Cal-Am Corp. v. Department of Real Estate

This is an appeal from the denial of a petition for a peremptory writ of mandamus. It concerns the jurisdictional authority of the Department of Real Estate (hereinafter Department) to regulate, in the State of California, the sale of time-share interests in resort condominiums. In order to be subject to Department regulations requiring permits and public reports, the sale by appellant of membership interests in the Royal Hawaiian Adventure Club must constitute the sale or lease of lots or parcels in a subdivision. (Bus. & Prof. Code, §§ 10249.1, 11000, 11004.5.) We affirm the finding of the superior court that the Department acted within its authority in issuing an order requiring appellant to desist and refrain from selling or leasing or offering for sale or lease, membership interests in the Royal Hawaiian Adventure Club, until such time as it has obtained from the Commissioner of Real Estate a permit and public report. The desist and refrain order was properly issued pursuant to Business and Professions Code section 11019.

The order was issued following an investigation of a complaint against the Royal Hawaiian Adventure Club (hereinafter RHAC) and became effective…