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Mobile Home Park Home Owners Allegiance

Wed, May 1, 2019 – The MHPHOA have reviewed and vetted over one-thousand-seven-hundred (1,700+) Mobile Home for Sale listings in mobile home parks owned by Kort & Scott Financial Group and managed by Sierra Corporate Management. Based on our research, this represents an estimated thirty percent (30%) of the 5,850+ mobile home spaces in thirty-nine (39) mobile home parks (that we are aware of) currently or previously owned by Kort & Scott Financial Group in California.

The process of researching mobile home sales is a time consuming process. In many instances, important information lawfully required by California Health and Safety Codes commencing with Section 18045, is absent from online mobile home for sale advertisements including but not limited to;

  1. Mobile Home Manufacturer Name
  2. Manufacturer Model
  3. Manufacturer Serial Number(s) and/or HCD Decal Number
  4. Park Space/Lot Number
  5. Space Rent
  6. Utilities as Additional Costs
  7. Property Taxes as Additional Costs
  8. Total Costs to Buyer

A large percentage of mobile homes sold in Kort & Scott owned mobile home parks are handled via individuals who have obtained an Occupational License (OL) issued by the California Department of Housing and Community Development (HCD). These individuals are referred to as Salespeople (SP) and represent a business entity who has a Dealers License (DL) also referred to as a Retailer.

These are not Realtors licensed by the California Bureau of Real Estate (CalBRE) although some mobile home Retailers may have Real Estate Licenses in addition to their Occupational Licenses from the HCD.

Dealers and Salespeople selling mobile homes must adhere to the California Health and Safety Codes (HSC) that govern individuals/entities operating with Occupational Licenses issued and overseen by the HCD.

With respect to taxation, fees, title, and registration, it is unlawful to do any of the following:

  1. Use a false or fictitious name, knowingly make any false statement, or knowingly conceal any material fact in any application for title or registration of a manufactured home, mobilehome, or commercial coach, or otherwise commit a fraud in that application.
  2. Fail to deliver to a transferee lawfully entitled thereto a properly endorsed title or registration.
  3. Violate any of the terms or provisions of Part 5 (commencing with Section 10701) of Division 2 of the Revenue and Taxation Code or rules and regulations adopted pursuant thereto or adopted pursuant to Section 18015 of this part.

(Amended by Stats. 1983, Ch. 1076, Sec. 40.)

With respect to escrows and sales practices, it is unlawful to do any of the following:

  1. Violate any of the terms or provisions of Chapter 5 (commencing with Section 18035), relating to purchase documents, receipts for deposit, escrow, and sales practices, or any rule, regulation, or order issued by the department pursuant thereto.
  2. Intentionally withhold or provide false information to an escrow company or to any person or firm holding or acquiring an ownership or security interest in the manufactured home or mobilehome being sold or purchased.

(Amended by Stats. 1984, Ch. 1342, Sec. 11. Effective September 26, 1984. Operative January 1, 1985, by Sec. 39 of Ch. 1342.)

With respect to business practices, it is unlawful to do any of the following:

  1. Knowingly purchase, sell, or otherwise acquire or dispose of a stolen manufactured home, mobilehome, or commercial modular.
  2. Violate any of the terms or provisions of regulations promulgated under the authority of Section 18015.
  3. Cause the state or any person to suffer any loss or damage by reason of any fraud or deceit practiced on them or fraudulent representations made to any person in the sale or purchase of a manufactured home, mobilehome, or commercial modular or parts or accessories thereof.
  4. Violate any of the terms and conditions of Chapter 3 (commencing with Section 1797) of Title 1.7 of Part 4 of Division 3 of the Civil Code.
  5. Move a manufactured home, mobilehome, or commercial modular subject to registration pursuant to this part from a mobilehome park or other site of installation to another location, without obtaining from the legal owner, written consent for the move as prescribed in Section 18099.5.
  6. Include as an added cost to the selling price of a manufactured home, mobilehome, or commercial modular, an amount for licensing or transfer of title of the manufactured home, mobilehome, or commercial modular, which amount is not due to the state unless, prior to the sale, the amount has been paid by a dealer to the state in order to avoid penalties that would have accrued because of late payment of those fees. However, a dealer may collect from the second purchaser of a manufactured home, mobilehome, or commercial modular, a prorated fee based upon the number of months remaining in the registration year for that manufactured home, mobilehome, or commercial modular, if the manufactured home, mobilehome, or commercial modular was previously sold by the dealer and the sale was subsequently rescinded and all the fees that were paid, as required by this part and Chapter 2 (commencing with Section 10751) of Division 2 of the Revenue and Taxation Code, were returned to the first purchaser of the manufactured home, mobilehome, or commercial modular.
  7. Participate in the sale of a manufactured home, mobilehome, or commercial modular reported to the department pursuant to this part without making the return and payment of any sales tax due and required by Section 6451 of the Revenue and Taxation Code.
  8. Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial modulars.
  9. Display for sale, offer for sale, or sell, a manufactured home, mobilehome, or commercial modular, representing that manufactured home, mobilehome, or commercial modular to be of a year model different from the year model designated at the time of manufacture or first assembly as a completed manufactured home, mobilehome, or commercial modular.
  10. Directly or indirectly authorize or advise another licensee to change the year model of a manufactured home, mobilehome, or commercial modular in the inventory of the other licensee.
  11. Fail, at the time that the seller enters into a net listing agreement, to disclose in writing as part of the listing agreement in 12-point boldface type all of the following:
    1. That a buyer’s offer may be in excess of the amount that the seller has agreed to accept as a purchase price in the listing agreement.
    2. That the dealer may retain any amount in excess of the amount the seller has agreed to as the purchase price in the listing agreement as the dealer’s compensation or commission.
    3. That additional costs or payments involved in the sales transaction may be deducted or made from the amount the seller has agreed to accept as the purchase price in the listing agreement by the close of escrow.
  12. Fail, within three days after the date a buyer’s written offer to purchase a mobilehome or manufactured home that is not a new mobilehome or manufactured home is accepted, but no less than 48 hours prior to the close of escrow or transfer of title to the mobilehome or manufactured home from the seller to the buyer, to disclose to the seller in a document, signed or initialed by the seller and the dealer, that is an addendum to the disclosure required in subdivision (k), the exact amount of the buyer’s offer and the specific amounts of any commission. The dealer shall submit a copy of the disclosure required by subdivision (k) and this subdivision into escrow and maintain, at the dealer’s place of business, a copy of that disclosure for three years from the date of sale. The escrow agent shall ensure that the disclosure deposited into escrow is executed and complete. However, nothing in this subdivision shall be construed to require the escrow agent to be responsible for determining the accuracy of any of the statements in that disclosure.

(Amended by Stats. 2004, Ch. 567, Sec. 4. Effective January 1, 2005.)

With respect to advertising, it is unlawful:

  1. To make or disseminate or cause to be made or disseminated before the public in this state, in any newspaper or other publication, or any advertising device, or by public outcry or proclamation, or by any other manner or means whatsoever, any statement which is untrue or misleading, and which is known, or which by the exercise of reasonable care should be known, to be untrue or misleading, or to so make or disseminate or cause to be so disseminated any statement as part of a plan or scheme with the intent not to sell any manufactured home, mobilehome, or commercial coach or service so advertised at the price therein, or as so advertised.
  2. To advertise or offer for sale or exchange in any manner, any manufactured home, mobilehome, or commercial coach not actually for sale at the premises of the dealer or available to the dealer through a listing agreement executed by the seller or from a manufacturer or distributor at the time of the advertisement or offer. However, this subdivision does not apply to advertising or offering for sale or exchange any used manufactured home, used mobilehome, or used commercial coach where the advertising or offering for sale is not contrary to any terms of a contract between the seller of the manufactured home, mobilehome, or commercial coach and the owner of the mobilehome park, and which manufactured home, mobilehome, or commercial coach is either in place on a lot rented or leased for human habitation within an established mobilehome park, or is otherwise located, pursuant to a local zoning ordinance or permit, on a lot where its presence has been authorized or its continued presence and use would be authorized for a total and uninterrupted period of at least one year.
  3. To fail, within 48 hours, in writing, to withdraw any advertisement of a manufactured home, mobilehome, or commercial coach that has been sold or withdrawn from sale.
  4. To advertise or represent a manufactured home, mobilehome, or commercial coach as a new manufactured home, mobilehome, or commercial coach if the manufactured home, mobilehome, or commercial coach has been previously installed as a model without also advertising that it was a model.
  5. To advertise or otherwise represent, or knowingly to allow to be advertised or represented on his or her behalf, or at his or her established place of business, that no downpayment is required in connection with the sale of a manufactured home, mobilehome, or commercial coach when a downpayment is in fact required and the buyer is advised or induced to finance the downpayment by a loan in addition to any other loan financing the remainder of the purchase price of the manufactured home, mobilehome, or commercial coach.

(Amended by Stats. 1984, Ch. 1342, Sec. 14. Effective September 26, 1984. Operative January 1, 1985, by Sec. 39 of Ch. 1342.)

It is unlawful for a dealer to do any of the following:

  1. Enter into a listing agreement that does not include a specified date upon which the agreement is to terminate.
  2. Claim or take any secret or undisclosed amount of compensation, commission, fee, or profit prior to, or at the time that a contractual agreement is signed whereby all parties involved, after negotiation, have come to terms. However, this section shall not be construed to require the disclosure of any exclusive financial arrangements agreed upon between the dealer and any financial institution with regard to financial arrangements applicable solely to them.
  3. Exercise any provision which allows the dealer an option to purchase the manufactured home, mobilehome, or commercial coach that is the subject of an agreement whereby a consumer authorizes or employs the dealer to arrange for its sale, purchase, or exchange, unless the dealer has, prior to exercising the option, revealed in writing to the consumer the full amount of the dealer’s profit in exercising the option and obtained the written consent of the consumer approving the amount of the profit.
  4. Fail to disclose any liens or encumbrances of which the dealer had knowledge on a manufactured home, mobilehome, or commercial coach.

(Amended by Stats. 1984, Ch. 1528, Sec. 11. Effective September 30, 1984.)

It is also unlawful for a dealer to do any of the following:

  1. Engage in the business for which the dealer is licensed without at all times maintaining an established place of business.
  2. Employ any person as a salesperson who is not licensed pursuant to this part, or whose license or 90-day certificate is not displayed on the premises of the dealer as provided in Section 18063.
  3. Permit the use of the dealer’s license, supplies, or books by any other person for the purpose of permitting that person to engage in the sale of manufactured homes, mobilehomes, or commercial modulars, or to permit the use of the dealer’s license, supplies, or books to operate a secondary location to be used by any other person, if the licensee has no financial or equitable interest or investment in the manufactured homes, mobilehomes, or commercial modulars sold by, or the business of, or secondary location used by, the person, or has no such interest or investment other than commissions, compensations, fees, or any other thing of value received for the use of the dealer’s license, supplies, or books to engage in the sale of manufactured homes, mobilehomes, or commercial modulars.
  4. Advertise any specific manufactured home, mobilehome, or commercial modular for sale without identifying the manufactured home, mobilehome, or commercial modular by its serial number or by the number on its federal label or insignia of approval issued by the department.
  5. Advertise the total price of a manufactured home, mobilehome, or commercial modular without including all costs to the purchaser at the time of delivery at the dealer’s premises, except sales tax, title and registration fees, finance charges, and any dealer documentary preparation charge. The dealer documentary preparation charge shall not exceed twenty dollars ($20).
  6. Exclude from the advertisement of a manufactured home, mobilehome, or commercial modular for sale information to the effect that there will be added to the advertised total price at the time of sale, charges for sales tax, title and registration fees, escrow fees, and any dealer documentary preparation charge.
  7. Represent the dealer documentary preparation charge as a governmental fee.
  8. Refuse to sell the manufactured home, mobilehome, or commercial modular to any person at the advertised total price for that manufactured home, mobilehome, or commercial modular, exclusive of sales tax, title fee, finance charges, and dealer documentary preparation charge, which charge shall not exceed twenty dollars ($20), while it remains unsold, unless the advertisement states the advertised total price is good only for a specified time and that time has elapsed.
  9. Not post the salesperson’s license in a place conspicuous to the public on the premises where they are actually engaged in the selling of manufactured homes, mobilehomes, and commercial modulars for the employing dealer. The license shall be displayed continuously during their employment. If a salesperson’s employment is terminated, the dealer shall return the license to the salesperson.
  10. Offer for sale, rent, or lease within this state a new manufactured home, mobilehome, or commercial modular whose manufacturer is not licensed under this part.
  11. To violate Section 798.71 or 798.74 of the Civil Code, or both.
  12. When the dealer is an owner or manager, or an agent of the owner or manager, of a mobilehome park and serves as the dealer for a manufactured home or mobilehome to be installed or sold in the park, to knowingly violate Section 798.72, 798.73, 798.73.5, 798.75.5, or 798.83 of the Civil Code.

(Amended by Stats. 2004, Ch. 567, Sec. 6. Effective January 1, 2005.)

It is unlawful for a salesperson to do any of the following:

  1. At the time of employment, not deliver to his or her employing dealer his or her salesperson’s license or 90-day certificate.
  2. Fail to report in writing to the department every change of residence within five days of the change.
  3. Act or attempt to act as a salesperson while not employed by a dealer. For purposes of this subdivision, “employment by a dealer” means employment reported to the department pursuant to subdivision (c) of Section 18060.
  4. To violate Section 798.71 or 798.74 of the Civil Code, or both.
  5. When the salesperson is an owner or manager, or an agent of the owner or manager, of a mobilehome park and serves as the salesperson for a manufactured home or mobilehome to be installed or sold in the park, to knowingly violate Section 798.72, 798.73, 798.73.5, 798.75.5, or 798.83 of the Civil Code.

(Amended by Stats. 2004, Ch. 567, Sec. 7. Effective January 1, 2005.)

If a purchaser of a manufactured home, mobilehome, or commercial coach pays to the dealer an amount for transfer of title of the manufactured home, mobilehome, or commercial coach, which amount is in excess of the actual fees due for the transfer, or which amount is in excess of the amount which has been paid, prior to the sale, by the dealer to the state in order to avoid penalties that would have accrued because of late payment of the fees, the dealer shall return the excess amount to the purchaser, whether or not the purchaser requests the return of the excess amount.

(Amended by Stats. 1983, Ch. 1076, Sec. 45.)

  1. “Dealer” means a person not otherwise expressly excluded by subdivision (b), who is engaged in any of the following activities:
    1. For commission, money, or other thing of value, sells, exchanges, leases, buys, offers for sale, or negotiates or attempts to negotiate a sale or exchange of an interest in a manufactured home, mobilehome, or commercial coach, or induces or attempts to induce any person to buy or exchange an interest in a manufactured home, mobilehome, or commercial coach, and who receives or expects to receive a commission, money, brokerage fees, profit, management fees, or any other things of value from either the seller or purchaser of the manufactured home, mobilehome, or commercial coach.
    2. Is engaged wholly or in part in the business of selling manufactured homes, mobilehomes, or commercial coaches or buying or taking in trade manufactured homes, mobilehomes, or commercial coaches for the purpose of reselling, selling, or offering for sale, or consigning to be sold, or otherwise dealing in manufactured homes, mobilehomes, or commercial coaches, whether or not these manufactured homes, mobilehomes, or commercial coaches are owned by the dealer.
  2. “Dealer” does not include any of the following:
    1. An insurance company, bank, savings and loan association, finance company, or public official coming into possession of one or more manufactured homes, mobilehomes, or commercial coaches in the regular course of business, who only sells manufactured homes, mobilehomes, or commercial coaches under a contractual right or obligation, in performance of an official duty, or under the authority of any court of law. However, a sale subject to this paragraph shall be for the purpose of preventing the seller from suffering a loss or pursuant to the authority of a court of competent jurisdiction.
    2. Persons who sell or distribute manufactured homes, mobilehomes, or commercial coaches, subject to registration or titling pursuant to Chapter 8 (commencing with Section 18075), for a manufacturer to dealers licensed under this part, or who are employed by manufacturers or distributors to promote the sale of manufactured homes, mobilehomes, or commercial coaches dealt in by that manufacturer or distributor. However, if any person also sells manufactured homes, mobilehomes, or commercial coaches at retail, the person is a dealer and is subject to this part.
    3. Persons regularly employed as salespersons by dealers licensed under this part while acting within the scope of that employment.
    4. Persons exclusively engaged in the bona fide business of exporting manufactured homes, mobilehomes, or commercial coaches, or of soliciting orders for the sale and delivery of manufactured homes, mobilehomes, or commercial coaches outside the territorial limits of the United States, if no federal excise tax is legally payable on any of those transactions or the tax is legally refundable on the transactions. Persons not exclusively engaged in the bona fide business of exporting manufactured homes, mobilehomes, or commercial coaches but who are engaged in the business of soliciting orders for the sale and delivery of manufactured homes, mobilehomes, or commercial coaches outside the territorial limits of the United States shall be exempt from licensure as dealers only if their gross sales proceeds from manufactured homes, mobilehomes, or commercial coaches produce less than 10 percent of their total gross revenue from all business transacted.
    5. Persons not engaged in the purchase or sale of manufactured homes, mobilehomes, or commercial coaches as a business.
    6. Persons disposing of manufactured homes, mobilehomes, or commercial coaches acquired for their own use or for use in a business of acquiring, leasing, or selling manufactured homes, mobilehomes, or commercial coaches, if the manufactured homes, mobilehomes, or commercial coaches have been so acquired and used in good faith and not acquired or used for the purpose of avoiding the provisions of this part.
    7. Persons licensed as real estate brokers who buy, sell, list, or negotiate the purchase, sale, or exchange of manufactured homes or mobilehomes pursuant to Section 10131.6 of the Business and Professions Code.

(Amended by Stats. 1983, Ch. 1076, Sec. 3.)

“Fraud” includes any act or omission which is included within the definition of either “actual fraud” or “constructive fraud” as defined, respectively, in Sections 1572 and 1573 of the Civil Code, and the term “deceit” has the same meaning as defined in Section 1710 of the Civil Code.

In addition, the terms “fraud” and “deceit” include, but are not limited to, the following:

  1. A misrepresentation in any manner, whether intentionally false or due to gross negligence, of a material fact.
  2. A promise or representation not made honestly and in good faith.
  3. An intentional failure to disclose a material fact.
  4. Any act falling within the provisions of Section 484 of the Penal Code.

(Added by Stats. 1981, Ch. 975, Sec. 3.)

“Good moral character” has the same meaning as specified in Division 1.5 (commencing with Section 475) of the Business and Professions Code.

(Added by Stats. 1981, Ch. 975, Sec. 3.)

“Retailer” means a dealer.

(Added by Stats. 1981, Ch. 975, Sec. 3.)

  1. “Salesperson” means a person employed by a dealer and not otherwise expressly excluded by this section, who does one or more of the following:
    1. For commission, money, profit, or other thing of value, sells, exchanges, buys, leases, or offers for sale, negotiates, or attempts to negotiate, a sale, lease, or exchange of an interest in a manufactured home, mobilehome, or commercial coach.
    2. Induces or attempts to induce any person to buy, lease, or exchange an interest in a manufactured home, mobilehome, or commercial coach, and who receives or expects to receive a commission, money, brokerage fees, profit, or any other thing of value, from either the seller, lessee, or purchaser of the manufactured home, mobilehome or commercial coach.
    3. Exercises managerial control over the business of a licensed manufactured home, mobilehome, or commercial coach dealer or who supervises salespersons employed by a licensed dealer, whether compensated by salary or commission, including, but not limited to, any person who is employed by the dealer as a general manager, assistant general manager, sales manager, or in any capacity, regardless of title, where the individual reviews, advises, supervises, or oversees, sales contracts, credit applications, or any other documents pertaining to the sale, purchase, or lease of manufactured homes or mobilehomes, or any employee of a licensed manufactured home, mobilehome, or commercial coach dealer who negotiates with or induces a customer to enter into a security agreement, lease, or purchase agreement or purchase order for the sale of a manufactured home, mobilehome, or commercial coach on behalf of the licensed manufactured home, mobilehome, or commercial coach dealer.
  2. The term “salesperson” does not include any of the following:
    1. A representative of an insurance company, finance company, bank, savings and loan association, or public official, who in the regular course of business, is required to dispose of, or sell manufactured homes, mobilehomes, or commercial coaches under a contractual right or obligation of the employer, or in the performance of an official duty, or under authority of any court of law, as long as the sale is for the purpose of protecting the seller from any loss or is pursuant to the authority of a court of competent jurisdiction.
    2. A person who is licensed as a manufacturer or distributor.
    3. A person exclusively employed in a bona fide business of exporting manufactured homes, mobilehomes, or commercial coaches, or of soliciting orders for the sale and delivery of mobilehomes or commercial coaches outside the territorial limits of the United States.
    4. A person not engaged in the purchase or sale of manufactured homes, mobilehomes, or commercial coaches as a business, disposing of manufactured homes, mobilehomes, or commercial coaches acquired for the person’s own use, or for use in business when they have been so acquired and used in good faith and not for the purpose of avoiding the provisions of this part.
    5. A person licensed as a manufactured home, mobilehome, or commercial coach dealer doing business as a sole ownership or a member of a partnership or a stockholder and director of a corporation licensed as a manufactured home, mobilehome, or commercial coach dealer under this part, as long as the person engages in the activities of a salesperson exclusively on behalf of the sole ownership or partnership or corporation in which the person owns an interest or stock, and the person owning the stock is a director of the corporation; otherwise, the person shall be deemed to be a manufactured home, mobilehome, or commercial coach salesperson and subject to the provisions of Section 18045.

(Amended by Stats. 1984, Ch. 1528, Sec. 1. Effective September 30, 1984.)

Law

The law establishing the Department's Occupational Licensing Program and related enforcement activities is contained in the California Health and Safety Code, Division 13, Part 2, commencing with Section 18045.

Regulations

Regulations created and enforced by the Department to implement, interpret, and clarify the law are contained in the California Code of Regulations, Title 25, Division 1, Chapter 4, commencing with Section 5000.

Application and Scope

The occupational licensing requirements of the Health and Safety Code and Department regulations apply to all manufacturers, distributors, dealers, and salespersons who manufacture and sell or lease new or used manufactured homes, mobilehomes, or commercial coaches within California. The Department is solely responsible for these duties and carries them out exclusively. Local governments become involved only when a district attorney prosecutes a violator of the Health and Safety Code or California Code of Regulations, and these cases are generally based on information provided by the Department.

THE KORT & SCOTT MOBILE HOME SALES TEAM

Published: Thu, Jan 28, 2016 – What you are seeing in the image below are thousands of documents titled "Investigative Report" which are from the California Department of Housing and Community Development (HCD) filed against Kort & Scott Financial Group DBAs. This information is available through a Public Information Request which we have filed for all of the KSFG parks that we are aware of in the State of California.

Complaint Types

  1. Non Receipt of Title
  2. Non Transfer of Title
  3. Unlicensed Activity
  4. Substandard Housing
  5. Unlawful Use
  6. Misrepresentation
  7. Illegal Advertising
  8. Breach of Contract
HCD Complaint Investigative Reports Home for Sale

102 South Portola Lane, Tustin, CA 92780

102 South Portola Lane, Tustin, California 92780 - 0518 102 South Portola Lane, Tustin, California 92780 - 0515

112 South Portola Lane, Tustin, CA 92780

112 South Portola Lane, Tustin, California 92780 - 0552 112 South Portola Lane, Tustin, California 92780 - 0559

110 Balboa Lane, Tustin, CA 92780

110 Balboa Lane, Tustin, California 92780 - 0528

These two (2) mobile homes (109 South Portola Lane, 108 South Colombo Lane) were scheduled for demolition at another mobile home park, brought into Tustin Village Mobile Home Park in direct violation of the Park Rules and Regulations, installed backwards, rehabbed on site, and resold to uninformed families.

109 South Portola Lane, Tustin, California 92780 - Before and After 108 South Colombo Lane, Tustin, California 92780 - Before and After

Mon, Jun 13, 2016 – This park/affiliate owned mobile home was being offered for $750.

23701 South Western Avenue #13, Torrance, CA 90501

$750 Home for Sale

Thu, Jan 26, 2017 – Examples of willful violations of California Health and Safety Code (HSC) 18062.2.

MHVillage Profile for Executive Homes

Sin Título de tu Casa Móvil? Póngase en contacto con el Departamento de la División de Vivienda y (HCD) de Registro de Desarrollo Comunitario y Titulación de Estado al 800-952-8356 para obtener asistencia inmediata.


No Title for Your Mobile Home? If you have not received your Title within twenty (20) days after purchase, contact the State Department of Housing and Community Development’s (HCD) Registration and Titling Division at 800-952-8356 for immediate assistance.