BILL NUMBER: SB 504	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JANUARY 4, 2006
	AMENDED IN SENATE  APRIL 12, 2005
	AMENDED IN SENATE  MARCH 31, 2005

INTRODUCED BY   Senator  Alquist   Torlakson


                        FEBRUARY 18, 2005

    An act to add Section 11713.18 to the Vehicle Code,
relating to dealers.   An act to amend Section 10029 of
the Business and Professions Code, and to amend Section 2985 of the
Civil Code, relating to real property sales contracts, and declaring
the urgency thereof, to take effect immediately. 


	LEGISLATIVE COUNSEL'S DIGEST


   SB 504, as amended,  Alquist   Torlakson
   Vehicles: dealerships: identity theft.  
Real property sales contracts.  
   Existing law defines "real property sales contract" for purposes
of provisions regulating, among other things, the transfer of real
property sales contracts and the encumbering of real property sold
under unrecorded real property sales contracts, and provisions
specifying the required contents of real property sales contracts.
The violation of these provisions is a crime. 
   This bill would provide, for purposes of these provisions, that a
real property sales contract does not include a contract for purchase
of an attached residential condominium unit entered into pursuant to
a conditional public report issued by the Department of Real Estate,
as specified.  
  This bill would declare that it is to take effect immediately as an
urgency statute.  
   (1) Existing law generally regulates motor vehicle dealerships.
 
   This bill would prohibit a motor vehicle dealer licensed under the
Vehicle Code from selling or leasing a vehicle through the purchaser'
s or lessee's use of a credit card or long-term financing without
having first obtained the right thumbprint of the purchaser or
lessee, except as provided, and a photocopy of his or her valid form
of identification.  The bill would impose various conforming
requirements upon vehicle dealers. The bill would authorize a peace
officer to inspect and seize a thumbprint or a fingerprint card
obtained by a dealer under these provisions if the officer is acting
within the scope of his or her authority in response to a search
warrant, as specified.  
   Because a violation of these requirements and prohibitions would
be a misdemeanor under other provisions of existing law, the bill
would impose a state-mandated local program by creating new crimes.
 
  (2) 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. 
   Vote:  majority   2/3  . Appropriation:
no. Fiscal committee:  yes   no  .
State-mandated local program:  yes   no  .


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


   SECTION 1.    Section 10029 of the  
Business and Professions Code   is amended to read: 
   10029.  "Real property sales  contract"  
contract,   "  as used in this part  is an
agreement wherein one party agrees to convey title to real property
to another party upon the satisfaction of specified conditions set
forth in the contract and which does not require conveyance of title
within one year from the date of formation of the contract 
 , has the same meaning as that set forth in subdivision (a)
  of Section 2985 of the Civil Code  .
   SEC. 2.   Section 2985 of the   Civil Code
  is amended to read: 
   2985.  (a)    A real property sales contract is
an agreement  wherein   in which  one party
agrees to convey title to real property to another party upon the
satisfaction of specified conditions set forth in the contract and
 which   that  does not require conveyance
of title within one year from the date of formation of the contract.

   (b) For purposes of this chapter only, a real property sales
contract does not include a contract for purchase of an attached
residential condominium unit entered into pursuant to a conditional
public report issued by the Department of Real Estate pursuant to
Section 11018.12 of the Business and Professions Code. 
   SEC. 3.    This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
 
   To avoid subjecting developers to criminal liability for
unknowingly violating Chapter 2c (commencing with Section 2985)of
Title 14 of Part 4 of Division 3 of the Civil Code.  
  SECTION 1.    This act shall be known and may be
cited as the Identity and Automobile Theft Prevention Act. 

  SEC. 2.    Section 11713.18 is added to the
Vehicle Code, to read:
   11713.18.  (a) A dealer issued a license under this article shall
not sell or lease a vehicle through the purchaser's or lessee's use
of a credit card or long-term financing without first having obtained
both of the following documents from the purchaser or lessee:
   (1) A fingerprint card containing a print of the purchaser's or
lessee's right thumb, unless the purchaser or lessee has a disfigured
right thumb, in which case the dealer shall obtain a print of the
left thumb or any available finger. If the purchaser or lessee is
physically unable to provide a thumbprint or fingerprint, the dealer
or his or her authorized representative shall so indicate on the
fingerprint card and shall also provide an explanation of the
purchaser's or lessee's physical condition.
   (2) A photocopy of a valid form of identification for the
purchaser or lessee.
   (b) (1) A thumbprint or fingerprint required to be taken under
this section may be taken only by a person licensed under this
article or Article 2 (commencing with Section 11800).
   (2) The person taking the thumbprint or fingerprint shall be
clearly identified by name on the fingerprint card.
   (c) (1) The dealer shall maintain the fingerprint card for seven
years, or for the duration of any conditional sales contract,
whichever period is longer, and then shall destroy the card.
   (2) If the vehicle is sold pursuant to a conditional sales
contract, the dealer shall maintain the fingerprint card with the
documents required to be kept under Section 2984.5 of the Civil Code.

   (d) (1) The dealer shall store all documents required to be
obtained from a purchaser or lessee under this section in an area
that is not accessible by the public.
   (2) In storing the documents, the dealer shall comply with all
applicable provisions of Federal Trade Commission's Safeguards Rule,
as set forth in Part 314 (commencing with Section 314.1) of Title 16
of the Code of Federal Regulations.
   (e) The thumbprint or fingerprint, or any image of the thumbprint
or fingerprint, taken pursuant to this section shall not be placed in
a database.
   (f) (1) The dealer shall allow inspection or seizure of the
thumbprint or fingerprint only by a peace officer acting within the
scope of his or her authority in response to a criminal search
warrant signed by a magistrate and served on the dealer by the peace
officer.
   (2) Probable cause for the issuance of the warrant shall be based
on identity theft or vehicle theft specifically involving the
transaction for which the thumbprint or fingerprint was given.
   (g) The fingerprint card shall include a statement informing the
purchaser or lessee that state law prohibits a vehicle sales or lease
transaction from being finalized until the purchaser or lessee has
provided a thumbprint or fingerprint in compliance with this section
and that state law may require the thumbprint or fingerprint to be
made available to law enforcement for the purposes of investigating
vehicle theft or identity theft cases.
   (h) The dealer may not finalize a sales or lease transaction until
the purchaser or lessee has provided a thumbprint or fingerprint and
a copy of his or her valid identification form, as required under
this section.  
  SEC. 3.    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.