California Investor Rights and Laws

The DFPI regulates many of the shareholder rights and laws on the books. Learn more about these rights and laws and share them with the people you serve.

Investor Bill of Rights

Individuals looking to invest in financial products, stocks, etc. are entitled to certain rights, like the right to understand the terms and conditions of their transactions. By sharing this bill of rights in your community, you can help potential investors decide whether a particular investment is right for them. See the full Investor Bill of Rights

California Minority Shareholder Rights

California Corporate Code 1600 and 1601 protect minority shareholders in a corporation and provides them with certain rights, like the right to inspect a record of shareholders and the right to inspect records, books and minutes of proceedings. And actions cannot be taken by executives, directors, or others to change those rights in a company’s bylaws or charter. This helps empower minority shareholders to ensure their interests aren’t trampled by majority shareholders. Learn more about these Corporate Codes and their details.

Basic Rights of Shareholders

In addition to California minority shareholder rights, investors generally have voting power, ownership, the right to transfer ownership, a claim to dividends, the right to inspect corporate documents and the right to sue for wrongful acts. It’s important for investors to know these rights to help reduce their susceptibility to risks. Learn more about basic shareholder rights.

California Financial Laws

California has laws regulating how banks, credit unions, trust companies, mortgage lenders, investment brokers and more do business. The state also regulates the offers and sales of all securities. Learn more about financial laws in place and how our legal division ensures they’re upheld.

Consumer Financial Protection Laws

California has consumer protections in place, in addition to those at the federal level monitored by the Consumer Financial Protection Bureau. Most notably, the California Consumer Financial Protection Law (CCFPL) allows DFPI to oversee an expansive array of providers of specific financial products and services. Learn more about consumer protection policies at the and at the state level and at the federal level.

If you believe that your investor rights have been violated or you are a victim of an investment fraud or scam, submit a complaint with the DFPI.

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Funded by a grant from the Investor Protection Trust.