CODES MODULE, PART IV

BUSINESS AND PROFESSIONS CODE,Part I

BUSINESS AND PROFESSIONS CODE

Business and Professions Code

The Business and Professions Code contains rules that outline:

how to become a licensed CSRhow to maintain a licensehow a CSR license can be taken away from disciplinary reasons

101.6 Purpose of the Board

The board was established by the legislature to ensure that professions affecting public welfare were regulated.To make certain that such regulation occurred, the CSR Board was given the power to establish minimum qualifications and competency levels for CSRs.

The CSR Board also has the power tolicense persons who want to become CSRsinvestigate complaints against CSRs for incompetency and unprofessional conductdiscipline CSRsperiodically check licensees in order to make sure that CSRs are complying with relevant sections of the code.

109 Finality of decisions

The decision of the board with respect to setting standards, conducting examinations, passing candidates, and revoking licenses are not subject to review by the director, but are final.The director may investigate allegations of misconduct in the CSR testing process or intervene where the board is suspected of illegal activity.

118 Withdrawal of Application

Withdrawing an application for licensure will not stop the board from proceeding against an applicant or to deny licensing.The suspension or expiration of a license will not stop the board from proceeding against a licensee or from taking any disciplinary action.

119 License Offenses

A person is guilty of a misdemeanor if hedisplays a canceled, revoked, suspended, or fraudulently altered license or a fictitious licenselends his license to another to userepresents another’s license as his ownknowingly permits an unlawful use of his licensereproduces a license that others mistake for the genuine article

121 License Offenses

It is acceptable for a CSR to continue to work between the time that his previous license has expired and the receipt of his renewal provided he has sent in his renewal request in compliance with the provisions of the code.

122 Fees for Copies of License

The fee for issuing a duplicate copy of a license shall not exceed $25.

123 Subversion of Licensing Exam

It is a misdemeanor to subvert or to try to subvert any licensing exam by

removing test materialsusing paid exam-takers to reconstruct the testobtaining the test questions or exam material

Examinees may not copy answers from one another nor use unauthorized books or materials.Examinees may not impersonate anyone else nor have an impersonator take any test for them.Violators may also be fined up to $10,000 plus the cost of litigation.

123.5 Injunction

The superior court may issue an injunction when a licensee violates Section 123 if the board, the Attorney General, or the district attorney requests it.

124 Manner of Giving Notice

Notice may be given by regular mail to the last known address of the licensee or by personal service.

125 Conspiracy; Prohibitions

An licensee is guilty of a misdemeanor if he conspires with an unlicensed person by allowing that person to use his license or to act as his agent or partner.

125.3 Violation Costs

The board may ask an administrative law judge to direct the licentiate to pay for the cost of investigating and enforcing the case.If the licentiate is a corporation, the order may be made against the corporate entity or partnership.

A certified copy of actual costs will be prima facie evidence of the reasonable costs of the case.If the costs are not paid, the board may sue the licentiate for the original amount plus the new court costs.A licentiate may not have his license renewed until payment is made.

However, a conditional renewal may be allowed to anyone demonstrating financial hardship and entering into a formal agreement with the board to repay within a year.The board may enter into a stipulated settlement with the licentiate to recover the costs of the investigation.

125.5 Injunction; Restitution

The superior court may issue an injunction against a licensee who violates the code.The superior court may order the licensee to make restitution to persons injured as a result of his violation(s).The superior court may order the licensee to reimburse the board for expenses incurred in investigating the matter.

125.6 Refusal to Perform

A licensee may be subject to disciplinary action if he refuses to perform the licensed activity or if he incites another not to perform due to the applicant’s race, religion, sex, ancestry, disability, marital status, or national origin.

This section does not pertain to discrimination by employers toward employees or prospective employees. A licensee is not required to perform where there is a direct threat to his health and safety or to the health and safety of others which cannot be eliminated.

125.7 Temporary Restraining Order

The superior court may issue a temporary restraining order restraining the licensee from engaging in his licensed profession if it will endanger the public health, safety, or welfare.The licensee must be given notice, unless serious injury to the public would result before the matter could be heard.

An accusation must be filed and served on the licensee within 30 days after the restraining order is issued.If the licensee requests a hearing, the board must provide one within 30 days.A decision must be given in 15 days of the conclusion of the hearing, or the court may nullify the restraining order previously issued.

125.9 Citations; Fines

Citations will be in writing and detail the nature of the violation, including the code section violated.It may contain an order of abatement fixing a reasonable time for abatement of the violation.Any fine assessed by the board shall not exceed $2500 for each investigation.

The board will consider the circumstances of the violation in setting the fine.A hearing may be requested in writing to contest the citation within 30 days of its issuance.Payment of a fine does not constitute admission of the violation charged.Failure to pay within 30 days will result in disciplinary action, unless the citation is being appealed.

If the fine is not paid, the fine will be added to the renewal fee. The license will not be renewed without the total payment. A citation can be issued without a fine.Payment of the fine will be considered satisfactory resolution of the matter for purposes of public disclosure.Fines collected will be deposited in the special fund of the board.

129 Complaints

When it receives a complaint, the board must notify the complainant within 10 days of any initial action.The complainant will always be apprised of any action taken on his complaint.The board will turn the complaint over to another agency if the board is unable to satisfactorily dispose of the matter or if the complaint is not within its jurisdiction.

The board will notify the person against whom the complaint was filed and inform him of the nature of the complaint. It may take measures to mediate the complaint.The board is not authorized to modify any fee charged by a licentiate.

143 Unlicensed; Collecting Pay

An unlicensed person may not bring a court action to collect for work performed which required a license because he cannot prove that he was licensed.

144 Fingerprints Required

The Court Reporters Board shall require an applicant to furnish a full set of fingerprints for purposes of conducting criminal history checks.

145 Legislative Findings

The Legislature finds thatunlicensed activity is a threat to the health, welfare, and safety of the people of the state of Californiathe state law enforcement agencies should have the means available to enforce the licensing laws of the statethe criminal sanction for unlicensed activity should be swift and effective enough to act as a incentive to obtain a license

163.5 Penalty or Late Fee

The delinquency fee for any license will be 50 percent of the renewal fee for the license.The delinquency fee will not be assessed until 30 days after the renewal was sent.To reinstate a license, the reinstatement fee will be 150 percent of the renewal fee.

313.2 ADA Compliance

The Director of the Department of Consumer Affairs will adopt regulations to implement the American with Disabilities Act as it relates to the examination process for licensing and certification programs.

Questions on Sections 22-313

1. Can the CSR Board institute disciplinary action against a licensed reporter?

Yes

2. Would you say that the principal purpose for the CSR Board would be to regulate the profession for the protection of the California court reporters?

No

Multiple Choice

1. If a complaint of unlawful activity is brought against a licenseholder, the CSR Board automatically

A. institutes disciplinary actionB. investigates to determine whether action is

necessaryC. turns the matter over to the DA without taking

actionD. has no authority to act

Answer: B

2. To receive redress means most nearly to receive

A. admonishment by the CourtB. the right to a new trialC. reparation for a wrongD. a long sentence

Answer: C

3. A licentiate is a person whoA. holds a licenseB. is applying for a licenseC. has a suspended licenseD. has had his license revoked

Answer: A

4. If an application for a CSR license containing false statements is withdrawn, the board

A. has no more authority over acts of the applicant

B. will automatically file a complaint charging a misdemeanor

C. could still take action against the applicantD. must continue with any pending procedure

Answer: C

5. If the board is undertaking disciplinary action against a licensee and the license expires,

A. the action shall be terminated upon written request of the licensee

B. the action automatically terminates by operation of law

C. the board may continue actionD. the board must hold a suspension hearing

Answer: C

6. If a complaint is made to the board about a licensee, the board must respond to the complainant in

A. 10 daysB. 15 daysC. 30 daysD. 60 days

Answer: A

7. If a complaint is made to the board about a licensee, the board

A. must notify the district attorney’s officeB. may act as a mediator between the

complainant and the licenseeC. shall immediately file a grievance with the

attorney generalD. shall file a copy of the complaint with the

Judicial Council

Answer: B

8. If a complainant charges that a licensee has overcharged, the board

A. may act as a mediator between the complainant and the licensee

B. must tell the licensee to reduce the chargesC. must tell the complainant that the fees

charged will standD. must file a copy of the complaint with the

Judicial Council

Answer: A

9. When complaints are received and the board has no authority to act, the board

A. shall inform the Judicial Council within 10 daysB. must turn the complaints over to the district

attorney’s officeC. shall appoint a committee of board members

to act upon the complaintD. can recommend appropriate statutory

changes

Answer: D

10. If a licentiate’s license has been revoked upon finding of a violation, the board may conditionally renew or reinstate the license for a maximum of one year if

A. the licentiate gives a formal written apology to the board

B. the licentiate must pay one half of the costs of the investigation and gives a formal written promise to pay the rest of the costs as soon as possible

C. the licentiate demonstrates financial hardship and formally agrees to pay the costs of investigation to the board within one year

D. the licentiate has a good excuse for committing the violation

Answer: C

11.Any person holding a license retains the right to refuse his services to any applicant who

A. has religious beliefs that conflict with those of the licentiate

B. is not from this country and speaks little or no English

C. poses a threat to the health or safety of others

D. has a physical or mental disabilityAnswer: C

12.Upon request, which of the following must be submitted to the Franchise Tax Board by the CSR Board

A. Date of applicationB. Expiration date of licenseC. Result of appealD. Date of first license

Answer: B

13.If a reporter loses his license, he may obtain a copy

A. by paying a $60 feeB. without chargeC. by paying a fee not to exceed $25D. by having an application for same

notarized

Answer: C

14.The Code specifies that a board member shall receive

A. $100 for each day spent in the discharge of official duties

B. $100 total recompense for each CSR examination

C. $500 per year of serviceD. a gratuity determined by the executive

officer

Answer: A

15.The Director of the Department of Consumer Affairs does not have the authority to

A. review the board’s decision to revoke a license except as provided in Section 109

B. initiate an investigation of misconduct in the administration of the examination

C. intervene where the Division of Investigation discloses probably cause that an employee of the board has committed a felony

D. apply for a restraining order for injunctive relief

Answer: B

16.Members of the CSR Board are compensated for time spent in the discharge of official Board duties by

A. a yearly salaryB. an hourly rateC. reimbursement for expenses onlyD. a per diem rate

Answer: D

17.Upon an allegation of misconduct on the part of the CSR Board in the examination and licensing process, the director

A. reviews the facts and makes a findingB. appoints a panel to investigate the allegationC. requests an investigation by the Division of

InvestigationD. applies for a restraining order against the

Board, pending an investigation

Answer: C

18. If a licensee has properly applied for renewal of license, but issuance is delayed, the license

A. may work legally only until the current license expires

B. may work with no penaltyC. must secure a temporary license renewal

from the BoardD. may not work until the license is received

Answer: B

19.The CSR Board will issue a duplicate license upon receipt of an application and

A. payment of $10B. an amount equal to the current

examination feeC. an amount equal to the cost of processing

the requestD. an amount equal to the annual renewal fee

Answer: C

20.Which of the following is NOT a penalty for subversion of the licensing examination?

A. a fine for actual damages to the examining agency

B. prosecutionC. a minimum fine of $10,000

Answer: C

21.An injunction may be obtained from superior court, enjoining one

A. to cease a specified activityB. to perform a specified activityC. to reimburse or make restitution to

anotherD. all of the above

Answer: D

22.A full set of fingerprints must be submitted to the CSR board

A. 10 days after the CSR examinationB. upon application for a licenseC. only if the applicant has been

convicted of a felony

Answer: B

23.The penalty for failure to renew a license within 30 days of the date of the renewal notice is

A. $25B. 150 percent of the renewal feeC. 50 percent of the renewal feeD. Twice the renewal fee

Answer: C

24.Initiate means A. inherentB. first and last initials onlyC. the first person in a groupD. introduce

Answer: D

25.Prima facie means A. incontrovertibleB. self-evidentC. principalD. admissible

Answer: B

26.Comity means A. social harmonyB. rule of lawC. commendationD. commentary

Answer: A

True or False

1. The CSR Board may conduct periodic checks of licensees in order to ensure compliance with the B&P Code.

True

2. The principal purpose of the boards in the Department of Consumer Affairs is to restrict the number of licensed professionals.

False

3. The boards are not allowed to establish minimum qualifications for licensing. That must be done by the professional organizations.

False

4. The boards provide a method for the people of California to get redress for unprofessional conduct.

True

5. The CSR Board can only institute disciplinary procedures against a nonlicensed reporter.

False

6. It is the responsibility of the CSR Board to determine that reporters have skills beyond those tested by NCRA.

False

7. The principal purpose of the CSR Board is to protect reporters against unfair competition.

False

8. The CSR Board has no obligation to register or certify reporters.

False

9. One purpose of certification of reporters is so that qualified people can be identified.

True

10.The purpose of certification of reporters is to bring revenue to the General Fund for financing California schools.

False

11.Withdrawal of an application for license after it has been filed with the CSR Board terminates the board’s authority to enter an order denying the license.

False

12.If a license expires, the board can no longer take disciplinary action against the licensee.

False

13.It is a misdemeanor to lend a license to another person.

True

14.It is a misdemeanor to fail to surrender a revoked license.

True

15.It is not a misdemeanor to retain a revoked license.

False

16.If a complaint is made to the board about a licensee, the board must take action against the licensee within 10 days.

False

17.The board shall require a licensee to reduce the amount charged for a deposition when it determines the amount is excessive.

False

18.The term “licensee” means any entity, including a corporation, that is authorized to engage in a profession regulated by this code.

True

19.A newly licensed reporter has until the end of the year in which he became licensed to furnish his social security number to the CSR Board.

False

20.It is the responsibility of a new CSR to immediately furnish the Franchise Tax Board with his social security number.

False

21.The social security number of each CSR shall be public record open for inspection at the office of the CSR Board.

False

23.Any individual board member may independently conduct an investigation of a violation of any law under the board’s jurisdiction and impose a penalty.

False

24.If a licentiate is found to have committed a violation of the licensing act, the board will order the administrative law judge to impose a county jail sentence on the licentiate.

False

25.Operating without a license in the state of California is considered a threat to the health, welfare, and safety of the people of California.

True

26.The examination questions are reviewed by the Department of Consumer Affairs before the CSR is administered.

False

27.A person found guilty of selling examination papers would be liable for costs of litigation.

True

28.It is a misdemeanor to allow your license to be used by another person.

True

29.The Board does not have the power to issue citations for violations of laws under its jurisdiction.

False

30.The director of the Department of Consumer Affairs may request an investigation either through the Division of Investigations or any law enforcement agency with proper jurisdiction.

True

31.Conduct which violates the security of examination materials is a felony.

False

32.A corporation may be a licensee.

False

33.All information supplied to the CSR Board by an applicants for licensure is automatically transmitted to the Franchise Tax Board.

False

BUSINESS AND PROFESSIONS CODE

475 Denial of Licenses; Grounds

A CSR license can be denied for the following reasons:

lying on the CSR applicationbeing convicted of a crimecommitting a fraudulent or dishonest act with the intent of benefiting himself or harming anothercommitting an act which would be grounds for disciplinary action if the violator was already a licensed CSR

A professional license cannot be denied or taken away because of a bad reputation or a lack of good moral character.

480 Disqualifying Acts

The board can only take action following a conviction if the conviction has been upheld on appeal, if no appeal has been filed, or if probation has been granted.The crime must be “substantially related” to the profession.

A person cannot be denied a license solely because he has been convicted of

a felony if he has obtained a certificate of rehabilitationa misdemeanor if he has met all the requirements for rehabilitation

481 Criteria

The board shall develop the criteria to determine is act is “substantially related” to the profession.

484 Attestation

An applicant shall be required to submit any attestations to his good moral character with his application.

485 Denial Procedures

The applicant must be notified in writing by registered mail to the address given on the application.The notice must include the reason for the denial and inform the applicant he has a right to a hearing.The applicant must request in writing a hearing within 60 days or waive his right.

486 Reapplication

The board will inform the applicant when the earliest he may reapply, which is one year.The board will inform the applicant of the evidence required to show rehabilitation.

487 Hearing

Any hearing request must be held within 90 days.The applicant may request or agree to a postponement of the hearing, if needed of 45 days.

489 Lack of Good Character

An agency may deny an application without a hearing if that agency has already denied an application from the same applicant on the same ground.

490 Conviction of a Crime

The board may take away a license if the licensee has been convicted of a crime substantially related to shorthand reporting.A conviction means a plea, a guilty verdict, or a plea of nolo contendere.No action will be taken until the time for appeal has elapsed, the case is affirmed, or probation has been granted.

490.5 Noncompliance; Support

A board may suspend a license if the licensee is not in compliance with a child support order or judgment.

491 Information to Ex-Licensee

When a license is taken away, the board will

inform the licensee of the reason for the suspension or revocationinform the licensee of the evidence required to show rehabilitation

492 Drug Diversion Program

Successful completion of an alcohol and drug problem program will not prevent the board from taking disciplinary action against the licensee or denying a license for professional misconduct.

493 Record of Conviction

The board may inquire into the circumstances of the conviction in fixing the degree of discipline or in determining if the crime is substantially related to shorthand reporting.

495 Public Reproval

The board may publicly reprove a licentiate for an act that lead to the suspension or revocation of his license.

498 Grounds for Revocation

The board may take away the license because the licensee secured the license fraudulently.

499 False Statement

The board may take away a license because another person knowingly made a false statement in support of the licensee’s application.

Questions on Sections 475-499

1. If an applicant makes a false statement of fact required to be revealed in an application for license,

A. his application will automatically be deniedB. his application will be processed anyway as

long as the statement did not involve the commission of a felony

C. the Board has the power to deny a licenseD. the Board may not deny a license if the

applicant is a notary public

Answer: C

2. If a hearing is requested by an applicant for licensure without request for extension, it will be held within

A. 30 daysB. 45 daysC. 60 daysD. 90 days

Answer: D

3. Which of the following would not be grounds for revocation or suspension of a license?

A. omitting to state a material fact in applying for a license

B. fraud or deceit in applying for a licenseC. making a false statement regarding

another person’s application for licenseD. having been arrested

Answer: D

True or False

1. If it can be proved that an applicant has a lack of good moral character, his license may be suspended.

False

2. If an applicant commits an act which would be grounds for a license revocation if done by a CSR, the CSR Board may deny a license.

True

3. Commission of any felony will result in automatic revocation of a license.

False

4. Commission of any act involving fraud will result in automatic suspension of a license.

False

5. A license may be revoked if a licensee develops a bad reputation in the community.

True

6. The CSR Board may deny a license on the ground that the applicant knowingly made a false statement of fact required to be revealed in the application for such license.

True

7. More time can be granted before a hearing on examination or licensing fraud than in other case.

True

8. If the board properly denies a license under Section 480, it may deny its issuance for one year without further hearing.

True

9. After receiving notification of denial of the application for a license, the applicant must make a written request for a hearing within 60 days or his right to a hearing will be deemed waived.

True

10.The board may not make public any act of a licentiate which would constitute grounds for revocation of license.

False

11.The CSR board may not suspend a license for failure to pay child support.

False

12.Criteria for rehabilitation must be provided by the CSR Board to any applicant denied a license under Section 490 or any ex-licensee under suspension or revocation of license.

True

13.The CSR Board will automatically deny, suspend, or revoke a license if the licensee is convicted of a crime.

False

14.After a notice of denial of application for a license, applicant is notified of the criteria to be met for rehabilitation and a date for reapplication.

True