BILL ANALYSIS AB 2216 Page 1 Date of Hearing: April 16, 2002 ASSEMBLY COMMITTEE ON JUDICIARY Ellen M. Corbett, Chair AB 2216 (Keeley) - As Introduced: February 20, 2002 As Proposed to Be Amended SUBJECT : DOMESTIC PARTNERS: INTESTATE SUCCESSION KEY ISSUE : SHOULD THE RIGHTS OF A DOMESTIC PARTNER BE EXPANDED TO INCLUDE THE RIGHT TO INHERIT PROPERTY FROM A PARTNER IF ONE PARTNER DIES WITHOUT A WILL? SYNOPSIS This bill provides a registered domestic partner with the right to inherit property if one partner dies without a will and contains a notification requirement by the Secretary of State to inform registered domestic partners and domestic partner applicants of this change. The measure is similar to earlier versions of AB 25 (Migden), Ch. 893, Stats. of 2001, and AB 2047 (Steinberg) as that measure was heard by this Committee. The language in question was deleted from AB 25, while AB 2047 was held in the Assembly Appropriations Committee. Supporters of the bill argue that it is needed to help protect a surviving domestic partner who may suffer undue economic hardships after the death of his or her partner. Proponents believe that providing the surviving partner with the right to inherit a portion of his or her deceased partner's estate will promote responsibility and help to ensure the continued stability of the surviving partner's well being. Opponents, on the other hand, argue that the bill "is just another incremental step in the effort to redefine the traditional family and elevate an unmarried partner to equal status of a married person." Opponents also argue that the bill is unnecessary since gay and lesbian couples can register as domestic partners and, under existing law, create wills in any manner that they choose. SUMMARY : Establishes intestate succession rights of domestic partners. Specifically, this bill expands the legal rights of a registered domestic partner to include the right to inherit property if one partner dies without a will and contains a AB 2216 Page 2 notification requirement by the Secretary of State to inform registered domestic partners and domestic partner applicants of this change. EXISTING LAW : 1)Provides, under the intestate succession law, that the surviving spouse is entitled to a specified share of the decedent's separate property that is not effectively disposed of by will. (Probate Code section 6401.) 2)Sets forth procedures for the establishment, registration and termination of a domestic partnership and provides that the only persons who may register as domestic partners are same-sex couples over the age of 18, or opposite sex couples where one of the partners is over the age of 62. (Family Code section 297 et seq. ) 3)Does not recognize the right of a registered domestic partner to inherit property if one partner dies without a will. FISCAL EFFECT : The bill as currently in print is keyed non-fiscal. COMMENTS : In support of the measure, the author states: The majority of Californians, regardless of their familial status, have not left testamentary instructions, e.g., a will, trust or other estate plan. Without the right to inherit property from a partner who dies intestate, surviving domestic partners may experience undue economic hardship, including, but not limited to, eviction from homes they shared with the deceased. Moreover, surviving partners may face legal challenges to retain any of the deceased partner's property, even if the couple jointly purchased it. Loss of funds built up by joint efforts over years but titled in the name of one partner can leave the survivor destitute and dependent on charity and over-burdened public programs to survive. Such situations are particularly unjust when the surviving partner contributed important value to the household by sacrificing career interests to put the AB 2216 Page 3 other through school, raise children, or otherwise to support the family unit. Allowing a surviving registered partner to inherit a portion of the decedent's estate encourages responsibility and mutual support between two committed adults, prevents undue hardship to an economically dependent partner, and discourages disputes between family members over the disposition of assets. The events of September 11, in particular, have highlighted the need for domestic partners to be recognized in intestate succession laws. Whether from terrorist attack or other unfortunate circumstance, death occurs without warning and without bias. Since domestic partners are not recognized in California's intestate succession laws, the surviving domestic partners of California's 9/11 victims have a far more difficult task to establish their role as next-of-kin to receive any relief from the Federal Victims Compensation Fund. AB 2216 would ensure that surviving domestic partners have legal recognition in the distribution of a deceased partner's estate. Legislative history on the issue of inheritance rights for domestic partners. This bill expands the legal rights of a registered domestic partner to include the right to inherit property if one partner dies without a will. A similar provision was included in earlier versions of AB 25 (Migden) of 2001, Ch. 893, Stats. of 2001, but the provision was deleted as a result of negotiations between interested parties. When AB 2047 (Steinberg) of 2000 was heard by this Committee it also contained a provision granting to domestic partners the right to inherit property from a deceased partner in the same manner as a spouse inheriting under the intestate succession laws of the State. That bill was subsequently amended to be authored by then-Assemblywoman Romero and also contain other provisions relating to domestic partnership but was held in the Assembly Appropriations Committee. Background on California's domestic partnership law. In 1999, the Legislature passed and Governor Davis signed into law AB 26 (Migden), 1999 Stats., Ch. 588, California's first domestic partnership statute. Thus, domestic partnerships have only been recognized by this state since the year 2000, when the measure took effect. This statute, which forms the backbone of AB 2216 Page 4 California's domestic partnership law, was substantially broadened recently when Governor Davis signed AB 25 (Migden) of 2001. California's domestic partnership statute defines domestic partners as "two adults who have chosen to share one another's lives in an intimate and committed relationship of mutual caring" and who file a Declaration of Domestic Partnership with the Secretary of State. As mentioned above, the only persons who may register as domestic partners are same-sex couples over the age of 18, or opposite sex couples where one of the partners is over the age of 62, who are not blood relatives, not married to others, not members of another domestic partnership, who share a common residence, and agree to be jointly responsible for each other's basic living expenses incurred during the partnership. As the first step in 1999, AB 26 narrowly defined the legal effect of creating a domestic partnership and expressly contained a continuing legal constraint that registration in California of a domestic partnership does not establish any rights except those specifically provided in legislation, and at any time that the partnership is terminated the partners shall incur none of the obligations to each other established by law. Thus, unlike with marriage where rights such as spousal support may continue upon its termination, under California's domestic partnership law no such legal rights and duties continue upon a termination of the domestic partnership relationship. Specific Rights Currently Granted Under California's Domestic Partnership Law. Under the scheme created by AB 26, registered domestic partners were granted limited rights in the areas of hospital visitation and health benefits if one of the partners is a state employee. This past October, the Governor signed AB 25, which conferred over a dozen new legal rights, privileges and standing on all registered domestic partners, including, among other things, the right to recover damages for negligent infliction of emotional distress; the right to assert a cause of action for wrongful death; the right of a domestic partner to adopt a child of his or her partner as a stepparent; the right to make health care decisions for an incapacitated partner; and the right to be appointed as administrator of a decedent's estate, in the same manner and priority as a spouse. ARGUMENTS IN SUPPORT : The sponsor of the measure, the AB 2216 Page 5 California Alliance for Pride and Equality (CAPE) states: This bill encourages domestic partners to act as a family unit in financial matters and will protect each of the partners if they make economic sacrifices for the benefit of the domestic partnership. This bill will promote responsibility and mutual support between two committed adults and will clarify some of the ambiguities surrounding the rights of the surviving partner. Approximately 90 individuals wrote in support of the bill, stating that the bill is necessary because "[a]bsent this law, the surviving domestic partner may suffer undue economic hardships following the death of his or her partner. Providing the surviving partner the right to inherit a portion of his or her deceased partner's estate will hopefully ensure the continued stability of his or her economic well being." California for Civil Marriage also supports the measure, writing: [The bill] is especially critical because many same-sex couples are unaware that the right to inherit was removed from AB 25 and are therefore unaware that domestic partners cannot inherit without a will. The majority of Californians do not have wills. The law of intestacy designates heirs for those Californians. Generally, persons named as heirs under the intestacy statutes are family members of the deceased: spouses, parents, children. Unfortunately, millions of California families are not covered by the intestacy statutes because they are unable to marry the life partners of their choice. The Human Rights/Fair Housing Commission of the City and County of Sacramento supports the measure, writing that the bill furthers the Commission's stated mission to "promote harmony and protect the citizens of Sacramento County from acts of hate crime violence, employment discrimination and public accommodations discrimination." In support of the measure, the Gay and Lesbian Community Services Center of Orange County states: AB 2216 Page 6 All too often, domestic partners experience the tragedy of a sudden death before they can complete estate planning to secure the assets for the surviving partner. Unlike other family members, however, domestic partners cannot legally inherit property from a deceased partner who dies intestate. Without this right, the surviving partner may experience undue financial hardship and face legal challenges from other family members. This bill will ensure that surviving domestic partners have legal recognition in the distribution of a deceased partner's estate. Providing domestic partners with the right to inherit a portion of their deceased partners' estates is the fair and right thing to do. ARGUMENTS IN OPPOSITION : The Committee on Moral Concerns opposes the measure, stating: Domestic partnerships should never approach equal relations with marriages. For heterosexuals, if they want to get married, they may do so. If they opt instead for domestic partner registration, they may do that. Domestic partnerships are vastly different from marriages, and they should remain so. Gay and lesbian couples may register as domestic partners and create their own wills in any manner they choose. There is no need for this bill. Never before has a society or major religion legally accepted gay and lesbian couples. Moving toward equalizing domestic partnerships with marriage will lower our standard of morality below that of any culture, nation, state, tribe, clan, or settlement in human history. This bill sends a terrible message to California's young people, and the rest of the world. California voters decided against gay and lesbian marriages with the passage of Proposition 22. Equalizing domestic partnerships with marriages violates the will of the people. In opposition to the bill, the Capitol Resource Institute writes: AB 2216 Page 7 AB 2216 is just another incremental step in the effort to redefine the traditional family and elevate an unmarried partner to equal status of a married person. It is interesting, however, that this bill does not best serve the people it is intended to help. Wills are a far better alternative for leaving an estate and this option should be encouraged rather than discouraged. Even married couples are strongly urged to use wills. In the case of domestic partners who are aware that they do not have intestate provisions in law, they are more likely to draft wills in order to leave their estates to their partners if they desire to do so. There is no reason for AB 2216 other than to further a narrow agenda by those who are intent on ignoring the will of California's voters with regards to Proposition 22. REGISTERED SUPPORT / OPPOSITION : Support California Alliance for Pride and Equality (Sponsor) AIDS Healthcare Foundation American Civil Liberties Union Bay Area Lawyers for Individual Freedom California Coalition for Youth California HIV Advocacy Coalition California Labor Federation, AFL-CIO Californians for Civil Marriage Congress of California Seniors Gay and Lesbian Community Services Center of Orange County Gray Panthers Human Rights Campaign Human Rights/Fair Housing Commission of the City and County of Sacramento Lambda Legal Defense and Education Fund Older Women's League Pacific Pride Foundation People for the American Way The Diversity Center of Santa Cruz The Lambda Letters Project Approximately 90 individuals AB 2216 Page 8 Opposition Campaign for California Families Capitol Resource Institute Committee on Moral Concerns Analysis Prepared by : Saskia Kim / JUD. / (916) 319-2334