California Civil Code CHAPTER 2.5 - Home Equity Sales Contracts

• Section 1695.
  (a) The Legislature finds and declares that homeowners whose residences are in foreclosure have been subjected to fraud, deception, and unfair dealing by home equity purchasers....
• Section 1695.1.
  The following definitions apply to this chapter:(a) “Equity purchaser” means any person who acquires title to any residence in foreclosure, except a person who acquires such...
• Section 1695.2.
  Every contract shall be written in letters of a size equal to 10-point bold type, in the same language principally used by the equity purchaser...
• Section 1695.3.
  Every contract shall contain the entire agreement of the parties and shall include the following terms:(a) The name, business address, and the telephone number of the...
• Section 1695.4.
  (a) In addition to any other right of rescission, the equity seller has the right to cancel any contract with an equity purchaser until midnight of...
• Section 1695.5.
  (a) The contract shall contain in immediate proximity to the space reserved for the equity seller’s signature a conspicuous statement in a size equal to at...
• Section 1695.6.
  (a) The contract as required by Sections 1695.2, 1695.3, and 1695.5, shall be provided and completed in conformity with those sections by the equity purchaser.(b) Until the...
• Section 1695.7.
  An equity seller may bring an action for the recovery of damages or other equitable relief against an equity purchaser for a violation of any...
• Section 1695.8.
  Any equity purchaser who violates any subdivision of Section 1695.6 or who engages in any practice which would operate as a fraud or deceit upon...
• Section 1695.9.
  The provisions of this chapter are not exclusive and are in addition to any other requirements, rights, remedies, and penalties provided by law.(Added by Stats....
• Section 1695.10.a.
  Any waiver of the provisions of this chapter shall be void and unenforceable as contrary to the public policy.(Added by Stats. 1979, Ch. 1029.)
• Section 1695.11.
  If any provision of this chapter, or if any application thereof to any person or circumstance is held unconstitutional, the remainder of this chapter and...
• Section 1695.12.
  In any transaction in which an equity seller purports to grant a residence in foreclosure to an equity purchaser by any instrument which appears to...
• Section 1695.13.
  It is unlawful for any person to initiate, enter into, negotiate, or consummate any transaction involving residential real property in foreclosure, as defined in Section...
• Section 1695.14.
  (a) In any transaction involving residential real property in foreclosure, as defined in Section 1695.1, which is in violation of Section 1695.13 is voidable and the...
• Section 1695.15.
  (a) An equity purchaser is liable for all damages resulting from any statement made or act committed by the equity purchaser’s representative in any manner connected...
• Section 1695.16.
  (a) Any provision of a contract which attempts or purports to limit the liability of the equity purchaser under Section 1695.15 shall be void and shall...
• Section 1695.17.
  (a) Any representative, as defined in subdivision (b) of Section 1695.15, deemed to be the agent or employee, or both the agent and the employee of...

Last modified: October 22, 2018