiction of any manufacturer or
supplier for any affected industry except by contract as required and
approved by the department.
(c) Making available specific information as required by the
department.
(d) Approved by the department.
18013.4. "Truck camper" means a slide-in camper as defined in
Section 18012.4.
18014. "Used manufactured home," "used mobilehome," or "used
commercial coach" means a manufactured home, mobilehome, or
commercial coach that was previously sold and registered or titled
with the department, or with an appropriate agency or authority, or
any other state, District of Columbia, territory or possession of the
United States or a foreign state, province, or country.
18014.5. For purposes of this part, a "net listing agreement" means
any agreement entered into by a seller of a manufactured home or
mobilehome that is not a new manufactured home or mobilehome and a
licensed dealer in which the seller agrees to accept a specific
purchase price and under which the dealer may receive as a commission
all proceeds from the sale in excess of that purchase price.
18000. (a) This part shall be known and may be cited as the
Manufactured Housing Act of 1980.
(b) The Legislature finds and declares all of the following:
(1) Manufactured housing, both in mobilehome parks or manufactured
housing communities, and outside of those parks or communities,
provides a safe and affordable housing option for many Californians.
(2) Confusion exists among consumers, enforcement agencies,
lenders, and others in the housing industry regarding the difference
between "manufactured housing" and "mobilehomes." All single-family
factory-constructed housing built on or after June 15, 1976, that is
in compliance with the standards of the United States Department of
Housing and Urban Development promulgated under the federal National
Manufactured Housing Construction and Safety Standards Act of 1974
(42 U.S.C. Sec. 5401 and following) are manufactured housing or
manufactured homes, not "mobilehomes" and, as such, often are subject
to additional benefits.
(3) Continued use of the term "mobilehome" in various statutes, as
well as the implication that the terms are interchangeable,
exacerbates the confusion between the two products and deters
affordable financing, discourages use in certain localities, and
perpetuates incorrect perceptions as to codes and standards.
(4) The changes made by the act adding this subdivision to clarify
the meaning of the terms "mobilehomes" and "manufactured homes" are
not intended to effect any substantive change with respect to the
treatment of those housing products or to the consumer protections
provided for those housing products.
18000.5. The provisions of this part, insofar as they are
substantially the same as existing statutory provisions relating to
the same subject matter, shall be construed as restatements and
continuations, and not as new enactments. During any transition
required by this part, and until July 1, 1982, the department may
determine or effectuate any action or requirement in a manner which
implements the legislative intent of this part and which protects
appropriate interests of any parties subject to or protected by this
part. Regulations implementing this part and promulgated prior to
July 1, 1982, shall be deemed emergency regulations pursuant to
Section 11346.1 of the Government Code.
18001. "Approved," when used in connection with any material,
appliance, or construction, means meeting the requirements and
approval of the Department of Housing and Community Development.
18001.6. "Building" is any permanent structure built for the
support, shelter, or enclosure of persons, animals, chattel, or
property of any kind.
18001.8. "Commercial modular" means a structure transportable in
one or more sections, designed and equipped for human occupancy for
industrial, professional, or commercial purposes, which is required
to be moved under permit, and shall include a trailer coach as
defined in Section 635 of the Vehicle Code. "Commercial coach" has
the same meaning as "commercial modular" as that term is defined in
this section.
18002. "Commission" is the Commission of Housing and Community
Development.
18002.3. "Consumer" includes any person or entity which purchases
or leases a manufactured home, mobilehome, commercial coach,
recreational vehicle, or truck camper for consideration, except a
dealer or manufacturer.
18002.6. (a) "Dealer" means a person not otherwise expressly
excluded by subdivision (b), who is engaged in any of the following
activities:
(1) For commission, money, or other thing of value, sells,
exchanges, leases, buys, offers for sale, or negotiates or attempts
to negotiate a sale or exchange of an interest in a manufactured
home, mobilehome, or commercial coach, or induces or attempts to
induce any person to buy or exchange an interest in a manufactured
home, mobilehome, or commercial coach, and who receives or expects to
receive a commission, money, brokerage fees, profit, management
fees, or any other things of value from either the seller or
purchaser of the manufactured home, mobilehome, or commercial coach.
(2) Is engaged wholly or in part in the business of selling
manufactured homes, mobilehomes, or commercial coaches or buying or
taking in trade manufactured homes, mobilehomes, or commercial
coaches for the purpose of reselling, selling, or offering for sale,
or consigning to be sold, or otherwise dealing in manufactured homes,
mobilehomes, or commercial coaches, whether or not these
manufactured homes, mobilehomes, or commercial coaches are owned by
the dealer.
(b) "Dealer" does not include any of the following:
(1) An insurance company, bank, savings and loan association,
finance company, or public official coming into possession of one or
more manufactured homes, mobilehomes, or commercial coaches in the
regular course of business, who only sells manufactured homes,
mobilehomes, or commercial coaches under a contractual right or
obligation, in performance of an official duty, or under the
authority of any court of law. However, a sale subject to this
paragraph shall be for the purpose of preventing the seller from
suffering a loss or pursuant to the authority of a court of competent
jurisdiction.
(2) Persons who sell or distribute manufactured homes,
mobilehomes, or commercial coaches, subject to registration or
titling pursuant to Chapter 8 (commencing with Section 18075), for a
manufacturer to dealers licensed under this part, or who are employed
by manufacturers or distributors to promote the sale of manufactured
homes, mobilehomes, or commercial coaches dealt in by that
manufacturer or distributor. However, if any person also sells
manufactured homes, mobilehomes, or commercial coaches at retail, the
person is a dealer and is subject to this part.
(3) Persons regularly employed as salespersons by dealers licensed
under this part while acting within the scope of that employment.
(4) Persons exclusively engaged in the bona fide business of
exporting manufactured homes, mobilehomes, or commercial coaches, or
of soliciting orders for the sale and delivery of manufactured homes,
mobilehomes, or commercial coaches outside the territorial limits of
the United States, if no federal excise tax is legally payable on
any of those transactions or the tax is legally refundable on the
transactions. Persons not exclusively engaged in the bona fide
business of exporting manufactured homes, mobilehomes, or commercial
coaches but who are engaged in the business of soliciting orders for
the sale and delivery of manufactured homes, mobilehomes, or
commercial coaches outside the territorial limits of the United
States shall be exempt from licensure as dealers only if their gross
sales proceeds from manufactured homes, mobilehomes, or commercial
coaches produce less than 10 percent of their total gross revenue
from all business transacted.
(5) Persons not engaged in the purchase or sale of manufactured
homes, mobilehomes, or commercial coaches as a business.
(6) Persons disposing of manufactured homes, mobilehomes, or
commercial coaches acquired for their own use or for use in a
business of acquiring, leasing, or selling manufactured homes,
mobilehomes, or commercial coaches, if the manufactured homes,
mobilehomes, or commercial coaches have been so acquired and used in
good faith and not acquired or used for the purpose of avoiding the
provisions of this part.
(7) Persons licensed as real estate brokers who buy, sell, list,
or negotiate the purchase, sale, or exchange of manufactured homes or
mobilehomes pursuant to Section 10131.6 of the Business and
Professions Code.
18002.8. "Department" means the Department of Housing and Community
Development.
18003. "Distributor" means any person other than a manufacturer who
sells or distributes new manufactured homes, mobilehomes, or
commercial coaches to dealers in this state.
18003.3. "Dwelling unit" means one or more habitable rooms which
are designed to be occupied by one family with facilities for living,
sleeping, cooking, eating, and sanitation.
18003.5. "Escrow agent" means the person, firm, or corporation
authorized by law to conduct the escrows required by Section 18035.
18003.6. "Established place of business" means a place actually
occupied, either continuously or at regular periods, by a licensee,
where the books and records pertinent to the type of business being
conducted are kept.
18003.8. "Franchise" means a written agreement between two or more
persons having all of the following conditions:
(a) A commercial relationship of definite duration or continuing
indefinite duration.
(b) The franchisee is granted the right to offer, and sell at
retail, new manufactured homes, mobilehomes, or commercial coaches
manufactured or distributed by the franchisor.
(c) The franchisee constitutes a component of the franchisor's
distribution system.
(d) The operation of the franchisee's business is substantially
associated with the franchisor's trademark, trade name, advertising,
or other commercial symbol designating the franchisor, as determined
by the department.
(e) The operation of a portion of the franchisee's business is
substantially reliant on the franchisor for a continued supply of new
manufactured homes, mobilehomes, or commercial coaches, parts, and
accessories, as determined by the department.
18004. "Franchisee" means any person who, pursuant to a franchise,
receives new manufactured homes, mobilehomes, or commercial coaches
from the franchisor and who sells manufactured homes, mobilehomes, or
commercial coaches at retail.
18004.3. "Franchisor" means any person who manufactures, assembles,
or distributes new manufactured homes, mobilehomes, or commercial
coaches and who grants a franchise.
18004.6. "Fraud" includes any act or omission which is included
within the definition of either "actual fraud" or "constructive fraud"
as defined, respectively, in Sections 1572 and 1573 of the Civil
Code, and the term "deceit" has the same meaning as defined in
Section 1710 of the Civil Code.
In addition, the terms "fraud" and "deceit" include, but are not
limited to, the following:
(a) A misrepresentation in any manner, whether intentionally false
or due to gross negligence, of a material fact.
(b) A promise or representation not made honestly and in good
faith.
(c) An intentional failure to disclose a material fact.
(d) Any act falling within the provisions of Section 484 of the
Penal Code.
18004.8. "Good moral character" has the same meaning as specified
in Division 1.5 (commencing with Section 475) of the Business and
Professions Code.
18005. "Hearing" or "notice of hearing", as used in this part,
shall mean notice and hearing under Chapter 5 (commencing with
Section 11500) of Division 3 of Title 2 of the Government Code except
in the case of summary action pursuant to Section 18064.5.
18005.3. "Junior lienholder" means a person, other than a legal
owner, holding a security interest in a manufactured home,
mobilehome, commercial coach, floating home, or truck camper
perfected by filing the appropriate documents with the department
pursuant to Section 18080.7.
18005.6. "Lease" means an oral or written contract for the use,
possession, and occupation of property. "Lease" includes rent.
18005.8. "Legal owner" means a person holding a security interest
in a manufactured home, mobilehome, commercial coach, floating home,
or truck camper perfected by filing the appropriate documents with
the department pursuant to Section 18080.7 if the person is entitled
to the designation, as provided in Article 3 (commencing with Section
18085) or 4 (commencing with Section 18098) of Chapter 8. A lien
created pursuant to Section 18080.9 is not a security interest for
purposes of this definition.
18006. "Licensee" means a dealer, dealer branch, manufacturer,
distributor, or salesperson licensed pursuant to this part.
18006.3. "Manufacturer" means any person who produces from raw
materials or basic components a manufactured home, mobilehome, or
commercial coach of a type subject to the provisions of this part, or
who permanently alters for purposes of retail sales, rent, or lease,
within this state, manufactured homes, mobilehomes, or commercial
coaches by converting them into manufactured homes, mobilehomes, or
commercial coaches subject to this part.
18007. (a) "Manufactured home," for the purposes of this part,
means a structure that was constructed on or after June 15, 1976, is
transportable in one or more sections, is eight body feet or more in
width, or 40 body feet or more in length, in the traveling mode, or,
when erected on site, is 320 or more square feet, is built on a
permanent chassis and designed to be used as a single-family dwelling
with or without a foundation when connected to the required
utilities, and includes the plumbing, heating, air conditioning, and
electrical systems contained therein. "Manufactured home" includes
any structure that meets all the requirements of this paragraph
except the size requirements and with respect to which the
manufacturer voluntarily files a certification and complies with the
standards established under the National Manufactured Housing
Construction and Safety Act of 1974 (42 U.S.C., Sec. 5401, and
following).
(b) Notwithstanding any other provision of law, if a codified
provision of state law uses the term "manufactured home," and it
clearly appears from the context that the term "manufactured home"
should apply only to manufactured homes, as defined under subdivision
(a), the codified provision shall apply only to those manufactured
homes. If any codified provision of state law, by its context,
requires that the term applies to manufactured homes or mobilehomes
without regard to the date of construction, the codified provision
shall apply to both manufactured homes, as defined under subdivision
(a), and mobilehomes as defined under Section 18008.
18008. (a) "Mobilehome," for the purposes of this part, means a
structure that was constructed prior to June 15, 1976, is
transportable in one or more sections, is eight body feet or more in
width, or 40 body feet or more in length, in the traveling mode, or,
when erected onsite, is 320 or more square feet, is built on a
permanent chassis and designed to be used as a single-family dwelling
with or without a foundation system when connected to the required
utilities, and includes the plumbing, heating, air conditioning, and
electrical systems contained therein. "Mobilehome" includes any
structure that meets all the requirements of this paragraph and
complies with the state standards for mobilehomes in effect at the
time of construction. "Mobilehome" does not include a commercial
modular, as defined in Section 18001.8, factory-built housing, as
defined in Section 19971, a manufactured home, as defined in Section
18007, a multifamily manufactured home, as defined in Section
18008.7, or a recreational vehicle, as defined in Section 18010.
(b) Notwithstanding any other provision of law, if a codified
provision of state law uses the term "mobilehome," and it clearly
appears from the context that the term "mobilehome" should apply only
to mobilehomes, as defined under subdivision (a), the codified
provision shall apply only to those mobilehomes. If any codified
provision of state law, by its context, requires that the term
applies to mobilehomes or manufactured homes without regard to the
date of construction, the codified provision shall apply to both
mobilehomes, as defined under subdivision (a), and manufactured
homes, as defined under Section 18007.
18008.5. "Manufactured home or mobilehome accessory building or
structure" or "manufactured home or mobilehome accessory" includes,
but is not limited to, any awning, portable, demountable, or
permanent cabana, ramada, storage cabinet, carport, skirting, heater,
cooler, fence, windbreak, or porch or other equipment established
for the use of the occupant of the manufactured home or mobilehome.
18008.7. (a) "Multifamily manufactured home," for the purposes of
this part, means either of the following:
(1) A structure transportable under permit in one or more
sections, designed and equipped to contain not more than two dwelling
units, a dormitory, or an efficiency unit, to be used either with a
support system pursuant to Section 18613 or a foundation system
pursuant to subdivision (a) of Section 18551.
(2) A structure transportable under permit in one or more
sections, designed to be used with a foundation system for three or
more dwelling units, as defined by Section 18003.3.
(b) Multifamily manufactured homes shall be constructed in
compliance with applicable department regulations. The egress and
fire separation requirements of Title 24 of the California Code of
Regulations applicable to dormitories, hotels, apartment houses, and
structures that contain two dwelling units shall also be applicable
to all multifamily manufactured homes constructed for those purposes.
The accessibility and adaptability requirements of Title 24 of the
California Code of Regulations applicable to covered multifamily
dwelling units shall also be applicable to multifamily manufactured
homes containing three or more dwelling units.
(c) Notwithstanding any other provision of law, all provisions of
law that apply to manufactured homes shall apply equally to
multifamily manufactured homes, except as provided in this section.
(d) For purposes of this section:
(1) "Dormitory" means a room or rooms inhabited for the purposes
of temporary residence by two or more persons.
(2) "Efficiency unit" has the same meaning as defined in Section
17958.1.
(3) "Multiunit manufactured housing" has the same meaning as
"multifamily manufactured home," as that term is defined in this
section.
18009. "New manufactured home," "new mobilehome," or "new
commercial coach" is a manufactured home, mobilehome, or commercial
coach which is not defined as a "used manufactured home," "used
mobilehome", or "used commercial coach" under Section 18014, which is
delivered for sale or lease in this state, and which has not been
delivered to a first purchaser or lessor for purposes other than
resale or reletting.
18009.3. (a) "Park trailer" means a trailer designed for human
habitation for recreational or seasonal use only, that meets all of
the following requirements:
(1) It contains 400 square feet or less of gross floor area,
excluding loft area space if that loft area space meets the
requirements of subdivision (b) and Section 18033. It may not exceed
14 feet in width at the maximum horizontal projection.
(2) It is built upon a single chassis.
(3) It may only be transported upon the public highways with a
permit issued pursuant to Section 35780 of the Vehicle Code.
(b) For purposes of this section and Section 18033, "loft area"
means any area within a unit that is elevated 30 inches or more above
the main floor area and designed to be occupied. In order for the
floor of a loft area to be occupied and excluded from the calculation
of gross floor area for purposes of subdivision (a), the loft area
shall meet all of the requirements of Section 18033. Loft areas not
meeting the requirements of this subdivision and Section 18033 shall
not be occupied and shall be posted with a permanent label
conspicuously located within 24 inches of the opening of each
noncomplying loft. The label language and design shall provide the
following:
WARNING
This area is not designed to be occupied and shall be used only for
storage.
Lettering on this label shall contrast with the label's background
and shall be not less than one-quarter inch in height, except for
the word "WARNING" which shall be not less than one-half inch in
height.
(c) A park trailer hitch, when designed by the manufacturer to be
removable, may be removed and stored beneath a park trailer.
(d) If any provision of this section or Section 18033 conflicts
with ANSI Standard A119.5 Recreational Park Trailers as it is
published at any time, the statutory provision shall prevail.
18009.5. "Registered owner" means a person registered by the
department as the owner of a manufactured home, mobilehome,
commercial coach, floating home, or truck camper.
18010. "Recreational vehicle" means both of the following:
(a) A motor home, travel trailer, truck camper, or camping
trailer, with or without motive power, designed for human habitation
for recreational, emergency, or other occupancy, that meets all of
the following criteria:
(1) It contains less than 320 square feet of internal living room
area, excluding built-in equipment, including, but not limited to,
wardrobe, closets, cabinets, kitchen units or fixtures, and bath or
toilet rooms.
(2) It contains 400 square feet or less of gross area measured at
maximum horizontal projections.
(3) It is built on a single chassis.
(4) It is either self-propelled, truck-mounted, or permanently
towable on the highways without a permit.
(b) A park trailer, as defined in Section 18009.3.
18010.5. "Regulations" or "rules and regulations," as used in this
part, means regulations promulgated by the commission or department,
as appropriate, pursuant to Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code.
18011. "Rent" means money or other consideration given for the
right of use, possession, and occupation of property.
18012. "Retailer" means a dealer.
18012.3. "Sale" or "sold," for purposes of Chapter 8 (commencing
with Section 18075) does not include or extend to any sale made by a
manufacturer or a distributor to a dealer or by a dealer to another
dealer licensed under this part.
18012.4. "Slide-in camper" means a portable unit, consisting of a
roof, floor, and sides, designed to be loaded onto, and unloaded
from, a truck and designed for human habitation for recreational or
emergency occupancy. "Slide-in camper" means a truck camper.
18012.5. "Special purpose commercial modular" means a vehicle with
or without motive power, designed and equipped for human occupancy
for industrial, professional, or commercial purposes, which is not
required to be moved under permit, and shall include a trailer coach.
"Special purpose commercial coach" has the same meaning as "special
purpose commercial modular" as that term is defined in this section.
18013. (a) "Salesperson" means a person employed by a dealer and
not otherwise expressly excluded by this section, who does one or
more of the following:
(1) For commission, money, profit, or other thing of value, sells,
exchanges, buys, leases, or offers for sale, negotiates, or attempts
to negotiate, a sale, lease, or exchange of an interest in a
manufactured home, mobilehome, or commercial coach.
(2) Induces or attempts to induce any person to buy, lease, or
exchange an interest in a manufactured home, mobilehome, or
commercial coach, and who receives or expects to receive a
commission, money, brokerage fees, profit, or any other thing of
value, from either the seller, lessee, or purchaser of the
manufactured home, mobilehome or commercial coach.
(3) Exercises managerial control over the business of a licensed
manufactured home, mobilehome, or commercial coach dealer or who
supervises salespersons employed by a licensed dealer, whether
compensated by salary or commission, including, but not limited to,
any person who is employed by the dealer as a general manager,
assistant general manager, sales manager, or in any capacity,
regardless of title, where the individual reviews, advises,
supervises, or oversees, sales contracts, credit applications, or any
other documents pertaining to the sale, purchase, or lease of
manufactured homes or mobilehomes, or any employee of a licensed
manufactured home, mobilehome, or commercial coach dealer who
negotiates with or induces a customer to enter into a security
agreement, lease, or purchase agreement or purchase order for the
sale of a manufactured home, mobilehome, or commercial coach on
behalf of the licensed manufactured home, mobilehome, or commercial
coach dealer.
(b) The term "salesperson" does not include any of the following:
(1) A representative of an insurance company, finance company,
bank, savings and loan association, or public official, who in the
regular course of business, is required to dispose of, or sell
manufactured homes, mobilehomes, or commercial coaches under a
contractual right or obligation of the employer, or in the
performance of an official duty, or under authority of any court of
law, as long as the sale is for the purpose of protecting the seller
from any loss or is pursuant to the authority of a court of competent
jurisdiction.
(2) A person who is licensed as a manufacturer or distributor.
(3) A person exclusively employed in a bona fide business of
exporting manufactured homes, mobilehomes, or commercial coaches, or
of soliciting orders for the sale and delivery of mobilehomes or
commercial coaches outside the territorial limits of the United
States.
(4) A person not engaged in the purchase or sale of manufactured
homes, mobilehomes, or commercial coaches as a business, disposing of
manufactured homes, mobilehomes, or commercial coaches acquired for
the person's own use, or for use in business when they have been so
acquired and used in good faith and not for the purpose of avoiding
the provisions of this part.
(5) A person licensed as a manufactured home, mobilehome, or
commercial coach dealer doing business as a sole ownership or a
member of a partnership or a stockholder and director of a
corporation licensed as a manufactured home, mobilehome, or
commercial coach dealer under this part, as long as the person
engages in the activities of a salesperson exclusively on behalf of
the sole ownership or partnership or corporation in which the person
owns an interest or stock, and the person owning the stock is a
director of the corporation; otherwise, the person shall be deemed to
be a manufactured home, mobilehome, or commercial coach salesperson
and subject to the provisions of Section 18045.
18013.2. "Third-party entity" or "third party," as used in this
part, means an entity which is all of the following:
(a) In the business of inspecting equipment, systems, and
assemblies and monitoring quality assurance programs, or analyzing
plans, designs, specifications, and engineering calculations
supporting design concepts.
(b) Not under the control or jurisdiction of any manufacturer or
supplier for any affected industry except by contract as required and
approved by the department.
(c) Making available specific information as required by the
department.
(d) Approved by the department.
18013.4. "Truck camper" means a slide-in camper as defined in
Section 18012.4.
18014. "Used manufactured home," "used mobilehome," or "used
commercial coach" means a manufactured home, mobilehome, or
commercial coach that was previously sold and registered or titled
with the department, or with an appropriate agency or authority, or
any other state, District of Columbia, territory or possession of the
United States or a foreign state, province, or country.
18014.5. For purposes of this part, a "net listing agreement" means
any agreement entered into by a seller of a manufactured home or
mobilehome that is not a new manufactured home or mobilehome and a
licensed dealer in which the seller agrees to accept a specific
purchase price and under which the dealer may receive as a commission
all proceeds from the sale in excess of that purchase price.
18000. (a) This part shall be known and may be cited as the
Manufactured Housing Act of 1980.
(b) The Legislature finds and declares all of the following:
(1) Manufactured housing, both in mobilehome parks or manufactured
housing communities, and outside of those parks or communities,
provides a safe and affordable housing option for many Californians.
(2) Confusion exists among consumers, enforcement agencies,
lenders, and others in the housing industry regarding the difference
between "manufactured housing" and "mobilehomes." All single-family
factory-constructed housing built on or after June 15, 1976, that is
in compliance with the standards of the United States Department of
Housing and Urban Development promulgated under the federal National
Manufactured Housing Construction and Safety Standards Act of 1974
(42 U.S.C. Sec. 5401 and following) are manufactured housing or
manufactured homes, not "mobilehomes" and, as such, often are subject
to additional benefits.
(3) Continued use of the term "mobilehome" in various statutes, as
well as the implication that the terms are interchangeable,
exacerbates the confusion between the two products and deters
affordable financing, discourages use in certain localities, and
perpetuates incorrect perceptions as to codes and standards.
(4) The changes made by the act adding this subdivision to clarify
the meaning of the terms "mobilehomes" and "manufactured homes" are
not intended to effect any substantive change with respect to the
treatment of those housing products or to the consumer protections
provided for those housing products.
18000.5. The provisions of this part, insofar as they are
substantially the same as existing statutory provisions relating to
the same subject matter, shall be construed as restatements and
continuations, and not as new enactments. During any transition
required by this part, and until July 1, 1982, the department may
determine or effectuate any action or requirement in a manner which
implements the legislative intent of this part and which protects
appropriate interests of any parties subject to or protected by this
part. Regulations implementing this part and promulgated prior to
July 1, 1982, shall be deemed emergency regulations pursuant to
Section 11346.1 of the Government Code.
18001. "Approved," when used in connection with any material,
appliance, or construction, means meeting the requirements and
approval of the Department of Housing and Community Development.
18001.6. "Building" is any permanent structure built for the
support, shelter, or enclosure of persons, animals, chattel, or
property of any kind.
18001.8. "Commercial modular" means a structure transportable in
one or more sections, designed and equipped for human occupancy for
industrial, professional, or commercial purposes, which is required
to be moved under permit, and shall include a trailer coach as
defined in Section 635 of the Vehicle Code. "Commercial coach" has
the same meaning as "commercial modular" as that term is defined in
this section.
18002. "Commission" is the Commission of Housing and Community
Development.
18002.3. "Consumer" includes any person or entity which purchases
or leases a manufactured home, mobilehome, commercial coach,
recreational vehicle, or truck camper for consideration, except a
dealer or manufacturer.
18002.6. (a) "Dealer" means a person not otherwise expressly
excluded by subdivision (b), who is engaged in any of the following
activities:
(1) For commission, money, or other thing of value, sells,
exchanges, leases, buys, offers for sale, or negotiates or attempts
to negotiate a sale or exchange of an interest in a manufactured
home, mobilehome, or commercial coach, or induces or attempts to
induce any person to buy or exchange an interest in a manufactured
home, mobilehome, or commercial coach, and who receives or expects to
receive a commission, money, brokerage fees, profit, management
fees, or any other things of value from either the seller or
purchaser of the manufactured home, mobilehome, or commercial coach.
(2) Is engaged wholly or in part in the business of selling
manufactured homes, mobilehomes, or commercial coaches or buying or
taking in trade manufactured homes, mobilehomes, or commercial
coaches for the purpose of reselling, selling, or offering for sale,
or consigning to be sold, or otherwise dealing in manufactured homes,
mobilehomes, or commercial coaches, whether or not these
manufactured homes, mobilehomes, or commercial coaches are owned by
the dealer.
(b) "Dealer" does not include any of the following:
(1) An insurance company, bank, savings and loan association,
finance company, or public official coming into possession of one or
more manufactured homes, mobilehomes, or commercial coaches in the
regular course of business, who only sells manufactured homes,
mobilehomes, or commercial coaches under a contractual right or
obligation, in performance of an official duty, or under the
authority of any court of law. However, a sale subject to this
paragraph shall be for the purpose of preventing the seller from
suffering a loss or pursuant to the authority of a court of competent
jurisdiction.
(2) Persons who sell or distribute manufactured homes,
mobilehomes, or commercial coaches, subject to registration or
titling pursuant to Chapter 8 (commencing with Section 18075), for a
manufacturer to dealers licensed under this part, or who are employed
by manufacturers or distributors to promote the sale of manufactured
homes, mobilehomes, or commercial coaches dealt in by that
manufacturer or distributor. However, if any person also sells
manufactured homes, mobilehomes, or commercial coaches at retail, the
person is a dealer and is subject to this part.
(3) Persons regularly employed as salespersons by dealers licensed
under this part while acting within the scope of that employment.
(4) Persons exclusively engaged in the bona fide business of
exporting manufactured homes, mobilehomes, or commercial coaches, or
of soliciting orders for the sale and delivery of manufactured homes,
mobilehomes, or commercial coaches outside the territorial limits of
the United States, if no federal excise tax is legally payable on
any of those transactions or the tax is legally refundable on the
transactions. Persons not exclusively engaged in the bona fide
business of exporting manufactured homes, mobilehomes, or commercial
coaches but who are engaged in the business of soliciting orders for
the sale and delivery of manufactured homes, mobilehomes, or
commercial coaches outside the territorial limits of the United
States shall be exempt from licensure as dealers only if their gross
sales proceeds from manufactured homes, mobilehomes, or commercial
coaches produce less than 10 percent of their total gross revenue
from all business transacted.
(5) Persons not engaged in the purchase or sale of manufactured
homes, mobilehomes, or commercial coaches as a business.
(6) Persons disposing of manufactured homes, mobilehomes, or
commercial coaches acquired for their own use or for use in a
business of acquiring, leasing, or selling manufactured homes,
mobilehomes, or commercial coaches, if the manufactured homes,
mobilehomes, or commercial coaches have been so acquired and used in
good faith and not acquired or used for the purpose of avoiding the
provisions of this part.
(7) Persons licensed as real estate brokers who buy, sell, list,
or negotiate the purchase, sale, or exchange of manufactured homes or
mobilehomes pursuant to Section 10131.6 of the Business and
Professions Code.
18002.8. "Department" means the Department of Housing and Community
Development.
18003. "Distributor" means any person other than a manufacturer who
sells or distributes new manufactured homes, mobilehomes, or
commercial coaches to dealers in this state.
18003.3. "Dwelling unit" means one or more habitable rooms which
are designed to be occupied by one family with facilities for living,
sleeping, cooking, eating, and sanitation.
18003.5. "Escrow agent" means the person, firm, or corporation
authorized by law to conduct the escrows required by Section 18035.
18003.6. "Established place of business" means a place actually
occupied, either continuously or at regular periods, by a licensee,
where the books and records pertinent to the type of business being
conducted are kept.
18003.8. "Franchise" means a written agreement between two or more
persons having all of the following conditions:
(a) A commercial relationship of definite duration or continuing
indefinite duration.
(b) The franchisee is granted the right to offer, and sell at
retail, new manufactured homes, mobilehomes, or commercial coaches
manufactured or distributed by the franchisor.
(c) The franchisee constitutes a component of the franchisor's
distribution system.
(d) The operation of the franchisee's business is substantially
associated with the franchisor's trademark, trade name, advertising,
or other commercial symbol designating the franchisor, as determined
by the department.
(e) The operation of a portion of the franchisee's business is
substantially reliant on the franchisor for a continued supply of new
manufactured homes, mobilehomes, or commercial coaches, parts, and
accessories, as determined by the department.
18004. "Franchisee" means any person who, pursuant to a franchise,
receives new manufactured homes, mobilehomes, or commercial coaches
from the franchisor and who sells manufactured homes, mobilehomes, or
commercial coaches at retail.
18004.3. "Franchisor" means any person who manufactures, assembles,
or distributes new manufactured homes, mobilehomes, or commercial
coaches and who grants a franchise.
18004.6. "Fraud" includes any act or omission which is included
within the definition of either "actual fraud" or "constructive fraud"
as defined, respectively, in Sections 1572 and 1573 of the Civil
Code, and the term "deceit" has the same meaning as defined in
Section 1710 of the Civil Code.
In addition, the terms "fraud" and "deceit" include, but are not
limited to, the following:
(a) A misrepresentation in any manner, whether intentionally false
or due to gross negligence, of a material fact.
(b) A promise or representation not made honestly and in good
faith.
(c) An intentional failure to disclose a material fact.
(d) Any act falling within the provisions of Section 484 of the
Penal Code.
18004.8. "Good moral character" has the same meaning as specified
in Division 1.5 (commencing with Section 475) of the Business and
Professions Code.
18005. "Hearing" or "notice of hearing", as used in this part,
shall mean notice and hearing under Chapter 5 (commencing with
Section 11500) of Division 3 of Title 2 of the Government Code except
in the case of summary action pursuant to Section 18064.5.
18005.3. "Junior lienholder" means a person, other than a legal
owner, holding a security interest in a manufactured home,
mobilehome, commercial coach, floating home, or truck camper
perfected by filing the appropriate documents with the department
pursuant to Section 18080.7.
18005.6. "Lease" means an oral or written contract for the use,
possession, and occupation of property. "Lease" includes rent.
18005.8. "Legal owner" means a person holding a security interest
in a manufactured home, mobilehome, commercial coach, floating home,
or truck camper perfected by filing the appropriate documents with
the department pursuant to Section 18080.7 if the person is entitled
to the designation, as provided in Article 3 (commencing with Section
18085) or 4 (commencing with Section 18098) of Chapter 8. A lien
created pursuant to Section 18080.9 is not a security interest for
purposes of this definition.
18006. "Licensee" means a dealer, dealer branch, manufacturer,
distributor, or salesperson licensed pursuant to this part.
18006.3. "Manufacturer" means any person who produces from raw
materials or basic components a manufactured home, mobilehome, or
commercial coach of a type subject to the provisions of this part, or
who permanently alters for purposes of retail sales, rent, or lease,
within this state, manufactured homes, mobilehomes, or commercial
coaches by converting them into manufactured homes, mobilehomes, or
commercial coaches subject to this part.
18007. (a) "Manufactured home," for the purposes of this part,
means a structure that was constructed on or after June 15, 1976, is
transportable in one or more sections, is eight body feet or more in
width, or 40 body feet or more in length, in the traveling mode, or,
when erected on site, is 320 or more square feet, is built on a
permanent chassis and designed to be used as a single-family dwelling
with or without a foundation when connected to the required
utilities, and includes the plumbing, heating, air conditioning, and
electrical systems contained therein. "Manufactured home" includes
any structure that meets all the requirements of this paragraph
except the size requirements and with respect to which the
manufacturer voluntarily files a certification and complies with the
standards established under the National Manufactured Housing
Construction and Safety Act of 1974 (42 U.S.C., Sec. 5401, and
following).
(b) Notwithstanding any other provision of law, if a codified
provision of state law uses the term "manufactured home," and it
clearly appears from the context that the term "manufactured home"
should apply only to manufactured homes, as defined under subdivision
(a), the codified provision shall apply only to those manufactured
homes. If any codified provision of state law, by its context,
requires that the term applies to manufactured homes or mobilehomes
without regard to the date of construction, the codified provision
shall apply to both manufactured homes, as defined under subdivision
(a), and mobilehomes as defined under Section 18008.
18008. (a) "Mobilehome," for the purposes of this part, means a
structure that was constructed prior to June 15, 1976, is
transportable in one or more sections, is eight body feet or more in
width, or 40 body feet or more in length, in the traveling mode, or,
when erected onsite, is 320 or more square feet, is built on a
permanent chassis and designed to be used as a single-family dwelling
with or without a foundation system when connected to the required
utilities, and includes the plumbing, heating, air conditioning, and
electrical systems contained therein. "Mobilehome" includes any
structure that meets all the requirements of this paragraph and
complies with the state standards for mobilehomes in effect at the
time of construction. "Mobilehome" does not include a commercial
modular, as defined in Section 18001.8, factory-built housing, as
defined in Section 19971, a manufactured home, as defined in Section
18007, a multifamily manufactured home, as defined in Section
18008.7, or a recreational vehicle, as defined in Section 18010.
(b) Notwithstanding any other provision of law, if a codified
provision of state law uses the term "mobilehome," and it clearly
appears from the context that the term "mobilehome" should apply only
to mobilehomes, as defined under subdivision (a), the codified
provision shall apply only to those mobilehomes. If any codified
provision of state law, by its context, requires that the term
applies to mobilehomes or manufactured homes without regard to the
date of construction, the codified provision shall apply to both
mobilehomes, as defined under subdivision (a), and manufactured
homes, as defined under Section 18007.
18008.5. "Manufactured home or mobilehome accessory building or
structure" or "manufactured home or mobilehome accessory" includes,
but is not limited to, any awning, portable, demountable, or
permanent cabana, ramada, storage cabinet, carport, skirting, heater,
cooler, fence, windbreak, or porch or other equipment established
for the use of the occupant of the manufactured home or mobilehome.
18008.7. (a) "Multifamily manufactured home," for the purposes of
this part, means either of the following:
(1) A structure transportable under permit in one or more
sections, designed and equipped to contain not more than two dwelling
units, a dormitory, or an efficiency unit, to be used either with a
support system pursuant to Section 18613 or a foundation system
pursuant to subdivision (a) of Section 18551.
(2) A structure transportable under permit in one or more
sections, designed to be used with a foundation system for three or
more dwelling units, as defined by Section 18003.3.
(b) Multifamily manufactured homes shall be constructed in
compliance with applicable department regulations. The egress and
fire separation requirements of Title 24 of the California Code of
Regulations applicable to dormitories, hotels, apartment houses, and
structures that contain two dwelling units shall also be applicable
to all multifamily manufactured homes constructed for those purposes.
The accessibility and adaptability requirements of Title 24 of the
California Code of Regulations applicable to covered multifamily
dwelling units shall also be applicable to multifamily manufactured
homes containing three or more dwelling units.
(c) Notwithstanding any other provision of law, all provisions of
law that apply to manufactured homes shall apply equally to
multifamily manufactured homes, except as provided in this section.
(d) For purposes of this section:
(1) "Dormitory" means a room or rooms inhabited for the purposes
of temporary residence by two or more persons.
(2) "Efficiency unit" has the same meaning as defined in Section
17958.1.
(3) "Multiunit manufactured housing" has the same meaning as
"multifamily manufactured home," as that term is defined in this
section.
18009. "New manufactured home," "new mobilehome," or "new
commercial coach" is a manufactured home, mobilehome, or commercial
coach which is not defined as a "used manufactured home," "used
mobilehome", or "used commercial coach" under Section 18014, which is
delivered for sale or lease in this state, and which has not been
delivered to a first purchaser or lessor for purposes other than
resale or reletting.
18009.3. (a) "Park trailer" means a trailer designed for human
habitation for recreational or seasonal use only, that meets all of
the following requirements:
(1) It contains 400 square feet or less of gross floor area,
excluding loft area space if that loft area space meets the
requirements of subdivision (b) and Section 18033. It may not exceed
14 feet in width at the maximum horizontal projection.
(2) It is built upon a single chassis.
(3) It may only be transported upon the public highways with a
permit issued pursuant to Section 35780 of the Vehicle Code.
(b) For purposes of this section and Section 18033, "loft area"
means any area within a unit that is elevated 30 inches or more above
the main floor area and designed to be occupied. In order for the
floor of a loft area to be occupied and excluded from the calculation
of gross floor area for purposes of subdivision (a), the loft area
shall meet all of the requirements of Section 18033. Loft areas not
meeting the requirements of this subdivision and Section 18033 shall
not be occupied and shall be posted with a permanent label
conspicuously located within 24 inches of the opening of each
noncomplying loft. The label language and design shall provide the
following:
WARNING
This area is not designed to be occupied and shall be used only for
storage.
Lettering on this label shall contrast with the label's background
and shall be not less than one-quarter inch in height, except for
the word "WARNING" which shall be not less than one-half inch in
height.
(c) A park trailer hitch, when designed by the manufacturer to be
removable, may be removed and stored beneath a park trailer.
(d) If any provision of this section or Section 18033 conflicts
with ANSI Standard A119.5 Recreational Park Trailers as it is
published at any time, the statutory provision shall prevail.
18009.5. "Registered owner" means a person registered by the
department as the owner of a manufactured home, mobilehome,
commercial coach, floating home, or truck camper.
18010. "Recreational vehicle" means both of the following:
(a) A motor home, travel trailer, truck camper, or camping
trailer, with or without motive power, designed for human habitation
for recreational, emergency, or other occupancy, that meets all of
the following criteria:
(1) It contains less than 320 square feet of internal living room
area, excluding built-in equipment, including, but not limited to,
wardrobe, closets, cabinets, kitchen units or fixtures, and bath or
toilet rooms.
(2) It contains 400 square feet or less of gross area measured at
maximum horizontal projections.
(3) It is built on a single chassis.
(4) It is either self-propelled, truck-mounted, or permanently
towable on the highways without a permit.
(b) A park trailer, as defined in Section 18009.3.
18010.5. "Regulations" or "rules and regulations," as used in this
part, means regulations promulgated by the commission or department,
as appropriate, pursuant to Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code.
18011. "Rent" means money or other consideration given for the
right of use, possession, and occupation of property.
18012. "Retailer" means a dealer.
18012.3. "Sale" or "sold," for purposes of Chapter 8 (commencing
with Section 18075) does not include or extend to any sale made by a
manufacturer or a distributor to a dealer or by a dealer to another
dealer licensed under this part.
18012.4. "Slide-in camper" means a portable unit, consisting of a
roof, floor, and sides, designed to be loaded onto, and unloaded
from, a truck and designed for human habitation for recreational or
emergency occupancy. "Slide-in camper" means a truck camper.
18012.5. "Special purpose commercial modular" means a vehicle with
or without motive power, designed and equipped for human occupancy
for industrial, professional, or commercial purposes, which is not
required to be moved under permit, and shall include a trailer coach.
"Special purpose commercial coach" has the same meaning as "special
purpose commercial modular" as that term is defined in this section.
18013. (a) "Salesperson" means a person employed by a dealer and
not otherwise expressly excluded by this section, who does one or
more of the following:
(1) For commission, money, profit, or other thing of value, sells,
exchanges, buys, leases, or offers for sale, negotiates, or attempts
to negotiate, a sale, lease, or exchange of an interest in a
manufactured home, mobilehome, or commercial coach.
(2) Induces or attempts to induce any person to buy, lease, or
exchange an interest in a manufactured home, mobilehome, or
commercial coach, and who receives or expects to receive a
commission, money, brokerage fees, profit, or any other thing of
value, from either the seller, lessee, or purchaser of the
manufactured home, mobilehome or commercial coach.
(3) Exercises managerial control over the business of a licensed
manufactured home, mobilehome, or commercial coach dealer or who
supervises salespersons employed by a licensed dealer, whether
compensated by salary or commission, including, but not limited to,
any person who is employed by the dealer as a general manager,
assistant general manager, sales manager, or in any capacity,
regardless of title, where the individual reviews, advises,
supervises, or oversees, sales contracts, credit applications, or any
other documents pertaining to the sale, purchase, or lease of
manufactured homes or mobilehomes, or any employee of a licensed
manufactured home, mobilehome, or commercial coach dealer who
negotiates with or induces a customer to enter into a security
agreement, lease, or purchase agreement or purchase order for the
sale of a manufactured home, mobilehome, or commercial coach on
behalf of the licensed manufactured home, mobilehome, or commercial
coach dealer.
(b) The term "salesperson" does not include any of the following:
(1) A representative of an insurance company, finance company,
bank, savings and loan association, or public official, who in the
regular course of business, is required to dispose of, or sell
manufactured homes, mobilehomes, or commercial coaches under a
contractual right or obligation of the employer, or in the
performance of an official duty, or under authority of any court of
law, as long as the sale is for the purpose of protecting the seller
from any loss or is pursuant to the authority of a court of competent
jurisdiction.
(2) A person who is licensed as a manufacturer or distributor.
(3) A person exclusively employed in a bona fide business of
exporting manufactured homes, mobilehomes, or commercial coaches, or
of soliciting orders for the sale and delivery of mobilehomes or
commercial coaches outside the territorial limits of the United
States.
(4) A person not engaged in the purchase or sale of manufactured
homes, mobilehomes, or commercial coaches as a business, disposing of
manufactured homes, mobilehomes, or commercial coaches acquired for
the person's own use, or for use in business when they have been so
acquired and used in good faith and not for the purpose of avoiding
the provisions of this part.
(5) A person licensed as a manufactured home, mobilehome, or
commercial coach dealer doing business as a sole ownership or a
member of a partnership or a stockholder and director of a
corporation licensed as a manufactured home, mobilehome, or
commercial coach dealer under this part, as long as the person
engages in the activities of a salesperson exclusively on behalf of
the sole ownership or partnership or corporation in which the person
owns an interest or stock, and the person owning the stock is a
director of the corporation; otherwise, the person shall be deemed to
be a manufactured home, mobilehome, or commercial coach salesperson
and subject to the provisions of Section 18045.
18013.2. "Third-party entity" or "third party," as used in this
part, means an entity which is all of the following:
(a) In the business of inspecting equipment, systems, and
assemblies and monitoring quality assurance programs, or analyzing
plans, designs, specifications, and engineering calculations
supporting design concepts.
(b) Not under the control or jurisdiction of any manufacturer or
supplier for any affected industry except by contract as required and
approved by the department.
(c) Making available specific information as required by the
department.
(d) Approved by the department.
18013.4. "Truck camper" means a slide-in camper as defined in
Section 18012.4.
18014. "Used manufactured home," "used mobilehome," or "used
commercial coach" means a manufactured home, mobilehome, or
commercial coach that was previously sold and registered or titled
with the department, or with an appropriate agency or authority, or
any other state, District of Columbia, territory or possession of the
United States or a foreign state, province, or country.
18014.5. For purposes of this part, a "net listing agreement" means
any agreement entered into by a seller of a manufactured home or
mobilehome that is not a new manufactured home or mobilehome and a
licensed dealer in which the seller agrees to accept a specific
purchase price and under which the dealer may receive as a commission
all proceeds from the sale in excess of that purchase price.
