Having been a regulator I have that mind set.

The department of finance/commerce or any regulatory agency of any state may or may not have powers of arrest, but they can seek compliance through law enforcement agencies who do have powersof arrest.

Don't forget regulatory changes, like EPA, title hold periods, ordinaces and standards.The aspect not mentioned yet is competition in the market.

There are people who will try to push some sort of global "get-out-of-jail-free" cared (or, "get out of trouble with the state RE commission free" card), telling you that the Constitution protects wholesaling (not true), or that any contract can be assigned and that contract law will trump regulatory law (not true), or that by signing a contract you create an equitable interest that always and forever places you beyond the reach of state law and regulation (not true.)The real answer to the question, then, is "It depends."

Bill - May I add that the attorney needs to be a regulatory attorney and not just a contract attorney?

Terry, I have no idea what your training is, as a past regulator I can assure you there is absolutely no lending of funds between cells.

Of course, if one has enough financial resources to pay for on-going compliance, lawsuit defense and is willing to carry the weight of the crushing regulatory burden, it can still be done.I have thought about this a little bit.

Regulatory authority.

I like that they aren't a regulatory force, meaning they can't impose regulation but they can impose audits.

Unfortunately a regulatory body doesn't exist that has licensed you and is willing enforce any regulations for or against those unaccountable earnings.