BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   AB 354|
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                                    CONSENT


          Bill No:  AB 354
          Author:   Silva (R)
          Amended:  3/21/11 in Assembly
          Vote:     21

           
           SENATE JUDICIARY COMMITTEE  :  5-0, 6/7/11
          AYES:  Evans, Harman, Blakeslee, Corbett, Leno

           ASSEMBLY FLOOR  :  71-0, 3/25/11 (Consent) - See last page 
            for vote


           SUBJECT  :    Estates and trusts:  property:  wrongful taking

           SOURCE  :     Conference of California Bar Associations


           DIGEST  :    This bill provides that when a person has taken, 
          concealed, or disposed of the real or personal property of 
          a conservatee, minor, estate of a decedent, or trust by the 
          use of undue influence in bad faith or through the 
          commission of elder or dependent adult financial abuse, the 
          person is liable for twice the value of the property 
          recovered in a conservatorship, guardianship, estate, or 
          trust proceeding.  

           ANALYSIS  :    Existing law provides that a guardian, 
          conservator, claimant, personal representative, or trustee 
          can file a petition with the court to recover the real or 
          personal property of a minor, conservatee, estate of a 
          decedent, or trust held by another.  (Probate Code Section 
          850 et seq)  
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          Existing law provides that, if the court finds that a 
          person has in bad faith wrongfully taken, concealed, or 
          disposed of property belonging to the estate of a decedent, 
          conservatee, minor, or trust, the person shall be liable 
          for twice the value of the property recovered by an action 
          under this part.  This remedy is in addition to any other 
          remedies available in law to a trustee, guardian or 
          conservator, or personal representative or other successor 
          in interest of a decedent.  (Probate Code Section 859)

          Existing law defines "undue influence" as the use, by one 
          in whom a confidence is reposed by another, or who holds a 
          real or apparent authority over him, of such confidence or 
          authority for the purpose of obtaining an unfair advantage 
          over him, taking an unfair advantage of another's weakness 
          of mind, or taking a grossly oppressive and unfair 
          advantage of another's necessities or distress.  (Civil 
          Code Section 1575)

          Existing law defines "financial abuse" as the taking, 
          secreting, appropriating, obtaining, or retaining real or 
          personal property of an elder or dependent adult for a 
          wrongful use or with intent to defraud, or both or by undue 
          influence.  (Welfare and Institutions Code Section 
          15610.30)

          This bill provides that when a person has taken, concealed, 
          or disposed of the real or personal property of a 
          conservatee, minor, estate of a decedent, or trust by the 
          use of undue influence in bad faith or through the 
          commission of elder or dependent adult financial abuse, the 
          person is liable for twice the value of the property 
          recovered in a guardianship, conservatorship, estate, or 
          trust proceeding.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   
          Local:  No

           SUPPORT  :   (Verified  6/8/11)

          Conference of California Bar Associations (source)
          Trusts and Estates Section of the State Bar of California








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           ARGUMENTS IN SUPPORT  :    The Conference of California Bar 
          Associations, the sponsor of this bill, writes, "AB 354 
          would eliminate the ambiguity in existing law by amending 
          Probate Code ŬSection] 859 to specifically include willful 
          undue influence and elder financial abuse as Ŭthe] bases 
          for imposing double damages liability on wrongdoers who 
          prey upon the elderly and infirm."


           ASSEMBLY FLOOR  :  71-0, 3/25/11
          AYES:  Achadjian, Alejo, Ammiano, Atkins, Beall, Bill 
            Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Charles Calderon, Campos, 
            Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, 
            Eng, Feuer, Fletcher, Fong, Fuentes, Furutani, Galgiani, 
            Garrick, Gatto, Gordon, Grove, Hagman, Halderman, Hall, 
            Harkey, Hayashi, Roger Hernández, Hill, Huber, Hueso, 
            Huffman, Jeffries, Knight, Logue, Bonnie Lowenthal, Ma, 
            Mansoor, Mendoza, Miller, Mitchell, Monning, Morrell, 
            Nestande, Olsen, Pan, Perea, V. Manuel Pérez, Portantino, 
            Silva, Skinner, Smyth, Solorio, Torres, Valadao, Wagner, 
            Wieckowski, Williams, Yamada, John A. Pérez
          NO VOTE RECORDED:  Allen, Donnelly, Gorell, Jones, Lara, 
            Nielsen, Norby, Swanson, Vacancy


          RJG:kc  6/8/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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