BILL NUMBER: AB 1583	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 9, 2012

INTRODUCED BY   Assembly Member Roger Hernández

                        FEBRUARY 2, 2012

   An act to  amend Sections 22750, 22753, and 22755 of, and to
 add Section 21609.7 to  ,  the Business and
Professions Code, relating to  junk dealers.  
bulk merchandise pallets. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1583, as amended, Roger Hernández.  Junk dealers:
indicia of ownership:   Bulk  merchandise pallets.

   Existing 
    (1)     Existing  law authorizes junk
dealers and recyclers, as defined, to sell and purchase junk, which
includes secondhand and used furniture, pallets, or other personal
property, as specified. Existing law requires junk dealers and
recyclers to maintain written records of specified information, and
makes a violation of the recordkeeping requirements a misdemeanor.
   This bill would prohibit junk dealers and recyclers from
purchasing or receiving  bulk  merchandise pallets, as
defined, marked with an indicia of ownership, as defined, from anyone
except the indicated owner, unless specified information is provided
to the junk dealer or recycler, and would require the junk dealer or
recycler to maintain a written record of that information.  The
bill would also require that payment by the junk dealer for 5 or more
bulk merchandise pallets be made by check mailed to the address of
the seller, as specified, or by check or cash on or after the 3rd
business day following the transaction.  
   (2) Existing law defines a merchandise pallet as a wooden or
plastic carrier or container of specified size, used by a
manufacturer or distributor to transport merchandise to retail
outlets, which has a notice permanently affixed to it identifying the
owner of the pallet and providing other specified information.
Existing law prohibits and makes it a crime for an unauthorized
person, as defined, to possess a merchandise pallet or for a person
other than its owner to obliterate the identification notice on a
pallet.  
   This bill would expand these provisions to cover merchandise
pallets marked with indicia of ownership, as defined. The bill would
also prohibit and make it a crime for a person other than the owner
of the pallet to obliterate the indicia of ownership from a
merchandise pallet.  
   (3) Existing law requires any person or entity purchasing plastic
bulk merchandise containers who is in the business of recycling,
shredding, or destruction of plastic bulk merchandise containers, as
defined, to obtain a proof of ownership record and other identifying
information from a person selling 5 or more containers, and to retain
the required record for a specified time. A violation of these
provisions is a misdemeanor.  
   This bill would instead require a person or entity purchasing or
transporting plastic bulk merchandise containers who is in the
business of recycling, shredding, or destruction of plastic bulk
merchandise containers, or is in the business of transporting plastic
bulk merchandise containers for those purposes, to obtain a proof of
ownership record or bill of lading and other identifying information
from the person selling or delivering 5 or more containers, and to
retain the required record for a specified time. The bill would also
require that payment for 5 or more plastic bulk merchandise
containers be made by check mailed to the address of the seller, as
specified, or by check or cash on or after the 3rd business day
following the transaction. 
   Because this bill would expand the scope of a crime  by
expanding the recordkeeping requirements for junk dealers and
recyclers  , the bill would impose a state-mandated local
program. 
   The 
    (4)     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. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


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

  SECTION 1.  Section 21609.7 is added to the Business and
Professions Code, to read:
   21609.7.  (a) Except as provided in subdivision (b), no junk
dealer or recycler may purchase or receive  bulk 
merchandise pallets marked with an indicia of ownership from any
person or entity other than the indicated owner. For purposes of this
section, "indicia of ownership" means words, symbols, or registered
trademarks printed, stamped, etched, attached, or otherwise displayed
on the exterior surface of the merchandise pallet that reasonably
identifies the owner.
   (b) If the seller is not the indicated owner, a junk dealer or
recycler may purchase or receive  bulk  merchandise pallets
only if the seller or transferor provides a receipt from the
indicated owner verifying the seller's current ownership or a
document indicating that the seller or transferor is authorized by
the indicated owner to sell or transfer the merchandise pallets.
Copies of these documents shall be maintained by the junk dealer or
recycler as part of the written record of the transaction. 
   (c) For a single transaction involving five or more bulk
merchandise pallets marked with indicia of ownership, the junk dealer
or recycler shall make payment only by a check mailed to the address
shown on the driver's license or other government-issued photo
identification provided by the seller or by cash or check collected
by the seller on or after the third business day following the date
of the transaction.  
   (c) 
    (d)  For purposes of this section,  "merchandise
  "bulk merchandise  pallets" means plastic or
wood containers, carriers, or holders used by a manufacturer or
distributor for bulk transport of merchandise to wholesale or retail
outlets.
   SEC. 2.   Section 22750 of the   Business
and Professions Code   is amended to read: 
   22750.  For purposes of this chapter:
   (a) "Bakery tray" or "bakery basket" is a plastic or metal
container that holds bread or other baked goods and is used by a
distributor, retailer, or an agent of the distributor or retailer as
a means to transport, store, or carry those products, which has a
notice permanently affixed to it that does all of the following: (1)
identifies the company name of the owner of the item; (2) notifies
the public that the unauthorized possession of the item is a
violation of state law; and (3) lists an address or telephone number
for returning the item to the owner.
   (b) "Merchandise pallet" is a wooden or plastic carrier or
container,  approximately 48 inches by 40 inches with a
four-way forklift entry,  used by a manufacturer or
distributor  to   for bulk  transport 
of  merchandise to  wholesale or  retail outlets
 , which has a notice permanently affixed to it that does all
of the following: (1) identifies the company name of the owner of
the pallet; (2) notifies the public that the unauthorized possession
of the pallet is a violation of state law; and (3) lists a telephone
number or address for returning the pallet to the owner 
 marked with an indicia of ownership. For purposes of this
chapter, "indicia of ownership" means words, symbols, or registered
trademarks printed, stamped, etched, attached, or otherwise displayed
on the exterior surface of the merchandise pallet that reasonably
identify th   e owner  .
   SEC. 3.    Section 22753 of the   Business
and Professions Code   is amended to read: 
   22753.  The following acts are punishable as provided in
subdivision (b) of Section 489 or in Section 490 of the Penal Code as
to any bakery tray, bakery basket, or merchandise pallet described
in Section 22750:
   (a) Possession of a bakery tray, bakery basket, or merchandise
pallet by an unauthorized person.
   (b) Obliteration of the company owner's name on the bakery
 tray,   tray or  bakery basket, or 
obliteration of the   indicia of ownership on a 
merchandise pallet, except by the owner.
   SEC. 4.    Section 22755 of the   Business
and Professions Code   is amended to read: 
   22755.  (a) For purposes of this section, a plastic bulk
merchandise container means a plastic crate or shell used by a
product producer, distributor, or retailer, or an agent of the
product producer, distributor, or retailer as a means for the bulk
transportation, storage, or carrying of retail containers of milk,
eggs, or bottled beverage products.
   (b) Any person or entity purchasing  or transporting 
plastic bulk merchandise containers, who is in the business of
recycling, shredding, or destruction of  , or in the business of
transporting for   the purpose of recycling, shredding, or
destruction of,  plastic bulk merchandise containers, shall
obtain a proof of ownership record  or bill of lading  from
a person selling  or delivering  five or more plastic bulk
merchandise containers that shows that the person selling  or
delivering  the containers has lawful possession or ownership of
the containers, and shall also verify the seller's identity by a
driver's license or other government-issued photo identification. The
proof of ownership record shall include all of the following
information:
   (1) The name, address, telephone number, and signature of the
seller or the seller's authorized representative.
   (2) The name and address of the buyer or consignee if not sold.
   (3) A description of the product including number of units.
   (4) The date of transaction. 
   (c) For a single transaction involving five or more plastic bulk
merchandise containers, the purchaser shall make payment only by a
check mailed to the address shown on the driver's license or other
government-issued photo identification provided by the seller or by
cash or check collected by the seller on or after the third business
day following the date of the transaction.  
   (c) 
    (d)  The information required to be collected by this
section shall be kept for one year from the date of purchase or
delivery, whichever is later. 
   (d) 
    (e)  Any person who violates the provisions of this
section is guilty of a misdemeanor.
   SEC. 2.   SEC. 5.   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.