BILL NUMBER: AB 1159	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 12, 2013
	AMENDED IN SENATE  JULY 10, 2013

INTRODUCED BY   Assembly Member Gonzalez
   (Principal coauthor: Senator De León)

                        FEBRUARY 22, 2013

   An act to amend Sections 22442 and 22443.1 of, to add Sections
22442.15 and 22442.20 to, and to add Article 16 (commencing with
Section 6240) to Chapter 4 of Division 3 of, the Business and
Professions Code, relating to immigration  services.
  services, and declaring the urgency thereof, to take
effect immediately. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1159, as amended, Gonzalez.  Immigration services.
   Existing law, the State Bar Act, provides for the licensure and
regulation of attorneys by the State Bar of California, a public
corporation.
   This bill would require attorneys providing immigration reform act
services, as defined, to register with the State Bar, as specified.
The bill would require these attorneys to provide a client with a
written contract containing specified information, including an
itemized list, with costs, of each service to be performed; to
provide to the client a statement of accounting for the services
rendered and payments made every 2 months; and to deliver to the
client a copy of each document or form completed on behalf of the
client. The bill would require these attorneys to comply with certain
requirements relating to document retention and the return of
original documents to clients and to file with the State Bar a bond
of $100,000 in accordance with specified provisions. The bill would
require these attorneys to deposit in a client trust account any
funds received from the client prior to performing those services for
that client, and would impose certain requirements relating to the
expenditure of funds from this trust account. The bill would
authorize the State Bar to charge these attorneys certain fees for
the reasonable regulatory costs of administering and enforcing these
provisions and would require the State Bar to adopt rules and
regulations for purposes of implementing these provisions.
   Existing law provides for the regulation of a person engaged in
the business or acting in the capacity of an immigration consultant,
and provides that a violation of these provisions is a crime.
Existing law requires an immigration consultant to provide a client
with a written contract containing specified information prior to
providing services. Existing law requires an immigration consultant
to file a bond of $50,000 with the Secretary of State in accordance
with specified provisions of law.
   This bill would increase the amount of this bond to $100,000. The
bill would require that the written contract contain additional
information relating to an explanation of the purpose of each service
to be performed. The bill would require an immigration consultant to
establish a client trust account and to deposit in this account any
funds received from the client prior to performing immigration reform
act services, as defined, for that client, and would impose certain
requirements relating to the expenditure of funds from this trust
account.
   The bill would prohibit an attorney or an immigration consultant
from demanding or accepting the advance payment of any funds from a
person before the enactment of a specified federal act, and would
require any funds received after January 1, 2014, but before the
enactment of the federal act, to be refunded to the client.
   Because a violation of these provisions by an immigration
consultant would be a crime, this bill would impose a state-mandated
local program.
   This bill would provide that certain of its provisions would
become operative only upon the enactment of a specified federal act
relating to immigration reform.
   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. 
   This bill would declare that it is to take effect immediately as
an urgency statute. 
   Vote:  majority   2/3  . Appropriation:
no. Fiscal committee: yes. State-mandated local program: yes.


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

  SECTION 1.  Article 16 (commencing with Section 6240) is added to
Chapter 4 of Division 3 of the Business and Professions Code, to
read:

      Article 16.  Attorneys Providing Immigration Reform Act
Services


   6240.  (a) An attorney who provides immigration reform act
services, and who meets the criteria described in subdivision (c),
shall register with the State Bar as an attorney who provides
immigration reform act services, and shall demonstrate compliance
with this article, as may be required by the rules and regulations of
the State Bar.
   (b) For purposes of this article, the following definitions apply:

   (1) "Immigration reform act" means the federal act known as the
"Border Security, Economic Opportunity, and Immigration Modernization
Act" (S. 744, 2013).
   (2) "Immigration reform act services" means consultation or
representation services related to immigration and citizenship
status, benefits, or relief under the immigration reform act.
   (c) Except as provided in subdivision (d), this article shall
apply to the following:
   (1) An attorney who is a member of the State Bar who provides
immigration reform act services.
   (2) An attorney who is not a member of the State Bar, but who
meets both of the following:
   (A) The attorney is authorized to practice law or authorized by
federal law to represent persons before the Board of Immigration
Appeals or the United States Citizenship and Immigration Services.
   (B) The attorney is providing immigration reform act services in
an office or business in California.
   (d) This article does not apply to an attorney providing
immigration reform act services who is either of the following:
   (1) An employee of a qualified free legal service provider, that
is on the current list maintained by the Office of the Chief
Immigration Judge of the Executive Office for Immigration Review and
that meets the qualifications under Section 1003.61 of Title 8 of the
Code of Federal Regulations.
   (2) An employee of a nonprofit, tax-exempt corporation who helps
clients complete application forms in immigration matters free of
charge, or for a fee, including reasonable costs, consistent with
that authorized by the Board of Immigration Appeals under Section
292.2 of Title 8 of the Code of Federal Regulations.
   6241.  (a) An attorney providing immigration reform act services
shall, prior to providing these services, provide the client with a
written contract in a form approved by the State Bar. The written
contract shall include, but is not limited to, all of the following
provisions:
   (1) An itemized list specifying each service to be performed, with
an explanation of the purpose and process of each service.
   (2) The cost of each itemized service described in paragraph (1).
   (3) An itemized list of the documents to be prepared by the
attorney, with an explanation of the purpose and process of each
document.
   (4) The cost of preparation of each itemized document described in
paragraph (3).
   (5) A statement of the purpose for which the attorney has been
hired and the actions to be taken by the attorney regarding each
document described in paragraph (3), including the agency and office
where each document will be filed and the approximate processing
times according to applicable published agency guidelines.
   (6) A statement informing the client that he or she may report
complaints to the Office of Immigrant Assistance of the Department of
Justice and to the State Bar of California. This statement shall
include the toll-free telephone numbers and Internet Web sites of
those entities.
   (b) An attorney providing immigration reform act services shall
not, in writing or orally, make either of the following statements:
   (1) A guarantee or promise regarding the results of the services.
   (2) A statement that the attorney can or will obtain special
favors from, or has special influence with, the United States
Citizenship and Immigration Services or any other governmental
agency, employee, or official that may have a bearing on a client's
immigration matter.
   (c) The provisions of the written contract shall be stated in
English and in the client's native language. A written contract is
void if it is not written pursuant to this subdivision.
   (d) The client shall have the right to rescind the contract within
72 hours of signing the contract. The written contract shall
conspicuously state this right in both English and the client's
native language.
   6242.  A statement of accounting for the immigration reform act
services rendered and payments made shall be provided to the client
every two months, shall be typed or computer generated on the
attorney's letterhead, and shall display the itemized charges and
total charges for services and the client's payments offsetting those
charges. The attorney shall provide the client a written translation
of the statement in the client's native language, if applicable.
   6243.  An attorney providing immigration reform act services shall
do all of the following:
   (a) Deliver to the client a copy of each document or form
completed on behalf of the client. Each document and form delivered
shall include the name and address of the attorney who prepared the
document or form.
   (b) Retain copies of all documents and forms of a client for not
less than three years from the date of the last service to the
client.
   (c) Return to a client all original documents that the client has
provided to the attorney in support of the client's application,
including, but not limited to, original birth certificates, rental
agreements, utility bills, employment stubs, Department of Motor
Vehicle licenses with dates of entry, and passports. An original
document that does not need to be submitted to immigration
authorities as an original document shall be returned by the attorney
immediately after making a copy or reproduction thereof.
   6244.  (a) (1) Prior to providing immigration reform act services,
an attorney shall file with the State Bar a bond of one hundred
thousand dollars ($100,000) executed by a corporate surety admitted
to do business in this state and conditioned upon compliance with
this article. The total aggregate liability on the bond shall be
limited to one hundred thousand dollars ($100,000).
   (2) The bond may be terminated pursuant to Section 995.440 of, and
Article 13 (commencing with Section 996.310) of Chapter 2 of Title
14 of Part 2 of, the Code of Civil Procedure.
   (b) The bond required by this section shall be in favor of, and
payable to, the State Bar of California and shall be for the benefit
of any person damaged by any fraud, misstatement, misrepresentation,
unlawful act or omission, or failure to provide the immigration
reform act services of the attorney or the agents, representatives,
or employees of the attorney, while acting within the scope of that
employment or agency.
   (c) An attorney shall notify the State Bar's office in writing
within 30 days when the surety bond required by this section is
renewed, and of any change of name, address, telephone number, or
agent for service of process.
   (d) The State Bar shall post information on its Internet Web site
demonstrating that an attorney is registered to provide immigration
reform act services and is in compliance with the requirements of
this section. The State Bar shall update the information at least
every 30 days. The State Bar shall remove this information if the
attorney is out of compliance with the requirements of this section.
   (e) The State Bar shall adopt rules and regulations specifying the
process by which a person may make a claim to recover damages from
the bond.
   6245.  (a) An attorney who provides immigration reform act
services shall deposit in a client trust account any funds received
from the client prior to performing those services for that client.
   (b) The attorney providing the immigration reform act services for
the client may withdraw funds received from that client only in
compliance with either of the following:
   (1) After completing one or more of the itemized services
described in paragraph (1) of subdivision (a) of Section 6241, and
only in the amount identified as the cost of that service or those
services pursuant to paragraph (2) of subdivision (a) of Section
6241.
   (2) After completing one or more of the itemized documents
described in paragraph (3) of subdivision (a) of Section 6241, and
only in the amount identified as the cost of the preparation of that
document or those documents pursuant to paragraph (4) of subdivision
(a) of Section 6241.
   6246.  (a) It is unlawful for an attorney to demand or accept the
advance payment of any funds from a person for immigration reform act
services before the enactment of the immigration reform act.
   (b) Any funds received after January 1, 2014, but before the
enactment of the immigration reform act, shall be refunded to the
client.
   (c) This section shall become operative on January 1, 2014.
   6247.  The State Bar may charge and collect registration, renewal,
and filing fees from attorneys providing immigration reform act
services for the reasonable regulatory costs of administering and
enforcing this article.
   6248.  (a) The State Bar shall adopt rules and regulations for
purposes of implementing and enforcing this article.
   (b) Except as provided in Section 6246, this article shall become
operative only upon the enactment of the immigration reform act.
  SEC. 2.  Section 22442 of the Business and Professions Code is
amended to read:
   22442.  (a) Every person engaged in the business, or acting in the
capacity of, an immigration consultant who enters into a contract or
agreement with a client to provide services shall, prior to
providing any services, provide the client with a written contract,
the contents of which shall be prescribed by the Department of
Consumer Affairs in regulations.
   (b) The written contract shall include all provisions relating to
the following:
   (1) The services to be performed. Each service to be performed
shall be itemized with an explanation of the purpose and process of
each service.
   (2) The cost of each itemized service to be performed.
   (3) There shall be printed on the face of the contract in 10-point
boldface type a statement that the immigration consultant is not an
attorney and may not perform the legal services that an attorney
performs.
   (4) The written contract shall list the documents to be prepared
by the immigration consultant, shall explain the purpose and process
of each document, and shall list the cost for preparing each
document.
   (5) The written contract shall state the purpose for which the
immigration consultant has been hired and the actions to be taken by
the immigration consultant regarding each document, including the
agency and office where each document will be filed and the
approximate processing times according to current published agency
guidelines.
   (6) The written contract shall include a provision that informs
the client that he or she may report complaints relating to
immigration consultants to the Office of Immigrant Assistance of the
Department of Justice. The written contract shall also include a
provision stating that complaints concerning the unauthorized
practice of law may be reported to the State Bar of California. These
required provisions shall include the toll-free telephone numbers
and Internet Web sites of those entities.
   (c) An immigration consultant shall not include provisions in the
written contract relating to either of the following:
   (1) Any guarantee or promise, unless the immigration consultant
has some basis in fact for making the guarantee or promise.
   (2) Any statement that the immigration consultant can or will
obtain special favors from or has special influence with the United
States Citizenship and Immigration Services, or any other
governmental agency, employee, or official, that may have a bearing
on a client's immigration matter.
   (d) The provisions of the written contract shall be stated both in
English and in the client's native language.
   (e) A written contract is void if it is not written pursuant to
subdivision (d).
   (f) The client shall have the right to rescind the contract within
72 hours of signing the contract. The contents of this subdivision
shall be conspicuously set forth in the written contract in both
English and the client's native language.
   (g) An immigration consultant shall not make the statements
described in subdivision (c) orally to a client.
   (h) This section does not apply to employees of nonprofit,
tax-exempt corporations who help clients complete application forms
in an immigration matter free of charge or for a fee, including
reasonable costs, consistent with that authorized by the Board of
Immigration Appeals under Section 292.2 of Title 8 of the Code of
Federal Regulations.
  SEC. 3.  Section 22442.15 is added to the Business and Professions
Code, to read:
   22442.15.  (a) An immigration consultant who provides immigration
reform act services shall establish and deposit into a client trust
account any funds received from a client prior to performing those
services for that client.
   (b) For purposes of this section, the following definitions apply:

   (1) "Immigration reform act" means the federal act known as the
"Border Security, Economic Opportunity, and Immigration Modernization
Act"  (S.744,   (S. 744,  2013).
   (2) "Immigration reform act services" means consultation or
representation services related to immigration and citizenship
status, benefits, or relief under the immigration reform act.
   (c) The immigration consultant providing immigration reform act
services for the client may withdraw funds received from that client
only in compliance with either of the following:
   (1) After completing one or more of the itemized services
described in paragraph (1) of subdivision (b) of Section 22442, and
only in the amount identified as the cost of that service or those
services pursuant to paragraph (2) of subdivision (b) of Section
22442.
   (2) After completing one or more of the documents listed, and only
in the amounts listed, pursuant to paragraph (4) of subdivision (b)
of Section 22442.
   (d) This section shall become operative only upon the enactment of
the immigration reform act.
  SEC. 4.  Section 22442.20 is added to the Business and Professions
Code, to read:
   22442.20.  (a) It is unlawful for an immigration consultant to
demand or accept the advance payment of any funds from a person for
immigration reform act services before the enactment of the
immigration reform act, as defined in subdivision (b) of Section
22442.15.
   (b) Any funds received after January 1, 2014, but before the
enactment of the immigration reform act, as defined in subdivision
(b) of Section 22442.15, shall be refunded to the client.
  SEC. 5.  Section 22443.1 of the Business and Professions Code is
amended to read:
   22443.1.  (a) (1) Prior to engaging in the business, or acting in
the capacity, of an immigration consultant, each person shall file
with the Secretary of State a bond of one hundred thousand dollars
($100,000) executed by a corporate surety admitted to do business in
this state and conditioned upon compliance with this chapter. The
total aggregate liability on the bond shall be limited to one hundred
thousand dollars ($100,000).
   (2) The bond may be terminated pursuant to Section 995.440 of, and
Article 13 (commencing with Section 996.310) of Chapter 2 of Title
14 of Part 2 of, the Code of Civil Procedure.
   (b) The bond required by this section shall be in favor of, and
payable to, the people of the State of California and shall be for
the benefit of any person damaged by any fraud, misstatement,
misrepresentation, unlawful act or omission, or failure to provide
the services of the immigration consultant or the agents,
representatives, or employees of the immigration consultant, while
acting within the scope of that employment or agency.
   (c) An immigration consultant who is required to file a surety
bond with the Secretary of State shall also file a disclosure form
with the Secretary of State that contains all of the following
information:
   (1) The immigration consultant's name, date of birth, residence
address, business address, residence telephone number, and business
telephone number.
   (2) The name and address of the immigration consultant's agent for
service of process if one is required to be or has been appointed.
   (3) Whether the immigration consultant has ever been convicted of
a violation of this chapter or of Section 6126.
   (4) Whether the immigration consultant has ever been arrested or
convicted of a crime.
   (5) If applicable, the name, business address, business telephone
number, and agent for service of process of the corporation or
partnership employing the immigration consultant.
   (d) An immigration consultant shall notify the Secretary of State'
s office in writing within 30 days when the surety bond required by
this section is renewed, and of any change of name, address,
telephone number, or agent for service of process.
   (e) The Secretary of State shall post information on its Internet
Web site demonstrating that an immigration consultant is in
compliance with the bond required by this section and has
satisfactorily passed the background check required under Section
22441.1, and shall also post a copy of the immigration consultant's
photograph. The Secretary of State shall ensure that the information
is current and shall update the information at least every 30 days.
The Secretary of State shall only post this information and
photograph on its Internet Web site if the person has filed and
maintained the bond, filed the disclosure form and photograph
required to be filed with the Secretary of State, and passed the
background check required by Section 22441.1.
   (f) The Secretary of State shall develop the disclosure form
required to file a bond under this section and make it available to
any immigration consultant filing a bond pursuant to this section.
   (g) An immigration consultant shall submit all of the following
with the disclosure form:
   (1) A copy of valid and current photo identification to determine
the immigration consultant's identity, such as a California driver's
license or identification card, passport, or other identification
acceptable to the Secretary of State.
   (2) A photograph of himself or herself with the dimensions and in
the style that would be acceptable to the U.S. Department of State
for obtaining a United States passport, as instructed by the
Secretary of State. An immigration consultant bonded on or before
December 31, 2006, shall submit the photograph on or before July 1,
2007.
   (h) The Secretary of State shall charge and collect a filing fee
to cover the cost of filing the bond.
   (i) The Secretary of State shall enforce the provisions of this
chapter that govern the filing and maintenance of bonds.
   (j) This section does not apply to employees of nonprofit,
tax-exempt corporations who help clients complete application forms
in an immigration matter free of charge or for a fee, including
reasonable costs, consistent with that authorized by the Board of
Immigration Appeals under Section 292.2 of Title 8 of the Code of
Federal Regulations.
  SEC. 6.  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.
   SEC. 7.    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:
 
   In order to implement measures as quickly as possible and as
necessary to prevent fraud on immigrants by attorneys and other
persons by making promises of benefits and relief under pending and
proposed federal immigration reform acts before their enactment, it
is necessary that this act take effect immediately.