Amended in Assembly April 23, 2015

Amended in Assembly March 26, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 903


Introduced by Assembly Member Cristina Garcia

February 26, 2015


An act to amendbegin delete Section 17539.1end deletebegin insert Sections 19911 and 19921end insert of the Business and Professions Code, relating tobegin delete sweepstakes.end deletebegin insert gaming.end insert

LEGISLATIVE COUNSEL’S DIGEST

AB 903, as amended, Cristina Garcia. begin deleteUnfair business practices: contests and sweepstakes. end deletebegin insertGambling Control Act.end insert

begin insert

The Gambling Control Act provides for the licensure of certain individuals and establishments involved in various gambling activities, and for the regulation of those activities, by the California Gambling Control Commission. Existing law prohibits a person under 21 years of age from being eligible for a work permit in a gambling establishment. Existing law also prohibits a person under 21 years of age from entering the premises of a licensed gambling establishment, except as provided.

end insert
begin insert

This bill would permit a person between 18 and 21 years of age to work in a gambling establishment in a classification that entails providing services on and off the gaming floor that are not involved in play of any controlled game, as specified.

end insert
begin delete

Existing law generally regulates false advertising and specifically prohibits certain unfair acts or practices undertaken by, or omissions of, a person in the operation of a contest, including misrepresenting the odds of winning a prize or failing to award and distribute all prizes.

end delete
begin delete

Existing law specifies that these provisions do not render unlawful or restrict otherwise lawful games and methods used by a gambling enterprise licensed under the Gambling Control Act or operations of the California State Lottery.

end delete
begin delete

This bill would expand that exemption to include lawful technologies and software used by a gambling enterprise licensed under the Gambling Control Act or operations of the California State Lottery.

end delete

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

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

P2    1begin insert

begin insertSECTION 1.end insert  

end insert

begin insertSection 19911 of the end insertbegin insertBusiness and Professions
2Code
end insert
begin insert is amended to read:end insert

3

19911.  

begin deleteNo end deletebegin insert(a)end insertbegin insertend insertbegin insertA end insertperson underbegin delete the age ofend delete 21 yearsbegin insert of ageend insert shall
4begin insert notend insert be eligible for a work permit andbegin delete noend deletebegin insert aend insert permit shallbegin insert notend insert be issued
5to a person underbegin delete the age of 21 years.end deletebegin insert 21 years of age.end insert

begin insert

6(b) A person between 18 and 21 years of age may be employed
7to work in a gambling establishment, provided that he or she shall
8not work as a dealer, floor personnel, or any other employment
9classification that exclusively involves working on the floor of the
10gambling establishment. A person between 18 and 21 years of age
11may be employed in job classifications that entail providing
12services on and off the gaming floor that are not involved in play
13of any controlled game.

end insert
14begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 19921 of the end insertbegin insertBusiness and Professions Codeend insert
15begin insert is amended to read:end insert

16

19921.  

(a) begin deleteNo end deletebegin insertA end insertperson under 21 years of age shallbegin insert notend insert be
17permitted to enter upon the premises of a licensed gambling
18establishment, or any part thereof, except the following:

19(1) An area, physically separated from any gambling area, for
20the exclusive purpose of dining. For purposes of this subdivision,
21any place wherein food or beverages are dispensed primarily by
22vending machines shall not constitute a place for dining.

23(2) Restrooms.

24(3) A supervised room that is physically separated from any
25gambling area and used primarily for the purpose of entertainment
26or recreation.

27(4) A designated pathway to reach any of the areas described
28in paragraphs (1) to (3), inclusive. To the extent that the designated
P3    1pathway requires an individual to enter upon or pass through the
2gaming floor, all persons under 21 years of age shall be
3accompanied by a person over 21 years of age or be in the presence
4of a gambling establishment employee over 21 years of age.

begin insert

5(5) In accordance with subdivision (b) of Section 19911.

end insert

6(b) begin deleteNo end deletebegin insertA end insertperson under 21 years of age shallbegin insert notend insert be permitted to
7loiter in a gaming area.

begin delete
8

SECTION 1.  

Section 17539.1 of the Business and Professions
9Code
is amended to read:

10

17539.1.  

(a) The following unfair acts or practices undertaken
11by, or omissions of, any person in the operation of any contest or
12sweepstakes are prohibited:

13(1) Failing to clearly and conspicuously disclose, at the time of
14the initial contest solicitation, at the time of each precontest
15promotional solicitation, and each time the payment of money is
16required to become or to remain a contestant, the total number of
17contestants anticipated based on prior experience and the
18percentages of contestants correctly solving each puzzle used in
19the three most recently completed contests conducted by the person.
20If the person has not operated or promoted three contests he or she
21shall disclose for each prior contest, if any, the information required
22by this section.

23(2) Failing to promptly send to each member of the public, upon
24his or her request, the actual number and percentage of contestants
25correctly solving each puzzle or game in the contest most recently
26completed.

27(3) Misrepresenting in any manner the odds of winning any
28prize.

29(4) Misrepresenting in any manner, the rules, terms, or
30conditions of participation in a contest.

31(5) Failing to clearly and conspicuously disclose with all contest
32puzzles and games and with all promotional puzzles and games
33all of the following:

34(A) The maximum number of puzzles or games that may be
35necessary to complete the contest and determine winners.

36(B) The maximum amount of money, including the maximum
37cost of any postage and handling fees, that a participant may be
38asked to pay to win each of the contest prizes then offered.

39(C) That future puzzles or games, if any, or tie breakers, if any,
40will be significantly more difficult than the initial puzzle.

P4    1(D) The date or dates on or before which the contest will
2terminate and upon which all prizes will be awarded.

3(E) The method of determining prizewinners if a tie remains
4after the last tie breaker puzzle is completed.

5(F) All rules, regulations, terms, and conditions of the contest.

6(6) Failing to clearly and conspicuously disclose the exact nature
7and approximate value of the prizes when offered.

8(7) Failing to award and distribute all prizes of the value and
9type represented.

10(8) Representing directly or by implication that the number of
11participants has been significantly limited, or that any particular
12person has been selected to win a prize unless such is the fact.

13(9) Representing directly or by implication that any particular
14person has won any money, prize, thing, or other value in a contest
15unless there has been a real contest in which a meaningful
16percentage, which shall be at least a majority, of the participants
17in such contests have failed to win a prize, money, thing, or other
18value.

19(10) Representing directly or by implication that any particular
20person has won any money, prize, thing, or other value without
21disclosing the exact nature and approximate value thereof.

22(11) Using the word “lucky” to describe any number, ticket,
23coupon, symbol, or other entry, or representing in any other manner
24directly or by implication that any number, ticket, coupon, symbol,
25or other entry confers or will confer an advantage upon the recipient
26that other recipients will not have, that the recipient is more likely
27to win a prize than are others, or that the number, ticket, coupon,
28symbol, or other entry has some value that other entries do not
29have.

30(12) Using or offering for use any method intended to be used
31by a person interacting with an electronic video monitor to simulate
32gambling or play gambling-themed games in a business
33establishment that (A) directly or indirectly implements the
34predetermination of sweepstakes cash, cash-equivalent prizes, or
35other prizes of value, or (B) otherwise connects a sweepstakes
36player or participant with sweepstakes cash, cash-equivalent prizes,
37or other prizes of value. For the purposes of this paragraph,
38“business establishment” means a business that has any financial
39interest in the conduct of the sweepstakes or the sale of the products
40or services being promoted by the sweepstakes at its physical
P5    1location. This paragraph does not make unlawful game promotions
2or sweepstakes conducted by for-profit commercial entities on a
3limited and occasional basis as an advertising and marketing tool
4that are incidental to substantial bona fide sales of consumer
5products or services and that are not intended to provide a vehicle
6for the establishment of places of ongoing gambling or gaming.

7(13) Failing to obtain the express written or oral consent of
8individuals before their names are used for a promotional purpose
9in connection with a mailing to a third person.

10(14) Using or distributing simulated checks, currency, or any
11simulated item of value unless there is clearly and conspicuously
12printed thereon the words: SPECIMEN--NONNEGOTIABLE.

13(15) Representing, directly or by implication, orally or in
14writing, that any tie breaker puzzle may be entered upon the
15payment of money qualifying the contestant for an extra cash or
16any other type of prize or prizes unless:

17(A) It is clearly and conspicuously disclosed that the payments
18are optional and that contestants are not required to pay money,
19except for reasonable postage and handling fees, to play for an
20extra cash or any other type of prize or prizes; and

21(B) Contestants are clearly and conspicuously given the
22opportunity to indicate they wish to enter such phase of the contest
23for free, except for reasonable postage and handling fees the
24amount of which shall not exceed one dollar and fifty cents ($1.50)
25plus the actual cost of postage and which shall be clearly and
26conspicuously disclosed at the time of the initial contest solicitation
27and each time thereafter that the payment of such fees is required.
28The contestants’ opportunity to indicate they wish to enter for free
29shall be in immediate conjunction with and in a like manner as the
30contestants’ opportunity to indicate they wish to play for an extra
31prize.

32(b) For the purposes of this section, “sweepstakes” means a
33procedure, activity, or event, for the distribution, donation, or sale
34of anything of value by lot, chance, predetermined selection, or
35random selection that is not unlawful under other provisions of
36law, including, but not limited to, Chapter 9 (commencing with
37Section 319) and Chapter 10 (commencing with Section 330) of
38Title 9 of Part 1 of the Penal Code.

P6    1(c) This section does not apply to an advertising plan or program
2that is regulated by, and complies with, the requirements of Section
317537.1.

4(d) Nothing in this section shall be deemed to render lawful any
5activity that is unlawful pursuant to other law, including, but not
6limited to, Section 320, 330a, 330b, 330.1, or 337j of the Penal
7Code.

8(e) Nothing in this section shall be deemed to render unlawful
9or restrict otherwise lawful games, technologies, software, and
10methods used by a gambling enterprise licensed under the
11Gambling Control Act or operations of the California State Lottery.

end delete


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