Should someone in California act in the capacity of a real estate salesperson without being licensed under the California licensing laws, that individual cannot receive any compensation for such acts. Section 10132 of the Code defines a real estate salesperson and the acts requiring licensure and employment by a real estate broker.

If an unlicensed person DOES act as a real estate salesperson or broker, he or she will be penalized under the law.

In addition to the unlicensed person being held accountable, if a broker has ALLOWED this person to operate under him and compensated this person for performing real estate activities that BY LAW require the person to possess a license, then that broker will ALSO be disciplined under the law. The Commissioner may impose a fine against any real estate broker who is found in a disciplinary hearing to have compensated an unlicensed person for performing such activities without a license. In addition, if said broker has compensated the non-licensed for the activities for which he is not licensed, that broker is guilty of a misdemeanor and may also be fined by the courts, under Sections 10138, 10139, 10139.5 of the Code.