California Real Estate Practice Exam

What would the California Commissioner of Real Estate not handle?

1. Creating laws to discipline licensees

2. Issuing licenses for out-of-state licenses

3. Promulgating rules and regulations

4. Settling commission disputes

The correct answer is: Creating laws to discipline licensees

The correct choice centers on the functions and limitations of the California Commissioner of Real Estate's role. The Commissioner has the authority to promulgate rules and regulations and enforce existing laws within the real estate sector. However, the creation of laws is typically a legislative function that falls under the jurisdiction of the California State Legislature, as law-making is a broader governmental task that involves legislative processes. Disciplinary actions against licensees do involve the enforcement of existing laws and regulations, but the actual formulation or creation of those disciplinary laws happens outside the purview of the Commissioner. The Commissioner can implement standards and rules but does not engage in the legislative process of creating new disciplinary laws. On the other hand, the issuance of licenses, including those for out-of-state licensees, and settling commission disputes are tasks within the Commissioner's responsibilities. These functions are focused on the administration and management of existing laws rather than their inception. This distinction clarifies the boundaries of the Commissioner's roles and emphasizes why the creation of disciplinary laws is not a task they handle.