Amended in Senate August 17, 2015

Amended in Senate July 6, 2015

Amended in Assembly April 30, 2015

Amended in Assembly April 15, 2015

Amended in Assembly March 26, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 675


Introduced by Assembly Member Alejo

February 25, 2015


An act to amend Section 1936.05 of, to amend and repeal Section 1936 of, and to repeal Sections 1936.01 and 1936.015 of, the Civil Code, relating to rental vehicles.

LEGISLATIVE COUNSEL’S DIGEST

AB 675, as amended, Alejo. Rental vehicles:begin delete disclosures: obligations.end deletebegin insert advertising and quotes: charges.end insert

begin delete

(1) Existing law governs contracts between rental car companies and their customers in connection with the rental of a passenger vehicle and requires a rental company to only advertise a rental rate that includes the entire amount except taxes, and any applicable customer facility charge or mileage charge that a renter must pay to hire or lease the vehicle for the period of time to which the rental rate applies. Existing law prohibits a rental company from charging any fee that is required to be paid by the renter as a condition of hiring or leasing the vehicle, other than the rental rate, taxes, or any applicable customer facility charge, airport concession fee, tourism commission assessment, or mileage charge.

end delete
begin delete

This bill would repeal that advertisement requirement and modify the prohibition against charging any other fees.

end delete
begin delete

(2)

end delete

begin insert(1)end insert Existing lawbegin delete authorizes, when providing a quote, or imposing charges for a rental, a rental company to separately state the rental rate, taxes, and any applicable customer facility charge, airport concession fee, tourism commission assessment, mileage charge that a renter must pay to hire or lease the vehicle for the period of time to which the rental rate applies.end deletebegin insert governs the contracts between a rental car company and its customer and defines terms for its purposes. Existing law governs how a rental car company is authorized to advertise its rates and provide quotes. Existing law limits how a rental car company is authorized to charge a customer based on those advertisements and quotes and further limits how a rental car company may separately charge specific types of rates.end insert

This bill would revise and recastbegin delete that lawend deletebegin insert these provisionsend insert to providebegin delete that a rental company is authorized to separately state any additional mandatory charges, as defined. This bill would further define the term vehicle license recovery fee to mean the amount ofend deletebegin insert how a rental car company is authorized to provide a quote and charge a customer based on that quote, including, among other provisions, requirements for imposing additional mandatory charges. The bill would further revise and recast these provisions to provide how a rental car company is authorized to advertise its rates, including, among other provisions, a requirement that an advertisement include a specific disclaimer that additional mandatory charges may be imposed. The bill would define new terms for these purposes, including, among others terms,end insert vehicle licensebegin delete fee andend deletebegin insert fee,end insert vehicle registration fee,begin delete as those terms are defined, paid by the rental company for the particular class of vehicle being rented.end deletebegin insert vehicle license recovery fee, and additional mandatory charges. The bill would make conforming changes to related provisions.end insert

begin delete

(3) Existing law requires a rental company, if customer facility charges, airport concession fees, or tourism commission assessments are imposed, to take specified actions, including, when a quote is given, providing the person receiving the quote with a good faith estimate of the rental rate, taxes, customer facility charge, if any, airport concession fee, if any, and tourism commission assessment, if any, as well as the total charges for the entire rental.

end delete
begin delete

This bill would require a rental company to take those specified actions when any additional mandatory charge is imposed.

end delete
begin delete

(4) Existing law requires, when a rental rate is stated in an advertisement, in connection with a car rental at an airport where a customer facility charge is imposed, the rental company to clearly disclose the existence and amount of the customer facility charge, as specified. Existing law requires, if any person or entity other than a rental car company, advertises a rental rate for a car rental at an airport where a customer facility charge is imposed, that person or entity to clearly disclose the existence and amount of the charge, as specified.

end delete
begin delete

This bill would repeal these disclosure requirements.

end delete
begin delete

(5)

end delete

begin insert(2)end insert Existing law, until January 1, 2020, requires a rental company or its registered agent to accept service of a summons and complaint and any other required documents against a renter who resides out of this country for an accident or collision resulting from the operation of the rental vehicle in this state, if the rental company provides liability insurance coverage as part of, or associated with, the rental agreement. Existing law requires any plaintiff who elects to serve the foreign renter by delivering the summons and complaint and any other required documents to the rental company pursuant to these provisions to agree to limit his or her recovery against the foreign renter and rental company to the limits of the protection of the liability insurance.

This bill would remove the repeal of these requirements on January 1, 2020, thus making these requirements apply indefinitely.

begin delete

(6)

end delete

begin insert(3)end insert This bill would also make other technical, nonsubstantive changes by reorganizing several provisions and repealing obsolete provisions.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P3    1

SECTION 1.  

Section 1936 of the Civil Code, as amended by
2Section 5.2 of Chapter 913 of the Statutes of 2014, is amended to
3read:

4

1936.  

(a) For the purpose of this section, the following
5definitions shall apply:

6(1) “Rental company” means a person or entity in the business
7of renting passenger vehicles to the public.

P4    1(2) “Renter” means any person in a manner obligated under a
2contract for the lease or hire of a passenger vehicle from a rental
3company for a period of less than 30 days.

4(3) “Additional mandatory charges” means any separately stated
5charges that the rental car company requires the renter to pay to
6hire or lease the vehicle for the period of time to which the rental
7rate applies, which are imposed by a governmental entity and
8specifically relate to the operation of a rental car business,
9including, but not limited to, a customer facility charge, airport
10concession fee, tourism commission assessment, vehicle license
11recovery fee, or other government imposed taxes or fees.

12(4) “Airport concession fee” means a charge collected by a
13rental company from a renter that is the renter’s proportionate
14share of the amount paid by the rental company to the owner or
15operator of an airport for the right or privilege of conducting a
16vehicle rental business on the airport’s premises.

17(5) “Authorized driver” means all of the following:

18(A) The renter.

19(B) The renter’s spouse if that person is a licensed driver and
20satisfies the rental company’s minimum age requirement.

21(C) The renter’s employer or coworker if he or she is engaged
22in business activity with the renter, is a licensed driver, and satisfies
23the rental company’s minimum age requirement.

24(D) A person expressly listed by the rental company on that
25renter’s contract as an authorized driver.

26(6) (A) “Customer facility charge” means any fee, including
27an alternative fee, required by an airport to be collected by a rental
28company from a renter for any of the following purposes:

29(i) To finance, design, and construct consolidated airport car
30rental facilities.

31(ii) To finance, design, construct, and operate common-use
32transportation systems that move passengers between airport
33terminals and those consolidated car rental facilities, and acquire
34vehicles for use in that system.

35(iii) To finance, design, and construct terminal modifications
36solely to accommodate and provide customer access to
37common-use transportation systems.

38(B) The aggregate amount to be collected shall not exceed the
39reasonable costs, as determined by an audit, by an independent
40auditor, paid for by the airport, to finance, design, and construct
P5    1those facilities. The auditor shall independently examine and
2substantiate the necessity for and the amount of the customer
3facility charge, including whether the airport’s actual or projected
4costs are supported and justified, any steps the airport may take to
5limit costs, potential alternatives for meeting the airport’s revenue
6needs other than the collection of the fee, and whether and to what
7extent car rental companies or other businesses or individuals using
8the facility or common-use transportation system may pay for the
9costs associated with these facilities and systems other than the
10fee from rental customers, or whether the airport did not comply
11with any provision of this subparagraph. Copies of the audit shall
12be provided to the Assembly and Senate Committees on Judiciary,
13the Assembly Committee on Transportation, and the Senate
14Committee on Transportation and Housing and shall be posted on
15the airport’s Internet Web site. In the case of a customer facility
16charge for a common-use transportation system, the audit also
17shall consider the reasonable costs of providing the transit system
18or busing network pursuant to clause (ii) of subparagraph (A). Any
19audit required by this subparagraph may be included as a part of
20an audit of an airport’s finances. Notwithstanding clause (iii) of
21subparagraph (A), the fees designated as a customer facility charge
22shall not be used to pay for terminal expansion, gate expansion,
23runway expansion, changes in hours of operation, or changes in
24the number of flights arriving or departing from the airport.

25(C) Except as provided in subparagraph (D), the authorization
26given pursuant to this section for an airport to impose a customer
27facility charge shall become inoperative when the bonds used for
28financing are paid.

29(D) If a bond or other form of indebtedness is not used for
30financing, or the bond or other form of indebtedness used for
31financing has been paid, the Oakland International Airport may
32require the collection of a customer facility charge for a period of
33up to 10 years from the imposition of the charge for the purposes
34allowed by, and subject to the conditions imposed by, this section.

35(7) “Damage waiver” means a rental company’s agreement not
36to hold a renter liable for all or any portion of any damage or loss
37related to the rented vehicle, any loss of use of the rented vehicle,
38or any storage, impound, towing, or administrative charges.

39(8) “Electronic surveillance technology” means a technological
40method or system used to observe, monitor, or collect information,
P6    1including telematics, Global Positioning System (GPS), wireless
2technology, or location-based technologies. “Electronic
3surveillance technology” does not include event data recorders
4(EDR), sensing and diagnostic modules (SDM), or other systems
5that are used either:

6(A) For the purpose of identifying, diagnosing, or monitoring
7functions related to the potential need to repair, service, or perform
8maintenance on the rental vehicle.

9(B) As part of the vehicle’s airbag sensing and diagnostic system
10in order to capture safety systems-related data for retrieval after a
11crash has occurred or in the event that the collision sensors are
12activated to prepare the decisionmaking computer to make the
13determination to deploy or not to deploy the airbag.

14(9) “Estimated time for replacement” means the number of hours
15of labor, or fraction thereof, needed to replace damaged vehicle
16parts as set forth in collision damage estimating guides generally
17used in the vehicle repair business and commonly known as “crash
18books.”

19(10) “Estimated time for repair” means a good faith estimate of
20the reasonable number of hours of labor, or fraction thereof, needed
21to repair damaged vehicle parts.

22(11) “Membership program” means a service offered by a rental
23company that permits customers to bypass the rental counter and
24go directly to the car previously reserved. A membership program
25shall meet all of the following requirements:

26(A) The renter initiates enrollment by completing an application
27on which the renter can specify a preference for type of vehicle
28and acceptance or declination of optional services.

29(B) The rental company fully discloses, prior to the enrollee’s
30first rental as a participant in the program, all terms and conditions
31of the rental agreement as well as all required disclosures.

32(C) The renter may terminate enrollment at any time.

33(D) The rental company fully explains to the renter that
34designated preferences, as well as acceptance or declination of
35optional services, may be changed by the renter at any time for
36the next and future rentals.

37(E) An employee designated to receive the form specified in
38subparagraph (C) of paragraph (1) of subdivision (s) is present at
39the lot where the renter takes possession of the car, to receive any
40change in the rental agreement from the renter.

P7    1(12) “Passenger vehicle” means a passenger vehicle as defined
2in Section 465 of the Vehicle Code.

3(13) “Quote” means an estimated cost of rental provided by a
4rental company or a third party to a potential customer by
5telephone, in-person, computer-transmission, or other means, that
6is based on information provided by the potential customer and
7used to generate an estimated cost of rental, including, but not
8limited to, potential dates of rental, locations, or classes of car.

9(14) “Tourism commission assessment” means the charge
10collected by a rental company from a renter that has been
11established by the California Travel and Tourism Commission
12pursuant to Section 13995.65 of the Government Code.

13(15) “Vehicle license fee” means the tax imposed pursuant to
14the Vehicle License Fee Law (Part 5 (commencing with Section
1510701) of Division 2 of the Revenue and Taxation Code).

16(16) “Vehicle registration fee” means any fee imposed pursuant
17to any provision of Chapter 6 (commencing with Section 9101)
18of Division 3 of the Vehicle Code.

19(17) “Vehicle license recovery fee” means a charge that seeks
20to recover the amount of any vehicle license fee and vehicle
21registration fee paid by a rental company for the particular class
22of vehicle being rented.

23(b) Except as limited by subdivision (c), a rental company and
24a renter may agree that the renter will be responsible for no more
25than all of the following:

26(1) Physical or mechanical damage to the rented vehicle up to
27its fair market value, as determined in the customary market for
28the sale of that vehicle, resulting from collision regardless of the
29cause of the damage.

30(2) Loss due to theft of the rented vehicle up to its fair market
31value, as determined in the customary market for the sale of that
32vehicle, provided that the rental company establishes by clear and
33 convincing evidence that the renter or the authorized driver failed
34to exercise ordinary care while in possession of the vehicle. In
35addition, the renter shall be presumed to have no liability for any
36loss due to theft if (A) an authorized driver has possession of the
37ignition key furnished by the rental company or an authorized
38driver establishes that the ignition key furnished by the rental
39company was not in the vehicle at the time of the theft, and (B) an
40authorized driver files an official report of the theft with the police
P8    1or other law enforcement agency within 24 hours of learning of
2the theft and reasonably cooperates with the rental company and
3the police or other law enforcement agency in providing
4information concerning the theft. The presumption set forth in this
5paragraph is a presumption affecting the burden of proof which
6the rental company may rebut by establishing that an authorized
7driver committed, or aided and abetted the commission of, the
8theft.

9(3) Physical damage to the rented vehicle up to its fair market
10value, as determined in the customary market for the sale of that
11vehicle, resulting from vandalism occurring after, or in connection
12with, the theft of the rented vehicle. However, the renter shall have
13no liability for any damage due to vandalism if the renter would
14have no liability for theft pursuant to paragraph (2).

15(4) Physical damage to the rented vehicle up to a total of five
16hundred dollars ($500) resulting from vandalism unrelated to the
17theft of the rented vehicle.

18(5) Actual charges for towing, storage, and impound fees paid
19by the rental company if the renter is liable for damage or loss.

20(6) An administrative charge, which shall include the cost of
21appraisal and all other costs and expenses incident to the damage,
22loss, repair, or replacement of the rented vehicle.

23(c) The total amount of the renter’s liability to the rental
24company resulting from damage to the rented vehicle shall not
25exceed the sum of the following:

26(1) The estimated cost of parts which the rental company would
27have to pay to replace damaged vehicle parts. All discounts and
28price reductions or adjustments that are or will be received by the
29rental company shall be subtracted from the estimate to the extent
30not already incorporated in the estimate, or otherwise promptly
31credited or refunded to the renter.

32(2) The estimated cost of labor to replace damaged vehicle parts,
33which shall not exceed the product of (A) the rate for labor usually
34paid by the rental company to replace vehicle parts of the type that
35were damaged and (B) the estimated time for replacement. All
36discounts and price reductions or adjustments that are or will be
37received by the rental company shall be subtracted from the
38estimate to the extent not already incorporated in the estimate, or
39otherwise promptly credited or refunded to the renter.

P9    1(3) (A) The estimated cost of labor to repair damaged vehicle
2parts, which shall not exceed the lesser of the following:

3(i) The product of the rate for labor usually paid by the rental
4company to repair vehicle parts of the type that were damaged and
5the estimated time for repair.

6(ii) The sum of the estimated labor and parts costs determined
7under paragraphs (1) and (2) to replace the same vehicle parts.

8(B) All discounts and price reductions or adjustments that are
9or will be received by the rental company shall be subtracted from
10the estimate to the extent not already incorporated in the estimate,
11or otherwise promptly credited or refunded to the renter.

12(4) For the purpose of converting the estimated time for repair
13into the same units of time in which the rental rate is expressed, a
14day shall be deemed to consist of eight hours.

15(5) Actual charges for towing, storage, and impound fees paid
16by the rental company.

17(6) The administrative charge described in paragraph (6) of
18subdivision (b) shall not exceed (A) fifty dollars ($50) if the total
19estimated cost for parts and labor is more than one hundred dollars
20($100) up to and including five hundred dollars ($500), (B) one
21hundred dollars ($100) if the total estimated cost for parts and
22labor exceeds five hundred dollars ($500) up to and including one
23thousand five hundred dollars ($1,500), and (C) one hundred fifty
24dollars ($150) if the total estimated cost for parts and labor exceeds
25one thousand five hundred dollars ($1,500). An administrative
26charge shall not be imposed if the total estimated cost of parts and
27labor is one hundred dollars ($100) or less.

28(d) (1) The total amount of an authorized driver’s liability to
29the rental company, if any, for damage occurring during the
30authorized driver’s operation of the rented vehicle shall not exceed
31the amount of the renter’s liability under subdivision (c).

32(2) A rental company shall not recover from the renter or other
33authorized driver an amount exceeding the renter’s liability under
34subdivision (c).

35(3) A claim against a renter resulting from damage or loss,
36excluding loss of use, to a rental vehicle shall be reasonably and
37rationally related to the actual loss incurred. A rental company
38shall mitigate damages where possible and shall not assert or collect
39a claim for physical damage which exceeds the actual costs of the
40repairs performed or the estimated cost of repairs, if the rental
P10   1company chooses not to repair the vehicle, including all discounts
2and price reductions. However, if the vehicle is a total loss vehicle,
3the claim shall not exceed the total loss vehicle value established
4in accordance with procedures that are customarily used by
5insurance companies when paying claims on total loss vehicles,
6less the proceeds from salvaging the vehicle, if those proceeds are
7retained by the rental company.

8(4) If insurance coverage exists under the renter’s applicable
9personal or business insurance policy and the coverage is confirmed
10during regular business hours, the renter may require that the rental
11company submit any claims to the renter’s applicable personal or
12business insurance carrier. The rental company shall not make any
13written or oral representations that it will not present claims or
14negotiate with the renter’s insurance carrier. For purposes of this
15paragraph, confirmation of coverage includes telephone
16confirmation from insurance company representatives during
17regular business hours. Upon request of the renter and after
18confirmation of coverage, the amount of claim shall be resolved
19between the insurance carrier and the rental company. The renter
20shall remain responsible for payment to the rental car company
21for any loss sustained that the renter’s applicable personal or
22business insurance policy does not cover.

23(5) A rental company shall not recover from the renter or other
24authorized driver for an item described in subdivision (b) to the
25extent the rental company obtains recovery from another person.

26(6) This section applies only to the maximum liability of a renter
27or other authorized driver to the rental company resulting from
28damage to the rented vehicle and not to the liability of another
29person.

30(e) (1) Except as provided in subdivision (f), a damage waiver
31shall provide or, if not expressly stated in writing, shall be deemed
32to provide that the renter has no liability for damage, loss, loss of
33use, or a cost or expense incident thereto.

34(2) Except as provided in subdivision (f), every limitation,
35exception, or exclusion to a damage waiver is void and
36unenforceable.

37(f) A rental company may provide in the rental contract that a
38damage waiver does not apply under any of the following
39circumstances:

P11   1(1) Damage or loss results from an authorized driver’s (A)
2intentional, willful, wanton, or reckless conduct, (B) operation of
3the vehicle under the influence of drugs or alcohol in violation of
4Section 23152 of the Vehicle Code, (C) towing or pushing
5anything, or (D) operation of the vehicle on an unpaved road if
6the damage or loss is a direct result of the road or driving
7conditions.

8(2) Damage or loss occurs while the vehicle is (A) used for
9commercial hire, (B) used in connection with conduct that could
10be properly charged as a felony, (C) involved in a speed test or
11contest or in driver training activity, (D) operated by a person other
12than an authorized driver, or (E) operated outside the United States.

13(3) An authorized driver who has (A) provided fraudulent
14information to the rental company, or (B) provided false
15information and the rental company would not have rented the
16vehicle if it had instead received true information.

17(g) (1) A rental company that offers or provides a damage
18waiver for any consideration in addition to the rental rate shall
19clearly and conspicuously disclose the following information in
20the rental contract or holder in which the contract is placed and,
21also, in signs posted at the place, such as the counter, where the
22renter signs the rental contract, and, for renters who are enrolled
23in the rental company’s membership program, in a sign that shall
24be posted in a location clearly visible to those renters as they enter
25the location where their reserved rental cars are parked or near the
26exit of the bus or other conveyance that transports the enrollee to
27a reserved car: (A) the nature of the renter’s liability, such as
28liability for all collision damage regardless of cause, (B) the extent
29of the renter’s liability, such as liability for damage or loss up to
30a specified amount, (C) the renter’s personal insurance policy or
31the credit card used to pay for the car rental transaction may
32provide coverage for all or a portion of the renter’s potential
33liability, (D) the renter should consult with his or her insurer to
34determine the scope of insurance coverage, including the amount
35of the deductible, if any, for which the renter is obligated, (E) the
36renter may purchase an optional damage waiver to cover all
37liability, subject to whatever exceptions the rental company
38expressly lists that are permitted under subdivision (f), and (F) the
39range of charges for the damage waiver.

P12   1(2) In addition to the requirements of paragraph (1), a rental
2company that offers or provides a damage waiver shall orally
3disclose to all renters, except those who are participants in the
4rental company’s membership program, that the damage waiver
5may be duplicative of coverage that the customer maintains under
6his or her own policy of motor vehicle insurance. The renter’s
7receipt of the oral disclosure shall be demonstrated through the
8renter’s acknowledging receipt of the oral disclosure near that part
9of the contract where the renter indicates, by the renter’s own
10initials, his or her acceptance or declination of the damage waiver.
11Adjacent to that same part, the contract also shall state that the
12damage waiver is optional. Further, the contract for these renters
13shall include a clear and conspicuous written disclosure that the
14damage waiver may be duplicative of coverage that the customer
15maintains under his or her own policy of motor vehicle insurance.

16(3) The following is an example, for purposes of illustration
17and not limitation, of a notice fulfilling the requirements of
18paragraph (1) for a rental company that imposes liability on the
19renter for collision damage to the full value of the vehicle:
20

21“NOTICE ABOUT YOUR FINANCIAL RESPONSIBILITY
22AND OPTIONAL DAMAGE WAIVER
23

24You are responsible for all collision damage to the rented vehicle
25even if someone else caused it or the cause is unknown. You are
26responsible for the cost of repair up to the value of the vehicle,
27and towing, storage, and impound fees.

28Your own insurance, or the issuer of the credit card you use to
29pay for the car rental transaction, may cover all or part of your
30financial responsibility for the rented vehicle. You should check
31with your insurance company, or credit card issuer, to find out
32about your coverage and the amount of the deductible, if any, for
33which you may be liable.

34Further, if you use a credit card that provides coverage for your
35potential liability, you should check with the issuer to determine
36if you must first exhaust the coverage limits of your own insurance
37before the credit card coverage applies.

38The rental company will not hold you responsible if you buy a
39damage waiver. But a damage waiver will not protect you if (list
40exceptions).”


P13   2(A) When the above notice is printed in the rental contract or
3holder in which the contract is placed, the following shall be printed
4immediately following the notice:


6“The cost of an optional damage waiver is $____ for every (day
7or week).”


9(B) When the above notice appears on a sign, the following
10shall appear immediately adjacent to the notice:


12“The cost of an optional damage waiver is $____ to $____ for
13every (day or week), depending upon the vehicle rented.”


15(h) Notwithstanding any other provision of law, a rental
16company may sell a damage waiver subject to the following rate
17limitations for each full or partial 24-hour rental day for the damage
18waiver:

19(1) For rental vehicles that the rental company designates as an
20“economy car,” “compact car,” or another term having similar
21meaning to the two smallest body-size categories of vehicles
22established by the Association of Car Rental Industry Systems
23Standards for North America, as of January 1, 2014, when offered
24for rental, the rate shall not exceed eleven dollars ($11).

25(2) For rental vehicles that the rental company designates as an
26“intermediate car,” “standard car,” or “full-size car,” or another
27term having similar meaning to the next three body-size categories
28of vehicles established by the Association of Car Rental Industry
29Systems Standards for North America, as of January 1, 2014, and
30that are also either vehicles of the next model-year, or not older
31than the previous year’s model, when offered for rental, the rate
32shall not exceed seventeen dollars ($17). For rental vehicles that
33are older than the previous year’s model-year, the rate shall not
34exceed eleven dollars ($11).

35(i) A rental company that disseminates in this state an
36advertisement containing a rental rate shall include in that
37advertisement a clearly readable statement of the charge for a
38damage waiver and a statement that a damage waiver is optional.

P14   1(j) (1) A rental company shall not require the purchase of a
2damage waiver, optional insurance, or another optional good or
3service.

4(2) A rental company shall not engage in any unfair, deceptive,
5or coercive conduct to induce a renter to purchase the damage
6waiver, optional insurance, or another optional good or service,
7including conduct such as, but not limited to, refusing to honor
8the renter’s reservation, limiting the availability of vehicles,
9requiring a deposit, or debiting or blocking the renter’s credit card
10account for a sum equivalent to a deposit if the renter declines to
11purchase the damage waiver, optional insurance, or another
12optional good or service.

13(k) (1) In the absence of express permission granted by the
14renter subsequent to damage to, or loss of, the vehicle, a rental
15company shall not seek to recover any portion of a claim arising
16out of damage to, or loss of, the rented vehicle by processing a
17credit card charge or causing a debit or block to be placed on the
18renter’s credit card account.

19(2) A rental company shall not engage in any unfair, deceptive,
20or coercive tactics in attempting to recover or in recovering on any
21claim arising out of damage to, or loss of, the rented vehicle.

22(l) (1) A customer facility charge may be collected by a rental
23company under the following circumstances:

24(A) Collection of the fee by the rental company is required by
25an airport operated by a city, a county, a city and county, a joint
26powers authority, a special district, or the San Diego County
27Regional Airport Authority formed pursuant to Division 17
28 (commencing with Section 170000) of the Public Utilities Code.

29(B) The fee is calculated on a per contract basis or as provided
30in paragraph (2).

31(C) The fee is a user fee, not a tax imposed upon real property
32or an incident of property ownership under Article XIII D of the
33California Constitution.

34(D) Except as otherwise provided in subparagraph (E), the fee
35shall be ten dollars ($10) per contract or the amount provided in
36paragraph (2).

37(E) The fee for a consolidated rental car facility shall be
38collected only from customers of on-airport rental car companies.
39If the fee imposed by the airport is for both a consolidated rental
40car facility and a common-use transportation system, the fee
P15   1collected from customers of on-airport rental car companies shall
2be ten dollars ($10) or the amount provided in paragraph (2), but
3the fee imposed on customers of off-airport rental car companies
4who are transported on the common-use transportation system is
5proportionate to the costs of the common-use transportation system
6only. The fee is uniformly applied to each class of on-airport or
7off-airport customers, provided that the airport requires off-airport
8customers to use the common-use transportation system. For
9purposes of this subparagraph, “on-airport rental car company”
10means a rental company operating under an airport property lease
11or an airport concession or license agreement whose customers
12use or will use the consolidated rental car facility and the collection
13of the fee as to those customers is consistent with subparagraph
14(C).

15(F) Revenues collected from the fee do not exceed the reasonable
16costs of financing, designing, and constructing the facility and
17financing, designing, constructing, and operating any common-use
18transportation system, or acquiring vehicles for use in that system,
19and shall not be used for any other purpose.

20(G) The fee is separately identified on the rental agreement.

21(H) This paragraph does not apply to fees which are governed
22by Section 50474.1 of the Government Code or Section 57.5 of
23the San Diego Unified Port District Act (Chapter 67 of the First
24Extraordinary Session of the Statutes of 1962).

25(I) For any airport seeking to require rental car companies to
26collect an alternative customer facility charge pursuant to paragraph
27(2), the following provisions apply:

28(i) Notwithstanding Section 10231.5 of the Government Code,
29the airport shall provide reports on an annual basis to the Senate
30 and Assembly Committees on Judiciary detailing all of the
31following:

32(I) The total amount of the customer facility charge collected.

33(II) How the funds are being spent.

34(III) The amount of and reason for any changes in the airport’s
35budget or financial needs for the facility or common-use
36transportation system.

37(ii) (I) The airport shall complete the audit required by
38subparagraph (B) of paragraph (6) of subdivision (a) prior to the
39initial collection of the customer facility charge. Notwithstanding
40Section 10231.5 of the Government Code, copies of the audit shall
P16   1be provided to the Assembly and Senate Committees on Judiciary,
2the Assembly Committee on Transportation, and the Senate
3Committee on Transportation and Housing and shall be posted on
4the airport’s Internet Web site.

5(II) Prior to any increase pursuant to paragraph (2), the airport
6shall update the information provided in the initial collection audit
7pursuant to subclause (I). Notwithstanding Section 10231.5 of the
8Government Code, copies of the updated audit shall be provided
9to the Assembly and Senate Committees on Judiciary, the
10Assembly Committee on Transportation, and the Senate Committee
11on Transportation and Housing, and shall be posted on the airport’s
12Internet Web site.

13(III) An audit shall be completed every three years after initial
14collection only if the customer facility charge is collected for the
15purpose of operating a common-use transportation system or to
16acquire vehicles for use in the system pursuant to clause (ii) of
17subparagraph (A) of paragraph (6) of subdivision (a). A regularly
18conducted audit of airport finances that includes the customer
19facility charge information, that satisfies the requirements of
20subparagraph (B) of paragraph (6) of subdivision (a), and is
21produced in accordance with the generally accepted accounting
22principles of the Government Accounting Standards Board, shall
23satisfy the requirements of this subclause. This obligation shall
24continue until the fee authorization becomes inoperative pursuant
25to subparagraph (C) of paragraph (6) of subdivision (a).
26Notwithstanding Section 10231.5 of the Government Code, the
27information reported pursuant to this subclause shall be compiled
28into one document, shall be provided to the Assembly and Senate
29Committees on Judiciary, the Assembly Committee on
30Transportation, and the Senate Committee on Transportation and
31Housing and shall be posted on the airport’s Internet Web site
32accessible to the public. The information reported shall be
33contained within one easily accessible page contained within the
34airport’s Internet Web site.

35(IV) This section shall not be construed to require an airport to
36audit a common-use transportation system not financed by a
37customer facility charge and used for the purposes permitted
38pursuant to clause (ii) of subparagraph (A) of paragraph (6) of
39subdivision (a).

P17   1(V) The airport shall post on the airport’s Internet Web site
2copies of the completed audits required by this clause for a period
3of six years following the audit’s completion.

4(iii) Use of the bonds shall be limited to construction and design
5of the consolidated rental car facility, terminal modifications, and
6operating costs of the common-use transportation system, as
7specified in paragraph (6) of subdivision (a).

8(2) Any airport may require rental car companies to collect an
9alternative customer facility charge under the following conditions:

10(A) The airport first conducts a publicly noticed hearing pursuant
11to the Ralph M. Brown Act (Chapter 9 (commencing with Section
1254950) of Part 1 of Division 2 of Title 5 of the Government Code)
13to review the costs of financing the design and construction of a
14consolidated rental car facility and the design, construction, and
15operation of any common-use transportation system in which all
16of the following occur:

17(i) The airport establishes the amount of revenue necessary to
18finance the reasonable cost to design and construct a consolidated
19rental car facility and to design, construct, and operate any
20common-use transportation system, or acquire vehicles for use in
21that system, based on evidence presented during the hearing.

22(ii) The airport finds, based on evidence presented during the
23hearing, that the fee authorized in paragraph (1) will not generate
24sufficient revenue to finance the reasonable costs to design and
25construct a consolidated rental car facility and to design, construct,
26and operate any common-use transportation system, or acquire
27vehicles for use in that system.

28(iii) The airport finds that the reasonable cost of the project
29requires the additional amount of revenue that would be generated
30by the proposed daily rate, including any rate increase, authorized
31pursuant to this paragraph.

32(iv) The airport outlines each of the following:

33(I) Steps it has taken to limit costs.

34(II) Other potential alternatives for meeting its revenue needs
35other than the collection of the fee.

36(III) The extent to which rental car companies or other
37businesses or individuals using the facility or common-use
38transportation system will pay for the costs associated with these
39facilities and systems other than the fee from rental customers.

P18   1(B) The airport may not require the fee authorized in this
2paragraph to be collected at any time that the fee authorized in
3paragraph (1) of this subdivision is being collected.

4(C) Pursuant to the procedure set forth in this subdivision, the
5fee may be collected at a rate charged on a per-day basis subject
6to the following conditions:

7(i) Commencing January 1, 2011, the amount of the fee may
8not exceed six dollars ($6) per day.

9(ii) Commencing January 1, 2014, the amount of the fee may
10not exceed seven dollars and fifty cents ($7.50) per day.

11(iii) Commencing January 1, 2017, and thereafter, the amount
12of the fee may not exceed nine dollars ($9) per day.

13(iv) At no time shall the fee authorized in this paragraph be
14collected from any customer for more than five days for each
15individual rental car contract.

16(v) An airport subject to this paragraph shall initiate the process
17for obtaining the authority to require or increase the alternative
18fee no later than January 1, 2018. Any airport that obtains the
19authority to require or increase an alternative fee shall be authorized
20to continue collecting that fee until the fee authorization becomes
21inoperative pursuant to subparagraph (C) of paragraph (6) of
22subdivision (a).

23(3) Notwithstanding any other provision of law, including, but
24not limited to, Part 1 (commencing with Section 6001) to Part 1.7
25(commencing with Section 7280), inclusive, of Division 2 of the
26Revenue and Taxation Code, the fees collected pursuant to this
27section, or another law whereby a local agency operating an airport
28requires a rental car company to collect a facility financing fee
29from its customers, are not subject to sales, use, or transaction
30taxes.

31(m) (1) When providing a quote, or imposing charges for a
32rental, the rental company may separately state the rental rate,
33additional mandatory charges, if any, and a mileage charge, if any,
34that a renter must pay to hire or lease the vehicle for the period of
35time to which the rental rate applies. A rental company shall not
36charge in addition to the rental rate,begin delete taxes,end delete additional mandatory
37begin delete charges, if any,end deletebegin insert charges, orend insert a mileagebegin delete charge, if any, andend deletebegin insert charge,
38as those may be applicable,end insert
any other fee that is required to be
39paid by the renter as a condition of hiring or leasing the vehicle.

P19   1(2) If additional mandatory charges are imposed, the rental
2company shall do each of the following:

3(A) At the time the quote is given, provide the person receiving
4the quote with a good faith estimate of the rental rate and all
5additional mandatory charges, as well as the total charges for the
6entire rental. The total charges, if provided on an Internet Web site
7page, shall be displayed in a typeface at least as large as any rental
8rate disclosed on that page and shall be provided on a page that
9the person receiving the quote may reach by following links
10through no more than two Internet Web site pages, including the
11page on which the rental rate is first provided. The good faith
12estimate may exclude mileage charges and charges for optional
13items that cannot be determined prior to completing the reservation
14based upon the information provided by the person.

15(B) At the time and place the rental commences, clearly and
16conspicuously disclose in the rental contract, or that portion of the
17contract that is provided to the renter, the total of the rental rate,
18additional mandatory charges, for the entire rental, exclusive of
19charges that cannot be determined at the time the rental
20commences. Charges imposed pursuant to this subparagraph shall
21be no more than the amount of the quote provided in a confirmed
22reservation, unless the person changes the terms of the rental
23contract subsequent to making the reservation.

24(C) Provide each person, other than those persons within the
25rental company, offering quotes to actual or prospective customers
26access to information about additional mandatory charges, as well
27as access to information about when those charges apply. Any
28person providing quotes to actual or prospective customers for the
29hire or lease of a vehicle from a rental company shall provide the
30quotes in the manner described in subparagraph (A).

31(3) In addition to the rental rate, taxes, additional mandatory
32charges, if any, and mileage charges, if any, a rental company may
33charge for an item or service provided in connection with a
34particular rental transaction if the renter could have avoided
35incurring the charge by choosing not to obtain or utilize the
36optional item or service. Items and services for which the rental
37company may impose an additional charge include, but are not
38limited to, optional insurance and accessories requested by the
39renter, service charges incident to the renter’s optional return of
40the vehicle to a location other than the location where the vehicle
P20   1 was hired or leased, and charges for refueling the vehicle at the
2conclusion of the rental transaction in the event the renter did not
3return the vehicle with as much fuel as was in the fuel tank at the
4beginning of the rental. A rental company also may impose an
5additional charge based on reasonable age criteria established by
6the rental company.

7(4) A rental company shall not charge a fee for authorized
8drivers in addition to the rental charge for an individual renter.

9(5) If a rental company states a rental rate in print advertisement
10or in a telephonic, in-person, or computer-transmitted quotation,
11the rental company shall disclose clearly in that advertisement or
12quotation the terms of mileage conditions relating to the advertised
13or quoted rental rate, including, but not limited to, to the extent
14applicable, the amount of mileage and gas charges, the number of
15miles for which no charges will be imposed, and a description of
16geographic driving limitations within the United States and Canada.

17(6) All rate advertisements shall include the following
18disclaimer, which shall be prominently displayed: “Additional
19mandatory charges may be imposed, including, but not limited to,
20a customer facility charge, airport concession fee, tourism
21commission assessment, vehicle license recovery fee, or other
22government imposed taxes or fees. For more information, including
23an estimate of your total rental cost, visit our Internet Web site at
24[www.____.com].”

25(7) If a rental company delivers a vehicle to a renter at a location
26other than the location where the rental company normally carries
27on its business, the rental company shall not charge the renter an
28amount for the rental for the period before the delivery of the
29vehicle. If a rental company picks up a rented vehicle from a renter
30at a location other than the location where the rental company
31normally carries on its business, the rental company shall not
32charge the renter an amount for the rental for the period after the
33renter notifies the rental company to pick up the vehicle.

34(8) Except as otherwise permitted pursuant to the customer
35facility charge, a rental company shall not separately charge, in
36addition to the rental rate, a fee for transporting the renter to a
37location where the rented vehicle will be delivered to the renter.

38(n) A rental company shall not use, access, or obtain any
39information relating to the renter’s use of the rental vehicle that
P21   1was obtained using electronic surveillance technology, except in
2the following circumstances:

3(1) (A) When the equipment is used by the rental company
4only for the purpose of locating a stolen, abandoned, or missing
5rental vehicle after one of the following:

6(i) The renter or law enforcement has informed the rental
7company that the vehicle is missing or has been stolen or
8abandoned.

9(ii) The rental vehicle has not been returned following one week
10after the contracted return date, or by one week following the end
11of an extension of that return date.

12(iii) The rental company discovers the rental vehicle has been
13stolen or abandoned, and, if stolen, it shall report the vehicle stolen
14to law enforcement by filing a stolen vehicle report, unless law
15 enforcement has already informed the rental company that the
16vehicle is missing or has been stolen or abandoned.

17(B) If electronic surveillance technology is activated pursuant
18to subparagraph (A), a rental company shall maintain a record, in
19either electronic or written form, of information relevant to the
20activation of that technology. That information shall include the
21rental agreement, including the return date, and the date and time
22the electronic surveillance technology was activated. The record
23shall also include, if relevant, a record of written or other
24communication with the renter, including communications
25regarding extensions of the rental, police reports, or other written
26communication with law enforcement officials. The record shall
27be maintained for a period of at least 12 months from the time the
28record is created and shall be made available upon the renter’s
29request. The rental company shall maintain and furnish explanatory
30 codes necessary to read the record. A rental company shall not be
31required to maintain a record if electronic surveillance technology
32is activated to recover a rental vehicle that is stolen or missing at
33a time other than during a rental period.

34(2) In response to a specific request from law enforcement
35pursuant to a subpoena or search warrant.

36(3) This subdivision does not prohibit a rental company from
37equipping rental vehicles with GPS-based technology that provides
38navigation assistance to the occupants of the rental vehicle, if the
39rental company does not use, access, or obtain information relating
40to the renter’s use of the rental vehicle that was obtained using
P22   1that technology, except for the purposes of discovering or repairing
2a defect in the technology and the information may then be used
3only for that purpose.

4(4) This subdivision does not prohibit a rental company from
5equipping rental vehicles with electronic surveillance technology
6that allows for the remote locking or unlocking of the vehicle at
7the request of the renter, if the rental company does not use, access,
8or obtain information relating to the renter’s use of the rental
9vehicle that was obtained using that technology, except as
10necessary to lock or unlock the vehicle.

11(5) This subdivision does not prohibit a rental company from
12equipping rental vehicles with electronic surveillance technology
13that allows the company to provide roadside assistance, such as
14towing, flat tire, or fuel services, at the request of the renter, if the
15rental company does not use, access, or obtain information relating
16to the renter’s use of the rental vehicle that was obtained using
17that technology except as necessary to provide the requested
18roadside assistance.

19(6) This subdivision does not prohibit a rental company from
20obtaining, accessing, or using information from electronic
21surveillance technology for the sole purpose of determining the
22date and time the vehicle is returned to the rental company, and
23the total mileage driven and the vehicle fuel level of the returned
24vehicle. This paragraph, however, shall apply only after the renter
25has returned the vehicle to the rental company, and the information
26shall only be used for the purpose described in this paragraph.

27(o) A rental company shall not use electronic surveillance
28technology to track a renter in order to impose fines or surcharges
29relating to the renter’s use of the rental vehicle.

30(p) A renter may bring an action against a rental company for
31the recovery of damages and appropriate equitable relief for a
32violation of this section. The prevailing party shall be entitled to
33recover reasonable attorney’s fees and costs.

34(q) A rental company that brings an action against a renter for
35loss due to theft of the vehicle shall bring the action in the county
36in which the renter resides or, if the renter is not a resident of this
37state, in the jurisdiction in which the renter resides.

38(r) A waiver of any of the provisions of this section shall be
39void and unenforceable as contrary to public policy.

P23   1(s) (1) A rental company’s disclosure requirements shall be
2satisfied for renters who are enrolled in the rental company’s
3membership program if all of the following conditions are met:

4(A) Prior to the enrollee’s first rental as a participant in the
5 program, the renter receives, in writing, the following:

6(i) All of the disclosures required by paragraph (1) of subdivision
7(g), including the terms and conditions of the rental agreement
8then in effect.

9(ii) An Internet Web site address, as well as a contact number
10or address, where the enrollee can learn of changes to the rental
11agreement or to the laws of this state governing rental agreements
12since the effective date of the rental company’s most recent
13restatement of the rental agreement and distribution of that
14restatement to its members.

15(B) At the commencement of each rental period, the renter is
16provided, on the rental record or the folder in which it is inserted,
17with a printed notice stating that he or she had either previously
18selected or declined an optional damage waiver and that the renter
19has the right to change preferences.

20(C) At the commencement of each rental period, the rental
21company provides, on the rearview mirror, a hanger on which a
22statement is printed, in a box, in at least 12-point boldface type,
23notifying the renter that the collision damage waiver offered by
24the rental company may be duplicative of coverage that the
25customer maintains under his or her own policy of motor vehicle
26insurance. If it is not feasible to hang the statement from the
27rearview mirror, it shall be hung from the steering wheel.

28The hanger shall provide the renter a box to initial if he or she
29(not his or her employer) has previously accepted or declined the
30collision damage waiver and that he or she now wishes to change
31his or her decision to accept or decline the collision damage waiver,
32as follows:


34“If I previously accepted the collision damage waiver, I now
35decline it.


38If I previously declined the collision damage waiver, I now
39accept it.”


P24   1The hanger shall also provide a box for the enrollee to indicate
2whether this change applies to this rental transaction only or to all
3future rental transactions. The hanger shall also notify the renter
4that he or she may make that change, prior to leaving the lot, by
5returning the form to an employee designated to receive the form
6who is present at the lot where the renter takes possession of the
7car, to receive any change in the rental agreement from the renter.

8(2) (A) This subdivision is not effective unless the employee
9designated pursuant to subparagraph (E) of paragraph (9) of
10subdivision (a) is actually present at the required location.

11(B) This subdivision does not relieve the rental company from
12the disclosures required to be made within the text of a contract
13or holder in which the contract is placed; in or on an advertisement
14containing a rental rate; or in a telephonic, in-person, or
15computer-transmitted quotation or reservation.

16(t) The amendments made to this section during the 2001-02
17Regular Session of the Legislature do not affect litigation pending
18on or before January 1, 2003, alleging a violation of Section 22325
19of the Business and Professions Code as it read at the time the
20action was commenced.

21(u) (1) When a rental company enters into a rental agreement
22in the state for the rental of a vehicle to any renter who is not a
23resident of this country and, as part of, or associated with, the rental
24agreement, the renter purchases liability insurance, as defined in
25subdivision (b) of Section 1758.85 of the Insurance Code, from
26the rental company in its capacity as a rental car agent for an
27authorized insurer, the rental company shall be authorized to accept,
28and, if served as set forth in this subdivision, shall accept, service
29of a summons and complaint and any other required documents
30against the foreign renter for any accident or collision resulting
31from the operation of the rental vehicle within the state during the
32rental period. If the rental company has a registered agent for
33service of process on file with the Secretary of State, process shall
34be served on the rental company’s registered agent, either by
35 first-class mail, return receipt requested, or by personal service.

36(2) Within 30 days of acceptance of service of process, the rental
37company shall provide a copy of the summons and complaint and
38any other required documents served in accordance with this
39subdivision to the foreign renter by first-class mail, return receipt
40requested.

P25   1(3) Any plaintiff, or his or her representative, who elects to serve
2the foreign renter by delivering a copy of the summons and
3complaint and any other required documents to the rental company
4pursuant to paragraph (1) shall agree to limit his or her recovery
5against the foreign renter and the rental company to the limits of
6the protection extended by the liability insurance.

7(4) Notwithstanding the requirements of Sections 17450 to
817456, inclusive, of the Vehicle Code, service of process in
9compliance with paragraph (1) shall be deemed valid and effective
10service.

11(5) Notwithstanding any other provision of law, the requirement
12that the rental company accept service of process pursuant to
13paragraph (1) shall not create any duty, obligation, or agency
14relationship other than that provided in paragraph (1).

15

SEC. 2.  

Section 1936 of the Civil Code, as amended by Section
165.7 of Chapter 913 of the Statutes of 2014, is repealed.

17

SEC. 3.  

Section 1936.01 of the Civil Code is repealed.

18

SEC. 4.  

Section 1936.015 of the Civil Code is repealed.

19

SEC. 5.  

Section 1936.05 of the Civil Code is amended to read:

20

1936.05.  

(a) For purposes of this section:

21(1) “Additional charges” means charges other than a per period
22base rental rate established by the business program.

23(2) “Business program” means (A) a contract between a rental
24company and a business program sponsor that has established the
25per period base rental rate, and any other material terms relating
26to additional charges, on which the rental company will rent
27passenger vehicles to persons authorized by the sponsor, or (B) a
28plan, program, or other arrangement established by a rental
29company at the request of, or with the consent of, a business
30program sponsor under which the rental company offers to rent
31passenger vehicles to persons authorized by the sponsor at per
32period base rental rates, and any other material terms relating to
33additional charges, that are not the same as those generally offered
34by the rental company to the public.

35(3) “Business program sponsor” means a legal entity, other than
36a natural person, that is a corporation, limited liability company,
37or partnership.

38(4) “Business renter” means, for any business program sponsor,
39a person who is authorized by the sponsor, through the use of an
40identifying number or program name or code, to enter into a rental
P26   1contract under the sponsor’s business program. In no case shall
2the term “business renter” include a person renting as: (A) a
3nonemployee member of a not-for-profit organization, (B) the
4purchaser of a voucher or other prepaid rental arrangement from
5a person, including a tour operator, engaged in the business of
6reselling those vouchers or prepaid rental arrangements to the
7general public, (C) an individual whose car rental is eligible for
8reimbursement in whole or in part as a result of the person being
9insured or provided coverage under a policy of insurance issued
10by an insurance company, or (D) an individual whose car rental
11is eligible for reimbursement in whole or in part as a result of the
12person purchasing passenger vehicle repair services from a person
13licensed to perform such services.

14(5) “Qualified business rental” under a business program
15established for a business program sponsor by a rental company
16means the rental of a passenger vehicle under the business program
17if either (A) in the 12-month period ending on the date of the rental
18or in the calendar year immediately preceding the year in which
19the rental occurs, the rentals under all business programs
20established by the rental company for the business program sponsor
21and its affiliates produced gross rental revenues in excess of
22twenty-five thousand dollars ($25,000) or (B) the rental company
23in good faith estimates that rentals under all the business programs
24established by the rental company for the business program sponsor
25and its affiliates will produce gross rental revenues in excess of
26twenty-five thousand dollars ($25,000) in the 12-month period
27commencing with the date of the rental or in the calendar year in
28which the rental occurs. The rental company has the burden of
29establishing by objectively verifiable evidence that the rental was
30a qualified business rental.

31(6) “Quote” means telephonic, in-person, and
32computer-transmitted quotations.

33(b) Notwithstanding any provision to the contrary contained in
34subdivision (m) of Section 1936, a rental car company may, in
35connection with the qualified business rental of a passenger vehicle
36to a business renter of a business program sponsor under the
37sponsor’s business program, do both of the following:

38(1) Separately quote additional charges for the rental if, at the
39time the quote is provided, the person receiving the quote is also
40provided a good faith estimate of the total of all the charges for
P27   1the entire rental. The estimate may exclude mileage charges and
2charges for optional items and services that cannot be determined
3prior to completing the reservation based upon the information
4provided by the renter.

5(2) Separately impose additional charges for the rental, if the
6rental contract, or another document provided to the business renter
7at the time and place the rental commences, clearly and
8conspicuously discloses the total of all the charges for the entire
9rental, exclusive of charges that cannot be determined at the time
10the rental commences.

11(c) A renter may bring an action against a rental company for
12the recovery of damages and appropriate equitable relief for a
13violation of this section. The prevailing party shall be entitled to
14recover reasonable attorney’s fees and costs.

15(d) Any waiver of any of the provisions of this section shall be
16void and unenforceable as contrary to public policy.

17(e) Nothing in this section shall be interpreted to mean that a
18rental company is not required to comply with the requirements
19of paragraphs (3) to (7), inclusive, of subdivision (m) of Section
201936.



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