BILL ANALYSIS                                                                                                                                                                                                    �



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          ASSEMBLY THIRD READING
          AB 1405 (Judiciary Committee)
          As Introduced March 12, 2013
          Majority vote 

           JUDICIARY           8-0         APPROPRIATIONS      16-0        
           
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          |Ayes:|Wieckowski, Wagner,       |Ayes:|Gatto, Bigelow,           |
          |     |Alejo, Chau, Dickinson,   |     |Bocanegra, Bradford, Ian  |
          |     |Garcia, Muratsuchi, Stone |     |Calderon, Campos,         |
          |     |                          |     |Donnelly, Eggman, Gomez,  |
          |     |                          |     |Hall, Rendon, Linder,     |
          |     |                          |     |Pan, Quirk, Wagner, Weber |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Repeals the Subversive Organization Registration Law  
          (Title 5 of the Corporations Code, commencing with Section  
          35000) in its entirety. 

           EXISTING LAW  , the Subversive Organization Registration Law  
          (SORL):   

          1)Defines "subversive organization" to mean every corporation,  
            association, society, camp, group, bund, political party,  
            assembly, and everybody or organization composed of two or  
            more persons or members, which either:

             a)   Directly or indirectly advocates, advises, teaches, or  
               practices, the duty, necessity, or propriety of  
               controlling, conducting, seizing, or overthrowing the  
               government of the United States, of this state, or of any  
               political subdivision thereof by force or violence.

             b)   Is subject to foreign control, as defined.  

          2)Provides that an organization is "subject to foreign control"  
            if it comes within either of the following descriptions:

             a)   It solicits or accepts financial contributions, loans,  
               or support of any kind directly or indirectly from, or is  
               affiliated directly or indirectly with, a foreign  
               government or a political subdivision thereof, an agent,  








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               agency, or instrumentality of a foreign government or  
               political subdivision thereof, a political party in a  
               foreign country, or an international political  
               organization.

             b)   Its policies, or any of them, are determined by or at  
               the suggestion of, or in collaboration with, a foreign  
               government or political subdivision thereof, an agent,  
               agency, or instrumentality of a foreign government or a  
               political subdivision thereof, a political party in a  
               foreign country, or an international political  
               organization.  

          3)Provides that "subversive organization" does not include any  
            labor union or religious, fraternal, or patriotic  
            organization, society, or association whose objectives and  
            aims do not contemplate the overthrow of the government of the  
            United States, of this state, or of any political subdivision  
            thereof by force or violence.  

          4)Requires every subversive organization within 10 days after  
            its organization to file with the Secretary of State (SOS)  
            specified information and documents, including, among other  
            things, the names and addresses of all its branches, chapters,  
            and affiliates, the times and places of its meetings, and a  
            list of all the property and assets that it owns.

          5)Requires every subversive organization, at least once in each  
            period of six months, to file with the SOS a statement  
            subscribed under oath by all of its officers showing the names  
            and residence addresses of all persons who have been admitted  
            to membership during that period or, if no members have been  
            admitted during that period, a statement to that effect  
            similarly subscribed.  

          6)Provides that any subversive organization which violates any  
            provision of this title is guilty of a felony punishable by  
            fine of not less than $1,000 nor more than $10,000.  

          7)Provides that any person who becomes or remains a member of  
            any subversive organization, or attends a meeting thereof,  
            with knowledge that the organization has failed to comply with  
            any provision of this title, is guilty of a misdemeanor  
            punishable by fine of not less than $20 nor more than $1,000,  








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            or by imprisonment in the county jail for not less than 10  
            days nor more than one year, or by both.  

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, no fiscal impact, as no organizations have ever filed  
          with the SOS since enactment of the SORL in 1947.
          
          COMMENTS  :  This bill seeks to repeal the World War II era  
          Subversive Organization Registration Law (SORL).  The SORL has a  
          number of characteristics that recommend its repeal.  First, the  
          SORL is likely unconstitutional.  Second, given the vagueness of  
          some of its language, the law creates a real potential for abuse  
          against groups that may have unpopular political views.   
          Finally, as over 60 years of experience have demonstrated, the  
          SORL is an outdated, unutilized, and ineffective statute.  

          The constitutionality concerns raised by the SORL are myriad.   
          Among other things, the SORL requires a subversive organization  
          to file with the Secretary of State information identifying the  
          times and places of its meetings, the names of its officers and  
          members, and copies of any literature that it distributes to its  
          members or that its members distribute to others.  It also  
          provides that any person who becomes or remains a member of any  
          subversive organization, or attends a meeting thereof, with  
          knowledge that the organization has failed to register with the  
          Secretary of State or comply with other requirements, is guilty  
          of a misdemeanor punishable by fine or imprisonment.  As  
          succinctly summarized by the American Civil Liberties Union  
          (ACLU) in its letter of support, the SORL certainly appears to  
          be "inconsistent with constitutional protections of free speech,  
          freedom of association, and political affiliations."  

          The only case law involving the SORL that the Assembly Judiciary  
          Committee is aware of is People v. Noble (1945) 68 Cal. App. 2d  
          853.  In 1941, Robert Noble and several other individuals were  
          indicted for violating the SORL.  The defendants were active in  
          a pro-German group called the Friends of Progress that had  
          expressed some sympathy for Nazi Germany and Imperial Japan, but  
          there was not sufficient evidence that they sought to overthrow  
          the government or that they were controlled by, or worked in  
          collaboration with, either of those governments.  Because the  
          convictions were overturned for lack of evidence, the Court of  
          Appeal deemed it unnecessary to decide the constitutional  
          question, but did express "grave doubt" even almost 70 years ago  








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          as to the constitutionality of the SORL. 
           
           Among other problems, the definition of "subversive  
          organization" under the SORL includes either:  1) a group that  
          seeks to overthrow the government; or 2) a group that is  
          "subject to foreign control," which in turn is defined very  
          broadly to mean, not just under the control of a foreign nation,  
          but even following the "suggestion" of any "international  
          political organization."  The use of the disjunctive term  
          "either" suggests that the law would apply to a group following  
          the suggestion of any international organization, even if it was  
          peaceful and did not advocate overthrowing the government.   
          (Corporations Code Section 35002, emphasis added.)  But the SORL  
          also specifies that a "subversive organization" does not include  
          any labor union, religious organization or any other group that  
          "does not contemplate the overthrow of the Government"  
          (Corporations Code Section 35004) - which makes the effect of  
          the "either" in Corporations Code Section 35002 unclear and  
          confusing.

          The unclear application of the SORL to various organizations is  
          especially problematic because the law makes failure to register  
          a felony subject to a fine, and even possible imprisonment for  
          officers of the organization.  The vague language of the statute  
          creates a real potential for abuse because it may permit  
          prosecution or other action to be taken against some  
          organization or group of persons where there might not be any  
          other clear grounds for doing so, merely for the reasonable  
          failure to "register" when potentially required to do so.

          The SORL is an ineffective statute because it is not expected  
          that any group that actually poses a threat to overthrow the  
          government by violence would ever register, or even have any  
          qualms about not registering.  Reportedly, no subversive  
          organizations have actually even filed with the SOS in the past  
          68 years pursuant to the SORL, suggesting that in fact, the  
          statute is both ineffective and ignored, with good reason.  

          In support, the ACLU calls the SORL an "antiquated and  
          unconstitutional" statute that "is an unnecessary remnant of the  
          McCarthy era."  

           
          Analysis Prepared by  :   Anthony Lew / JUD. / (916) 319-2334 








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