BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                AB 2747
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        CONCURRENCE IN SENATE AMENDMENTS
        AB 2747 (Judiciary Committee)
        As Amended August 19, 2014
        Majority vote 
         
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        |ASSEMBLY:  |53-19|(May 23, 2014)  |SENATE: |23-12|(August 25,    |
        |           |     |                |        |     |2014)          |
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         Original Committee Reference:    JUD.  

         SUMMARY  :  Makes various changes to the California codes as part of  
        the Judiciary Committee's civil omnibus bill.  Specifically,  this  
        bill  , among other things:   

        1)Restores a civil penalty for a willful violation of notary public  
          standards of conduct that as the result of a drafting error was  
          inadvertently repealed.

        2)Updates the Evidence Code to reflect the addition of two types of  
          evidentiary privilege that had inadvertently been omitted from the  
          list of all relationship-based privileged communications, and  
          corrects incorrect cross-references.

        3)Removes specific references to domestic partners in the Probate  
          Code that became obsolete when spouses and domestic partners were  
          guaranteed the same rights and responsibilities under California  
          law.

        4)Makes technical and conforming changes to statutory provisions and  
          statutory forms regarding claim of right to possession and  
          prejudgment claim of right to possession.

        5)Corrects a drafting error in SB 120 (Lowenthal), Chapter 560,  
          Statutes of 2009, that was intended to cover all utility providers  
          but inadvertently failed to extend those provisions to one type of  
          special utility district.

        6)Extends, for an additional five years, the sunset date for  
          provisions requiring a car rental company to be the agent for  
          service of process for claims against insured persons who reside  
          outside of the United States.

        7)Repeals the requirement that a confidential marriage license may  








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          be used only in the county in which it was issued.

        8)Exempts a probate referee from paying a filing fee for a request  
          for special notice when acting in his or her official capacity.

        9)Removes obsolete provisions regarding personal bonds.

        10)Deletes inappropriately broad reporting requirements  
          inadvertently assigned to the Judicial Council pursuant to the  
          study established by AB 900 (Buchanan), Chapter 354, Statutes of  
          2011, and instead limits the scope of the report to the effects of  
          AB 900 on the administration of justice.

        11)Clarifies that residential leases having a security deposit  
          provision are not by virtue of that fact barred from being signed  
          electronically by the parties, if they so wish, under the Uniform  
          Electronic Transactions Act (UETA).

        12)Adds bicycle motocross to the list of hazardous recreational  
          activities under Government Code Section 831.7.

        13)Clarifies that the court's decision to grant a fee waiver in a  
          case involving a conservatorship or guardianship should be based  
          on the financial resources of the proposed conservatee or ward.

        14)Makes other technical corrections and clarifying changes.

         The Senate amendments  :  

        1)Clarify that nothing in the case of Serrano v. Stefan Merli  
          Plastering Co., Inc. (2008) 162 Cal.App.4th 1014 shall be  
          construed to alter the standards by which a court acquires  
          personal jurisdiction over a nonparty to an action.

        2)Delete from this bill certain provisions relating to community  
          property and service of notice to appear at trial.

        3)Correct drafting errors within the prejudgment claim of right form  
          prescribed by Code of Civil Procedure Section 415.46, and make  
          other technical corrections.

        4)Insert appropriate cross-references in existing Probate Code  
          provisions of the bill related to fee waivers for certain  
          guardianship and conservatorship investigations.









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        5)Insert double-jointing language to avoid chaptering-out conflict  
          with another bill.

         FISCAL EFFECT  :  According to the Senate Appropriations Committee,  
        pursuant to Senate Rule 28.8, negligible state costs.

         COMMENTS  :  This bill is the Assembly Judiciary Committee's omnibus  
        civil law bill.  It incorporates over a dozen different proposals  
        submitted by various groups seeking to make technical, clarifying,  
        or other modest changes to civil law.  In order to be included in  
        this bill, each provision must be not so substantive as to be more  
        appropriate for a stand-alone bill.  The purpose of the omnibus bill  
        is to increase the efficiency of the legislative process, conserve  
        legislative resources, and eliminate the need to unnecessarily hear  
        a number of stand-alone bills that might otherwise have to be  
        introduced and heard separately through the legislative process.   
        Several of the individual proposals are briefly discussed below.

        AB 2610 (Skinner), Chapter 562, Statutes of 2012, gives occupants in  
        foreclosed properties the right to file the Prejudgment Claim of  
        Right to Possession form (CP 10.5) at any time before judgment.   
        However, there was an unfortunate but significant legislative  
        oversight in that this bill failed to update the forms themselves to  
        reflect the underlying changes in the law.  As a result, the  
        existing statutory forms continue to provide outdated and incorrect  
        information about the rights and procedural requirements that apply  
        to the people who are served with these forms under the new law  
        enacted by AB 2610.  Because the forms are statutory, rather than  
        created by the Judicial Council, legislation is needed to update the  
        content of the forms. 

        This bill amends the Code of Civil Procedure (CCP) Sections 415.46  
        and 1174.3 to update two statutory forms known as the Prejudgment  
        Claim of Right to Possession (CP 10.5), and the Claim of Right to  
        Possession (CP 10).  The updates are necessary to conform the  
        statutory forms, which are often served upon occupants in foreclosed  
        properties, with the changes in the underlying law that were made  
        when AB 2610 was chaptered in 2012.  Additionally, CCP Section  
        1174.25 is amended to provide an additional cross-reference to the  
        change in the law.

        Public Resources Code Section 21189.2 currently requires the  
        Judicial Council to conduct a study and report to the Legislature,  
        on or before January 1, 2015, on the effects of [the bill], which  
        shall include, but not be limited to, a description of the benefits,  








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        costs, and detriments of the certification of leadership projects  
        pursuant to this chapter.  (emphasis added.)  According to the  
        Judicial Council, this study language was inadvertently written too  
        broadly, and deals with issues that are outside the Judicial  
        Council's expertise and areas of experience.  This bill clarifies  
        and appropriately narrows the focus of the study to the impacts of  
        the act on the administration of justice, as well as extending the  
        deadline of the study to coincide with the new deadlines in the act  
        that were recently extended by SB 743 (Steinberg), Chapter 386,  
        Statutes of 2013.

        SB 495 (Fuller), Chapter 305, Statutes of 2011, increased the  
        waiting period to retain unclaimed property (safe deposit box  
        contents) of no apparent commercial value from 18 months to 'not  
        less than seven years.'  That bill also specified changes to the  
        language in CCP Section 1565, but did not include CCP Section 1501.5  
        which also referenced the retention time period.  According to the  
        State Controller's Office, this was an oversight; accordingly, this  
        bill updates CCP Section 1501.5 to reflect the correct time of  
        retention and to be consistent with CCP Section 1565.

        This bill amends Civil Code Section 1942.2, and Government Code  
        Section 60371 to correct an oversight stemming from the enactment of  
        SB 120.  SB 120 changed the law regarding the notice that utility  
        districts must provide to tenants when the utilities are shutoff,  
        but through a legislative oversight, one type of utility district  
        was omitted  from the scope of the bill - the type of special  
        district governed by Government Code Section 60371.  Without this  
        proposal, all utility districts are subject to one rule (articulated  
        by SB 120), while a different rule (the pre-SB 120 rule) applies  
        only to Government Code Section 60371-specific special districts.   
        There is no public policy justification for continuing this  
        discrepancy that was created by legislative oversight.

        This bill also restores consistency to the set of Evidence Code  
        Sections on evidentiary privilege and specifically privileged  
        communications by adding two types of evidentiary privilege to  
        Evidence Code Section 917 that are included throughout relevant  
        neighboring sections, but were inadvertently omitted from Evidence  
        Code Section 917 due to drafting error.  

        This bill also corrects a drafting error in AB 886 (Runner), Chapter  
        399, Statutes of 2007, that unintentionally removed a civil penalty  
        for a willful violation of notary public standards of conduct.  The  
        statute previously provided for penalties of both willful and  








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        negligent conduct, but AB 886 neglected to retain the willful  
        penalties when recasting the code sections.  According to the  
        Secretary of State, the drafting error has had the effect of tying  
        the hands of Administrative Law Judges who now only have the option  
        to classify these violations as negligent, which carries a lesser  
        penalty.  As a result, some judges choose to assess no penalty  
        rather than downgrade a willful violation to the lower status of a  
        negligent act.  This bill reinstates the prior $1,500 civil penalty  
        for willful violation of Government Code Section 8214.1 (d).
         

        Analysis Prepared by  :    Anthony Lew / JUD. / (916) 319-2334FN:  
        0005104