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HomeCorporations CodeCh. 2§ 31400 Commissioner Enforcement Actions

§ 31400 Commissioner Enforcement Actions

Corporations Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 31400 Commissioner Enforcement Actions

Key Takeaways

  • •If someone breaks the rules in this law, the boss (commissioner) can stop them by going to court.
  • •The boss can ask the court to make the person follow the rules or even take control of their stuff.
  • •If the boss thinks it’s fair, they can also ask for money to be paid back to people who were hurt by the rule-breaking.

Example

A company is selling fake medicine that doesn’t work and is making people sick.

The boss (commissioner) can go to court to stop the company from selling the fake medicine. They can also ask the court to make the company give money back to the people who bought the fake medicine.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 31400 Commissioner Enforcement Actions

(a) Whenever it appears to the commissioner that any person has engaged or is about to engage in any act or practice constituting a violation of any provision of this law or any rule or order hereunder, the commissioner may in the commissioner’s discretion bring an action, or the commissioner may request the Attorney General to bring an action in the name of the people of the State of California, in the superior court to enjoin the acts or practices or to enforce compliance with this law or any rule or order hereunder. Upon a proper showing a permanent or preliminary injunction, restraining order or writ of mandate shall be granted and a receiver or conservator may be appointed for the defendant or the defendant’s assets. (b) If the commissioner determines it is in the public interest, the commissioner may include in any action authorized by subdivision (a) a claim for ancillary relief, including, but not limited to, a claim for restitution or disgorgement or damages on behalf of the persons injured by the act or practice constituting the subject matter of the action, and the court shall have jurisdiction to award that additional relief. (Amended by Stats. 1986, Ch. 698, Sec. 5.)

Last verified: January 23, 2026

Key Terms

commissionerAttorney Generalinjunctionrestitutionpublic interest

Related Statutes

  • § 25213 Broker-Dealer Discipline Authority
  • § 25218 Broker-Dealer Transaction Rules
  • § 25219 Commissioner Trading Suspension Authority
  • § 25530 Commissioner Enforcement Actions
  • § 25533 Commissioner Referral To Prosecutors

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Corporations Code. Section 31400.
View Official Source