{"code":"FIN","codeName":"Financial Code","section":"670","citation":"Fin. Code, § 670","status":"in-force","lawOn":"2026-09-28","headings":[{"name":"DIVISION 1. FINANCIAL INSTITUTIONS [99. - 900.]","url":"https://blackletter.si/financial-code/division-1"},{"name":"CHAPTER 7. Liquidation and Conservation [600. - 710.]","url":"https://blackletter.si/financial-code/division-1/chapter-7"},{"name":"ARTICLE 4. Liquidation of an Uninsured Licensee [670. - 692.]","url":"https://blackletter.si/financial-code/division-1/chapter-7/article-4"}],"history":"Added by Stats. 2011, Ch. 243, Sec. 2.   (SB 664)   Effective January 1, 2012.","effective":"2012-01-01","html":"<p>Upon taking possession of the property and business of a licensee that does not have federal deposit or share insurance, the commissioner may sell, compromise, or compound any bad or doubtful debt owing the licensee for a principal sum not exceeding ten thousand dollars ($10,000), upon those terms as the commissioner may deem proper. If the principal sum thereof exceeds ten thousand dollars ($10,000), the commissioner may compromise, compound, or sell the debt upon those terms as the court may approve. If it appears improbable that a recovery on a debt can be had, and that the costs of an action to collect would be lost, and the principal sum thereof does not exceed five hundred dollars ($500), the commissioner may determine that no suit thereon shall be brought. If the principal sum of that debt exceeds ten thousand dollars ($10,000), the commissioner may determine that no suit thereon be brought after obtaining approval of the court.</p>","text":"Upon taking possession of the property and business of a licensee that does not have federal deposit or share insurance, the commissioner may sell, compromise, or compound any bad or doubtful debt owing the licensee for a principal sum not exceeding ten thousand dollars ($10,000), upon those terms as the commissioner may deem proper. If the principal sum thereof exceeds ten thousand dollars ($10,000), the commissioner may compromise, compound, or sell the debt upon those terms as the court may approve. If it appears improbable that a recovery on a debt can be had, and that the costs of an action to collect would be lost, and the principal sum thereof does not exceed five hundred dollars ($500), the commissioner may determine that no suit thereon shall be brought. If the principal sum of that debt exceeds ten thousand dollars ($10,000), the commissioner may determine that no suit thereon be brought after obtaining approval of the court.","otherVersions":[],"url":"https://blackletter.si/financial-code/liquidation-of-an-uninsured-licensee-670","source":"California Legislative Information bulk export (pubinfo)"}