Section 17530.1 - Unlawful recommendation of person to serve as trustee(a) It shall be unlawful for a person to recommend to a prospective trustor any person to serve as trustee with knowledge or having reason to believe that the proposed trustee is insolvent or is about to become insolvent. For purposes of this section, "insolvent" means a person who has ceased to pay that person's debts as they become due or whose liabilities exceed that person's assets.
(b) The provisions of this section shall not apply to any trustee named in any deed of trust or mortgage which secures a note or evidence of indebtedness on real property when such trustee acts solely in that capacity.Ca. Bus. and Prof'l. Code § 17530.1
Added by Stats. 1979, Ch. 763.