BILL ANALYSIS Ó AB 1671 Page 1 Date of Hearing: April 19, 2016 Counsel: Sandy Uribe ASSEMBLY COMMITTEE ON PUBLIC SAFETY Reginald Byron Jones-Sawyer, Sr., Chair AB 1671 (Gomez) - As Amended April 12, 2016 As Proposed to be Amended in Committee SUMMARY: Makes it a crime to intentionally disclose, distribute, or attempt to disclose or distribute, in any manner, and for any purpose, the contents of a confidential communication after illegally obtaining it. Specifically, this bill: 1)Provides that a person who illegally records a confidential communication and then intentionally discloses or attempts to disclose, or distributes or attempts to distribute, its contents in any manner, in any form, including but not limited to Internet Web sites and social media, is guilty of a crime. 2)Provides that a person who employs or directs another person to unlawfully record a confidential communication, or to use or disclose that communication shall also face criminal liability. 3)Punishes the disclosure or publishing of illegally recorded confidential communications, or the aiding and abetting thereof, as follows: a) For a first offense, the punishment is a fine not AB 1671 Page 2 exceeding $2,500 per violation, or imprisonment in a county jail not exceeding one year, or in the state prison, or by both that fine and imprisonment; and b) For a second or subsequent conviction, the punishment is a fine not exceeding $10,000 per violation, by imprisonment in a county jail not exceeding one year, or in the state prison, or by both that fine and imprisonment. 4)Defines "social media" as "an electronic service or account, or electronic content, including, but not limited to, videos or still photographs, blogs, video blogs, podcasts, instant and text messaging, email, online services or accounts, or Internet Web site profiles or locations." 5)Clarifies that the fines for the crimes of illegal recording of a confidential communication and the use or disclosure of illegally recorded confidential communications apply per violation. EXISTING LAW: 1)Makes it a crime to intentionally and without the consent of all parties to a confidential communication eavesdrop or record that confidential communication. (Pen. Code, § 632, subd. (a).) 2)Punishes eavesdropping or recording confidential communications as an a fine of up to $2,500, or imprisonment in the county jail for up to one year, or as a felony with imprisonment in county jail under Realignment, or both. A subsequent conviction can result in a fine of up to $10,000 and imprisonment in the state prison. (Pen. Code, § 632, subd. (a).) 3)Defines "confidential communication" as "any communication carried on in circumstances as may reasonably indicate that any party to the communication desires it to be confined to the parties thereto, but excludes a communication made in a public gathering or in any legislative, judicial, executive or administrative proceeding open to the public, or in any other circumstance in which the parties to the communication may AB 1671 Page 3 reasonably expect that the communication may be overheard or recorded." (Pen. Code, § 632, subd. (c).) FISCAL EFFECT: Unknown COMMENTS: 1)Author's Statement: According to the author, "AB 1671 updates the law to account for the harm created by broad dissemination over the internet. It aligns the law on unauthorized recording of confidential communications with the law on misappropriation of trade secrets. And it aligns California law with the law of other states that prohibit interception and disclosure of confidential wire, oral, or electronic communications." 2)First Amendment Issues: The First Amendment gives the free press the protection it must have to fulfill its essential role in democracy. (New York Times Co. v. United States (1971) 403 U.S. 713, 717.) Accordingly, "prior restraints on speech and publication are the most serious and the least tolerable infringement on First Amendment rights." (Nebraska Press Assn. v. Stuart (1976) 427 U.S. 539, 559.) "The damage can be particularly great when the prior restraint falls upon the communication of news and commentary on current events." (Ibid.) In Bartniki v. Vopper (2001) 532 U.S. 514, the United States Supreme Court held that the First Amendment provides protection to speech that discloses the contents of an illegally intercepted communication by parties who did not participate in the illegal interception. In Bartniki, an unknown person illegally recorded a phone call between two union leaders about a teachers' strike. Some journalists obtained the recording and then published the contents of the conversation. The labor leaders sued the journalists under federal and state eavesdropping statutes. (Id. at pp. 518-519.) The Supreme Court relieved the journalists of liability. The Court noted that the parties who made the disclosure to the public were not involved in the illegal interception. Additionally, the media defendants AB 1671 Page 4 lawfully obtained the tapes even though they knew the information was itself illegally intercepted. (Id. at pp. 524-525.) The Court also emphasized that the defendants published truthful information about a matter of public importance. (Id. at p. 525.) The Court concluded, "a stranger's illegal conduct does not suffice to remove the First Amendment shield from speech about a matter of public concern. (Id. at p. 535.) This bill imposes criminal liability on a person who employs or directs another to unlawfully record a confidential communication, or on the subsequent distribution of that unlawful recording. Does this leave the media vulnerable to prosecution for distributing or reporting on the illegally recorded communication? Should there be an explicit exception for the media and for whistleblowers? 3)Double Punishment: Penal Code section 654 provides "An act or omission that is punishable in different ways by different provisions of law shall be punished under the provision that provides for the longest potential term of imprisonment, but in no case shall the act or omission be punished under more than one provision." The purpose of the statute "is to ensure that a defendant's punishment is commensurate with his culpability and that he is not punished more than once for what is essentially one criminal act." (People v. Kwok (1998) 63 Cal.App.4th 1236, 1252.) Although on its face section 654 precludes multiple punishments for a single act or omission, case law also applies it to an indivisible course of conduct. (People v. Deloza (1998) 18 Cal.4th 585, 591.) "'Whether a course of criminal conduct is divisible and therefore gives rise to more than one act within the meaning of section 654 depends on the intent and objective of the actor. If all of the offenses were incident to one objective, the defendant may be punished for any one of such offenses but not for more than one.' (Neal v. State of California (1960) 55 Cal.2d 11, 19.)" (People v. Kwok, supra, 63 Cal.App.4th at p. 1253.) "Whether the acts of which a defendant has been convicted constitute an indivisible course of conduct is a question of fact for the trial court." (Id. at pp. 1252-1253.) AB 1671 Page 5 This bill criminalizes the distribution of an illegally recorded confidential communication by the person who made the illegal recording. Arguably, much of the time, the intent and objective of a person who records a confidential communication would be to distribute that recording to others. Nevertheless, there can be cases in which there was no intent to disclose or when that intent was formed at a later place in time such that it there was a divisible course of conduct. This bill, as proposed to be amended, does not require multiple punishment for the act of illegally recording and for the illegal distribution stemming from that act. However, in the appropriate case, depending on the facts and circumstances, the defendant might be punished for both offenses. 4)Argument in Support: According to Planned Parenthood, the sponsor of this bill, "This bill will amend California's invasion of privacy law (Penal Code §§630-638.53), which currently prohibits the distribution or disclosure of illegal taped conversations. "This bill grew out of our unfortunate experience last summer when the Center for Medical Progress published on the internet a series of video recordings it had made surreptitiously at confidential conferences or in private conversations with medical providers. These recordings were manipulated heavily to create a narrative entirely different than the full tapes revealed. They suggested Planned Parenthood had broken the law, although a federal judge and two dozen state investigations have concluded that Planned Parenthood broke no law. "Planned Parenthood has been targeted unjustly as a result of these illegal, heavily edited videotapes, when then served as a catalyst for a malicious smear campaign. Because California's invasion of privacy law only prohibits the taping, but not the distribution or disclosure, CMP was able to publish manipulated snippets of the tapes on the internet and widely disseminate them to legislatures and the press. The harm from these disclosures, as we all experienced, was cataclysmic. Medical providers received death threats, health AB 1671 Page 6 centers experienced nine times the number of security threats than the previous year, and the resulting vitriol culminated in a shooting in Colorado that left three dead. "The bill is modeled after similar statutes in other states that extend penalties to use and disclosure as well as taping without consent. In addition, it follows the way penalties work for misappropriation of trade secrets, another statutory scheme that penalizes unauthorized disclosure of confidential information. This bill would strengthen the existing law and align California's law with other states. It would create further deterrents to protect the privacy rights of California citizens and allow those damaged by the disclosures greater recourse for the harm caused." 5)Arguments in Opposition: a) According to the California Newspaper Publishers Association, "Laws that restrict speech based on content must be narrowly tailored to serve a compelling government interest. As proposed, AB 1671 is a content-based regulation that is overbroad, vague, and would have a chilling effect on the First Amendment and newsgathering activity. "Consider this example: A whistleblower unlawfully records a conversation documenting a wealthy developer bribing a government official. The whistleblower discloses that information to a reporter who regularly covers the affected public agency. The reporter then emails the recording to her editor and the newsroom lawyer to see if they should report on the recording. It's a matter of high public concern, and the newspaper posts the video online with a story reporting the facts. "Under current law, there is one violation of law-the unlawful recording. Under the new criminal law proposed by AB 1671, the reporter, editor, lawyer, and newspaper publisher could all be prosecuted for 'permitting' or 'causing to be done' the distribution of this recording that depicts a matter of high public concern. AB 1671 Page 7 "Most troubling, this proposal contains no intent requirement. The reporter would be liable for a violation of proposed § 632 .01 whether or not the she knows the recording was illegally made. This strict liability standard would have egregious results, which exemplifies the overbroad nature of this proposal. "The Supreme Court squarely addressed this scenario in Bartnicki v. Vopper, which involved the repeated disclosure of an illegally intercepted conversation by a newspaper that did not participate in the act of unlawful interception. The Court overturned a Pennsylvania statute that criminalized the distribution of an illegally recorded conversation as an unconstitutional restraint on speech, noting that the 'naked prohibition against disclosures' can be 'fairly characterized as a regulation of pure speech.' "Furthermore, this law would unfairly disadvantage a California journalist from reporting on issues within the state that other media across the country is permitted to cover, and which may have been viewed by millions of people. This constitutes an unlawful prior restraint and is patently unconstitutional. "AB 1671 seeks to criminalize the exchange of information. It exposes the media and individuals alike to criminal penalties for simply pushing the send button on an email. And it ties the hands of California journalists whose job is to report on issues of public concern. "Newspapers are not in the business of conspiring with others to commit crimes, but they are in the business of reporting facts. As framed, this bill would substantially impair a newspaper's ability to report facts, and overwhelmingly chill readers' ability to understand the basics about newsworthy events that occur in their communities." b) According to the Animal Legal Defense Fund (ALDF), "For nearly four decades ALDF has worked within the legal system to protect the lives and advance the interests of animals. ALDF accomplishes this work by strengthening anticruelty provisions and assisting prosecutors in their enforcement, AB 1671 Page 8 bringing civil litigation to enforce civil laws and regulations that govern the humane treatment of animals and protect the environment and the public health, and by submitting regulatory filings or otherwise working with local, state, and federal agencies to ensure the proper protection of animals, the environment, and the public health. "To accomplish these goals, ALDF-like many similarly situated nonprofits-both conducts and relies upon undercover investigations. Such investigations are frequently the only way the public can ascertain the true nature of business practices that exploit animals, pollute the environment, and threaten the public health. We use the information obtained during undercover investigations to file lawsuits, to petition government agencies to bring enforcement actions or to improve their regulations, to seek criminal prosecutions, and otherwise to generate important public discourse on matters of great public concern. So important is our ability to obtain and to utilize such information that ALDF has filed no fewer than three federal lawsuits against states that have sought to criminalize the collecting and/or use of information about agricultural practices. Indeed, we have already won one such lawsuit, against the State of Idaho, on the basis that their 'Ag-Gag' law violates the First Amendment and violates the equal protection clause of the Fourteenth Amendment. "As a result of the public good that these undercover investigations accomplish, ALDF opposes A.B. 1671, which would create new liability not only for this organization but for many similarly situated public interest organizations and journalists. The chilling effect on journalism and public discourse will be substantial and almost certainly in violation of the First Amendment's specific protection for speech and activity in preparation of speech." REGISTERED SUPPORT / OPPOSITION: Support AB 1671 Page 9 Planned Parenthood Affiliates of California (Sponsor) California Women's Law Center Community Action Fund, Planned Parenthood Orange & San Bernardino Co. Planned Parenthood Action Fund of the Pacific Southwest Planned Parent Action Fund of Santa Barbara, Venture & San Luis Obispo Co. Planned Parenthood Advocacy Project Los Angeles Co. Planned Parenthood Advocates Pasadena & San Gabriel Valley Planned Parenthood Mar Monte Planned Parenthood Northern California Action Fund Opposition Animal Legal Defense Fund California Broadcasters Association California Newspaper Publishers Association Electronic Frontier Foundation Motion Picture Association of America, Inc. The Media Coalition Analysis Prepared by: Sandy Uribe / PUB. S. / (916) 319-3744