BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 1407|
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                                    CONSENT


          Bill No:  AB 1407
          Author:   Assembly Judiciary Committee 
          Amended:  6/27/11 in Senate
          Vote:     21

           
           SENATE JUDICIARY COMMITTEE  :  5-0, 7/5/11
          AYES:  Evans, Harman, Blakeslee, Corbett, Leno
           
          ASSEMBLY FLOOR  :  Not relevant


           SUBJECT  :    Social host liability:  furnishing alcoholic to 
          underage persons

           SOURCE  :     Author


           DIGEST  :    This bill clarifies Californias social host 
          liability statute which provides that a claim may be 
          brought against an adult who knowingly furnishes alcohol at 
          his/her residence to a person under 21 years of age.  This 
          bill specifically provides that the adult know, or should 
          have known, that the person served alcohol was under age 
          21.  This bill also specifies that a claim under the 
          statute could be brought by, or on behalf of, a minor or a 
          person who was harmed by that minor.

           ANALYSIS  :    Existing law provides that everyone is 
          responsible, not only for the result of his or her willful 
          acts, but also for an injury occasioned to another by 
          his/her want of ordinary care or skill in the management of 
          his/her property or person, except so far as the latter 
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          has, willfully or by want of ordinary care, brought the 
          injury upon himself/herself.  (Civil Code Section 1714(a))

          Existing law provides that it is the intent of the 
          Legislature to abrogate the holdings in cases such as 
           Vesely v. Sager  (1971) 5 Cal.3d 153,  Bernhard v. Harrah's 
          Club  (1976) 16 Cal.3d 313, and  Coulter v. Superior Court  
          (1978) 21 Cal.3d 144 and to reinstate the prior judicial 
          interpretation of Civil Code Section 1714 as it relates to 
          the proximate cause for injuries incurred as a result of 
          furnishing alcoholic beverages to an intoxicated person, 
          namely that the furnishing of alcoholic beverages is not 
          the proximate cause of injuries resulting from 
          intoxication, but rather the consumption of alcoholic 
          beverages is the proximate cause of injuries inflicted upon 
          another by an intoxicated person.  (Civil Code Section 
          1714(b))

          Existing law provides that a social host who furnishes 
          alcoholic beverages to any person is not liable for damages 
          suffered by that person, or for injury to the person or 
          property of, or death of, any third person, resulting from 
          the consumption of those beverages.  (Civil Code Section 
          1714(c)) 

          Existing law provides an exception to the above, allowing 
          liability against a parent, guardian, or another adult who 
          knowingly furnishes alcoholic beverages at his/her 
          residence to a person under 21 years of age.  Existing law 
          provides that the furnishing of the alcoholic beverage may 
          be found to be the proximate cause of resulting injuries or 
          death.  (Civil Code Section 1714(d))

          This bill requires that the adult know, or should have 
          known, that the person served alcohol was under age 21.  

          This bill also specifies that a claim under the statute 
          could be brought by, or on behalf of, the person under 21 
          years of age or an individual who was harmed by that 
          person.

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








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           SUPPORT  :   (Verified  7/7/11)

          Consumer Attorneys of California

           ARGUMENTS IN SUPPORT  :    The author writes that the intent 
          of this bill is to "reduce uncertainty in the 
          implementation of California's new social host act" and 
          notes that this bill:   
          
          1. Clarifies what is meant when the statute says "knowingly 
             furnishes." The proposed standard is that an adult can 
             be found to have knowingly furnished alcohol to persons 
             under 21 years of age by either being shown to actually 
             know the persons being provided the alcohol were under 
             21, or being shown to "should have known" that the 
             persons were under 21 (by facts surrounding the 
             incident).  Thus, in the absence of actual knowledge, 
             the jury will be asked to determine whether the adult 
             nevertheless should have known that the person was a 
             minor (by being a contemporary of their daughter's class 
             in high school, for example.)  This clarifies that 
             purposeful lack of knowledge of the age of the minors is 
             not an automatic shield from liability if the adults 
             should have known they were minors.

          2. Clarifies that the minor himself or herself may bring an 
             action under this subsection for his/her own harm caused 
             by having been furnished alcohol, as well as third 
             parties (those injured by the minor's conduct, for 
             example) being able to bring such suits.

          In support, the Consumer Attorneys of California (CAOC) 
          writes that this bill is intended to clarify the scope of 
          AB 2486, a CAOC-sponsored bill.  CAOC writes:  "Last year, 
          CAOC and MADD co-sponsored AB 2486, designed to be one more 
          important tool in the fight against underage drinking.  
          Shockingly, prior to our bill, there was complete 'social 
          host' immunity in the civil courts in instances where 
          someone, in his or her home, provided alcohol to anyone, 
          including a minor.  Although the social host may be 
          criminally prosecuted, the law was absolute that no one 
          could bring a civil action.  After AB 2486 was signed into 
          law, the Judicial Council committee that develops jury 
          instructions was confused about some of the language, so 







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          CAOC worked with all parties (the defense counsel and 
          others) to clarify its application.  AB 1407 is the result 
          of those discussions and the language has been vetted and 
          agreed to by all interested parties."


          RJG:mw  7/7/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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