Legal Question in Real Estate Law in California

Re: Real estate advertising

The laws regulating advertising have as their main purpose prevention and punishment of fraud and deception. If the purpose or effect of the ad is to imply that this broker participated in these sales, it may be legally objectionable. A party that could show damage as a result might be able to sue.

If, on the other hand, the purpose of the ad is to show that properties in a particular town or neighborhood are selling well, or to document a price range or trend (for example), and no one is likely to be misled to their detriment, the ad is more likely to be deemed fair and legal,

If you wish to pursue the matter further, I suggest contacting the California Department of Real Estate at www.dre.ca.gov, or maybe contact the broker who is running the ad directly and ask whether he or she thinks it's legal and fair.

Information about properties that have sold, and the selling prices, is public information and many newspapers carry lists as a public service.