Does res judicata apply in real estate disciplinary proceedings?

The commissioner contends that a legislative intent to leave res judicata available to preclude the debtor from relitigating the underlying [29 Cal.3d 79] fraud is indicated by a parallel applicability of res judicata in disciplinary proceedings. Section 10177.5 provides: "When a final judgment is obtained in a civil action against any real estate licensee upon grounds of fraud, misrepresentation, or deceit with reference to any transaction for which a license is required under this division, the commissioner may, after hearing in accordance with the provisions of this part relating to hearings, suspend or revoke the license of such real estate licensee." Richards v. Gordon (1967) 254 Cal.App.2d 735, 62 Cal.Rptr. 466, held that, in a proceeding under the section, the licensee (1) may be barred on res judicata grounds from introducing evidence to dispute the fraud adjudicated in the judgment, but (2) may show mitigating circumstances to minimize the discipline to be imposed.