October 18th, 2021 at 4:28 pm

Multiple Choice Question: You are a salesperson for Berkshire Hathaway and you would like to use the domain name “homesweethome.com” for your advertisements. Do we have to get the DRE to approve the use of that name as a fictitious business name (or DBA)? Pick the best answer:

A. Yes, because the domain name appears to be the name of a company.
B. No, because it is just a domain name, not the name of a company.
C. The answer depends on how the name is used in advertisements.
D. The answer depends on whether the salesperson’s last name is “Home” or “Sweet.” 

Answer: Answer A is not the best answer. It is, however, true that, before using any assumed name for conducting real estate licensed activities, other than your personal name, our company’s name, or a team name, you should consider whether you should be getting that name approved by the DRE as a fictitious business name or DBA. The acronym, DBA, which means “doing business as,” is often used synonymously with “fictitious business name.”

Answer B is not the best answer either. Just because something is a domain name does not necessarily mean that a DBA is not required.

Answer C is the correct answer. If you always use a domain name along with your personal name, our company’s name, DRE license number, and other contact information, you do not need to get a DBA. An example would be including that domain name in your business card along with your other contact information. However, if you use the domain name on its own, such as advertising it by itself on a bus bench or billboard, you should get a DBA.

Answer C has always been my advice to agents, because it was what the DRE verbally told a group of us a few decades ago. I just attended C.A.R.’s Legal Affairs Forum last Friday, and, lucky for me, one of the guest speakers, Assistant DRE Commissioner Chika Sunquist, repeated the same advice again.

Answer D is incorrect. Obtaining a DBA for real estate licensed activities is a 2-step process. First, you have to register the name with the County Recorder’s Office, and second, our brokerage must submit the name to the DRE for approval. A person with the last name of “Home” or “Sweet” is arguably not required to file a DBA for homesweethome.com with the County Recorder’s Office, because, among other things, the business name includes the surname of the salesperson. However, the DRE does not allow a salesperson to use a business name that includes the salesperson’s surname, because it will look like the salesperson is operating an independent real estate brokerage, which is not true. See, for example, the DRE’s Licensee Alert from 2017.

Copyright© 2021 Berkshire Hathaway HomeServices California Properties (BHHSCP). All rights reserved. Any unauthorized reproduction or use of this material is strictly prohibited. This information is believed to be accurate as of October 18, 2021. It is not intended as a substitute for legal advice in individual situations, and is not intended to nor does it create a standard of care for real estate professionals.

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