California Codes, Business and Professions Code - BPC, Division 4 — Real Estate, Part 1 — Licensing of Persons, Chapter 3 — Real Estate Regulations, Article 5 — Transactions in Trust Deeds and Real Property Sales Contracts, Section 10231.1
No person in doing any of the acts set forth in subdivision (d) of Section 10131, subdivision (e) of Section 10131, and Section 10131.1 shall, as agent or principal, retain funds payable according to the terms of a promissory note or real property sales contract secured directly or collaterally by a lien on real property, for a period longer than 25 days, except pursuant to a written agreement with the purchaser or lender.
Notes
Prohibits a person acting as agent or principal in the specified real-estate loan or note activities from retaining funds payable under a promissory note or real property sales contract secured by a real-property lien for more than 25 days. A written agreement with the purchaser or lender is the stated exception to that retention limit.
Use as reference
Lexinter.net | California Code, Business and Professions Code - BPC § 10231.1 | https://laws.lexinter.net/codes/california/business-and-professions-code/division-4/part-1/chapter-3/article-5/section-10231-1