Section 12301.5 Of Chapter 4. Licensee Regulations From California Financial Code >> Division 3. >> Chapter 4.

. No agent of a licensee shall issue or cause to be issued any check, draft, or money order, or other commercial paper serving the same purpose which is drawn upon the trust account of a licensee without concurrently receiving in full, in cash, or by check, draft, or money order from a third party believed to be valid, the principal amount thereof.