How are California Real Estate Laws established?

California Real Estate Laws are established primarily by acts of the legislature. This process involves the state legislature drafting, debating, and ultimately passing bills that may become law once signed by the governor. Legislative acts provide the foundational legal framework for real estate practices, including licensing requirements, property transactions, and tenant regulations.

While court rulings and local government ordinances play important roles in interpreting and enforcing these laws, they do not establish the laws themselves in the way that legislation does. Court rulings interpret existing laws, often influencing how laws are applied, while local ordinances may regulate specific issues within a municipality but are subordinate to state law. The Real Estate Commissioner, although influential in overseeing the implementation of real estate laws and regulations, does not have the authority to create laws but rather enforces them as set by the legislature.