BILL NUMBER: AB 1769	CHAPTERED  09/19/02

	CHAPTER  699
	FILED WITH SECRETARY OF STATE  SEPTEMBER 19, 2002
	APPROVED BY GOVERNOR  SEPTEMBER 19, 2002
	PASSED THE ASSEMBLY  AUGUST 20, 2002
	PASSED THE SENATE  AUGUST 14, 2002
	AMENDED IN SENATE  AUGUST 5, 2002
	AMENDED IN SENATE  JUNE 29, 2002
	AMENDED IN SENATE  JUNE 18, 2002
	AMENDED IN SENATE  MAY 22, 2002
	AMENDED IN ASSEMBLY  MARCH 20, 2002

INTRODUCED BY   Assembly Member Leslie
   (Principal coauthor:  Senator Bowen)
   (Coauthors:  Assembly Members Aanestad, Harman, La Suer,
Longville, Robert Pacheco, Pescetti, and Salinas)
   (Coauthors:  Senators Johannessen and Morrow)

                        JANUARY 9, 2002

   An act to add Section 17538.41 to the Business and Professions
Code, relating to advertising.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1769, Leslie.  Advertising:  unsolicited cellular telephone and
pager text messages.
   Existing law provides for the regulation of advertising and
specifically prohibits a person conducting business in this state
from faxing or electronically mailing unsolicited advertising
material, unless certain conditions are satisfied.  Existing law
provides that a violation of the provisions regulating advertising is
a misdemeanor, and also provides for imposition of civil penalties
and injunctive relief.
   This bill would, subject to certain exceptions, generally prohibit
a person or entity conducting business in this state from
transmitting or causing to be transmitted a text message
advertisement to a cellular telephone or pager equipped with short
message or a similar capability.  By creating a new crime, the bill
would impose a state-mandated local program.
  The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 17538.41 is added to the Business and
Professions Code, to read:
   17538.41.  (a) (1) Except as provided in subdivision (b), (c), or
(d), no person or entity conducting business in this state shall
transmit or cause to be transmitted a text message advertisement to a
cellular telephone or pager equipped with short message capability
or any similar capability allowing the transmission of text messages.
  A text message advertisement is a message, the principal purpose of
which is to promote the sale of goods or services to the recipient,
consisting of advertising material for the lease, sale, rental, gift
offer, or other disposition of any realty, goods, services, or
extension of credit.
   (2) This section shall apply when a text message advertisement is
transmitted to a telephone number assigned for cellular telephone or
pager service to a California resident.
   (b) This section shall not apply to text messages transmitted at
the direction of a person or entity offering cellular telephone or
pager service if the subscriber is offered an option to not receive
those text messages.
   (c) This section shall not apply to text messages transmitted by a
business that has an existing relationship with the subscriber if
the subscriber is offered an option not to receive text messages from
that business.
   (d) This section shall not apply to text messages transmitted by
an affiliate of a business that has an existing relationship with the
subscriber, but only if the subscriber has provided consent to the
business with which he or she has that relationship to receive text
messages from affiliates of that business.  "Affiliate" means any
company that controls, is controlled by, or is under common control
with, another company.
   (e) Subdivision (a) shall not impose an obligation on a person or
entity offering cellular or pager service to control the transmission
of a text message unless the message is transmitted at the direction
of that person or entity.
  SEC. 2.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.