§ 601 Commissioner Asset Liquidation Authority

Financial Code·California

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Key Takeaways

•If a business with a license is in trouble, the commissioner can take over.
•The commissioner must collect any money owed to the business.
•The commissioner can sell or close the business to protect its assets.

Example

A small bank is failing and can't pay its customers.

The commissioner steps in, collects money owed to the bank, and may sell the bank's assets to pay back customers.

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

Official Source

View on CA.gov

§ 601 Commissioner Asset Liquidation Authority

Upon taking possession of the property and business of any licensee, the commissioner has authority, and it is his or her duty, to collect all moneys due to the licensee and to do other acts as are necessary or expedient to collect, conserve, or protect the licensee’s assets, property, and business, and he or she shall proceed to conserve or liquidate the affairs of the licensee as provided in this article. (Added by Stats. 2011, Ch. 243, Sec. 2. (SB 664) Effective January 1, 2012.)

Last verified: January 23, 2026

Key Terms

possession commission duty property license authority

References

Official text at leginfo.legislature.ca.gov
California Legislature. Financial Code. Section 601.

Key Takeaways

Example

Key Terms

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References

Key Takeaways

Example

Key Terms

Related Statutes

References