BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



           ----------------------------------------------------------------- 
          |SENATE RULES COMMITTEE            |                        SB 245|
          |Office of Senate Floor Analyses   |                              |
          |1020 N Street, Suite 524          |                              |
          |(916) 651-1520         Fax: (916) |                              |
          |327-4478                          |                              |
           ----------------------------------------------------------------- 
           
                                           
                                    THIRD READING


          Bill No:  SB 245
          Author:   Correa (D) et al.
          Amended:  1/22/14
          Vote:     21

           
           SENATE JUDICIARY COMMITTEE  :  6-0, 1/14/14
          AYES:  Evans, Corbett, Jackson, Leno, Monning, Vidak
          NO VOTE RECORDED:  Anderson


           SUBJECT  :    Contracts

           SOURCE  :     Author


           DIGEST  :    This bill revises information contained in existing  
          findings and declarations of the Legislature relating to the  
          languages most widely spoken in households with limited English  
          proficiency and the percentage of Californians who speak a  
          language other than English in their homes, based upon more  
          recent data.

           ANALYSIS  :    

          Existing law:

          1. Requires any person engaged in a trade or business who  
             negotiates primarily in Spanish, Chinese, Tagalog,  
             Vietnamese, or Korean, orally or in writing, in the course of  
             entering into specified contracts, to deliver to the other  
             party to the contract or agreement and prior to the execution  
             thereof, a translation of the contract or agreement in the  
                                                                CONTINUED





                                                                     SB 245
                                                                     Page  
          2

             language in which the contract or agreement was negotiated,  
             which includes a translation of every term and condition in  
             that contract or agreement.  

          2. Finds and declares that, according to the United States  
             Census of 2000, of the more than 12 million Californians who  
             speak a language other than English in the home,  
             approximately 4.3 million speak an Asian dialect or another  
             language other than Spanish.  Existing law further finds and  
             declares that the top five languages other than English most  
             widely spoken by Californians in their homes are Spanish,  
             Chinese, Tagalog, Vietnamese, and Korean.  Together, these  
             languages are spoken by approximately 83% of all Californians  
             who speak a language other than English in their homes. 

          This bill:

          1. Strikes the above finding and states that according to data  
             from the American Community Survey, which has replaced the  
             decennial census for detailed socioeconomic information about  
             United States residents, approximately 15.2 million  
             Californians speak a language other than English at home,  
             based on data from combined years 2009 through 2011.

          2. Further declares that this compares to approximately 19.6  
             million people, who speak only English at home.  Among the  
             Californians who speak a language other than English at home,  
             approximately 8.4 million speak English very well, and  
             another 3.0 million speak English well.  The remaining 3.8  
             million Californians surveyed do not speak English well or do  
             not speak English at all.  Among this group, the five  
             languages other than English that are most widely spoken at  
             home are Spanish, Chinese, Filipino/Tagalog, Vietnamese, and  
             Korean.  

           Background
           
          Under existing law, any person who negotiates certain types of  
          contracts in Spanish, Chinese, Tagalog, Vietnamese, or Korean is  
          required to provide the other party with a translated version of  
          the contract the language in which it was negotiated.  That  
          requirement was first enacted by the Legislature in 1976 to  
          increase consumer information and protections for the state's  
          sizeable and growing Spanish-speaking population.  Those  

                                                                CONTINUED





                                                                     SB 245
                                                                     Page  
          3

          protections were later expanded to also apply to contracts  
          primarily negotiated in Chinese, Tagalog, Vietnamese, or Korean.  
           In expanding the translation requirements to cover those  
          languages, the Legislature codified a finding that the five  
          specified languages reflect those most widely spoken by  
          Californians in their homes based upon data from the United  
          States Census of 2000.

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


           ARGUMENTS IN SUPPORT  :    According to the author, "Civil Code  
          Section 1632 lists five foreign languages into which a variety  
          of different financial contracts and other financial documents  
          must be translated.  Civil Code Section 1632 and the myriad  
          other code sections that refer back to it are intended to help  
          Californians with limited English proficiency better understand  
          key financial contracts into which they enter and other  
          important consumer protection documents they receive.  The code  
          section was first enacted in 1976.  The languages referenced in  
          the section have been periodically updated since that time, to  
          reflect California's changing demographics.  However, the code  
          section has not been updated to reflect census data more recent  
          than the year 2000."


          AL:d  1/22/14   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  NONE RECEIVED

                                   ****  END  ****













                                                                CONTINUED