BILL ANALYSIS
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|Hearing Date:April 8, 2002 |Bill No:SB |
| |1240 |
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SENATE COMMITTEE ON BUSINESS AND PROFESSIONS
Senator Liz Figueroa, Chair
Bill No: SB 1240Author:Figueroa
As Introduced Fiscal:Yes
SUBJECT: Advertising.
SUMMARY: Provides that solicitations by e-mail and over the
Internet by a web-site are governed by the same laws that
govern when and how solicitations by mail may use words or
symbols that imply a governmental connection with the
solicitation.
Existing law:
1)Prohibits the use of government-related logos, words, or
symbols in mail solicitations that might create the
misimpression that the individual or business is connected
with the government.
2)Provides that symbols, words, etc., may be used in the mail
solicitation if the individual or business conspicuously
discloses on the solicitation that there is no connection to
the government.
This bill:
1)Prohibits the use of government-related logos, words, or
symbols in solicitations by email and over the Internet by a
web-site that might create the misimpression that the
individual or business is connected with the government.
2)Provides that symbols, words, etc., may be used by email and
on a web site if the individual or business conspicuously
discloses on the solicitation that there is no connection to
the government.
SB 1240
Page 2
FISCAL EFFECT: Unknown.
COMMENTS:
1.Background. According to the author, soon after the
enactment of SB 771 (Figueroa, Chapter 695, Statutes of
2001) - the California law that will by 2003 create a
state-run telemarketing "Do Not Call" list -- a web site
appeared calling itself "The California Do Not Call
List." The web site prominently displayed a picture of
the State Capitol and mentioned Senator Figueroa in the
lead paragraph. Apparently, the non-profit organization
sponsoring the site charged an at-cost fee and
represented that it would, on behalf of a paying
consumer, strive to remove a consumer's name from
telemarketing lists. After news reports containing
quotes from the Attorney General's office about the site
were published, the web site changed its name and its
design.
2.Purpose. According to the author, the purpose of this
measure is to treat all written solicitations involving
the use of government-inspired words, logos, and symbols
the same by requiring them to follow the same
truth-in-advertising law. The author believes that no
public policy is advanced by permitting e-mail
advertisers and web-sites to confuse the public by the
use of government-associated words or symbols without a
disclosure. The author feels that the usefulness of real
government web sites could be diminished if the public
has a difficult time distinguishing between the "real"
web site and others. The author believes that current
law and this bill are modest - both expressly permit the
use of government-oriented symbols, so long as the user
discloses that the solicitation is not in fact a
government document.
SUPPORT AND OPPOSITION:
Support:None Received
Opposition:None Received
Consultant:Ed Howard