BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 1682|
|Office of Senate Floor Analyses | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
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THIRD READING
Bill No: AB 1682
Author: Mark Stone (D), et al.
Amended: 8/10/16 in Senate
Vote: 21
SENATE JUDICIARY COMMITTEE: 7-0, 6/28/16
AYES: Jackson, Moorlach, Anderson, Hertzberg, Leno, Monning,
Wieckowski
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
ASSEMBLY FLOOR: 76-0, 4/14/16 (Consent) - See last page for
vote
SUBJECT: Confidential settlement agreements: sexual offenses
SOURCE: Author
DIGEST: This bill prohibits a confidentiality or secrecy
provision in a settlement agreement in a civil action for an act
of childhood sexual abuse or an act of sexual assault against an
elder or dependent adult, as specified, and makes a confidential
settlement agreement void as a matter of law and against public
policy, and subjects an attorney that fails to comply with the
requirements of the bill to discipline by the State Bar of
California.
Senate Floor Amendments of 8/10/16 clarify that a confidential
settlement agreement is one that "prevents the disclosure of
factual information related to the action" and fleshes out the
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specific attorney conduct which would subject an attorney to
investigation, and potentially discipline, by the State Bar.
ANALYSIS: Existing law prohibits a confidential settlement
agreement in any civil action the factual foundation for which
establishes a cause of action for civil damages for an act that
is a felony sex offense, but does not prohibit any of the
following:
1)An agreement that requires nondisclosure of the amount paid in
settlement of a claim;
2)An agreement preventing the defendant or any person acting on
the defendant's behalf from disclosing any medical information
or personal identifying information regarding the victim of
the felony sex offense or of any information revealing the
nature of the relationship between the victim and the
defendant; and
3)Any right of the crime victim to disclose his or her medical
information or personal information, or relationship to the
defendant. (Code Civ. Proc. Sec. 1002.)
This bill:
1)Prohibits a settlement agreement that prevents the disclosure
of factual information related to the action in a civil action
with a factual foundation establishing a cause of action for
civil damages for (1) an act of childhood sexual abuse, (2)
sexual exploitation of a minor, or (3) an act of sexual
assault against an elder or dependent adult, as specified.
2)Prohibits a court from entering an order, in any of civil
actions above, restricting disclosure of information in a
manner that conflicts with the provision above.
3)Repeals the provision specifying that a settlement agreement
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or stipulated agreement that requires nondisclosure of the
amount of money paid in settlement of a claim is not
prohibited.
4)Provides that a confidentiality or secrecy provision in a
settlement agreement, entered into on or after January 1,
2017, void as a matter of law and against public policy.
5)Provides that a confidentiality or secrecy provision in a
settlement agreement is void as a matter of law and against
public policy and that an attorney's failure to comply with
the requirements of the bill may be grounds for professional
discipline and as to be determined the State Bar of
California, as specified.
Background
Existing law disfavors the secret settlement of certain civil
actions in which the public has a strong interest. For example,
it is the policy of the State of California that confidential
settlement agreements are disfavored in any civil action based
on a violation of the Elder Abuse and Dependent Adult Civil
Protection Act (EADACPA). (Code Civ. Proc. Sec. 2017.310.) In
addition, confidential settlement of a civil action where the
factual basis for the action is "an act that may be prosecuted
as a felony sex offense" is prohibited.
Seeking to ensure that the perpetrators of other sexual crimes
are made known to the public, this bill prohibits the secret
settlement of civil actions involving the sexual abuse or
exploitation of minors, and the sexual abuse of elder or
dependent adults.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: No
SUPPORT: (Verified8/10/16)
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Attorney General Kamala D. Harris
Association for Los Angeles Deputy Sheriffs
Bay Area Women Against Rape
California Association of Code Enforcement Officers
California Coalition Against Sexual Assault
California College and University
California Police Chiefs Association
California Narcotic Officers Association
Center Against Sexual Assault of Southwest Riverside County
Center for Community Solutions
Coalition for Family Harmony
Conference of California Bar Associations
Consumer Attorneys of California
Kene Me-Wu Family Healing Center
Los Angeles County Professional Peace Officers Association
Los Angeles Police Protective League
Monterey County Rape Crisis Center
North County Rape Crisis and Child Protection Center
One SAFE Place
Project Sister Family Services
Riverside Sheriffs Association
Women's Center - Youth & Family Services
OPPOSITION: (Verified8/10/16)
None received
ARGUMENTS IN SUPPORT: In support, the Association for Los
Angeles Deputy Sheriffs writes:
Although minors cannot legally enter into contracts or be held
to settlements signed by their parents or guardians, secret
settlements likely discourage them from ever reporting their
abuse to law enforcement. Years later, after they are adults,
it may be too late for law enforcement to act because the
statute of limitation on charging the acts as crimes may have
passed. Secret settlements interfere with the prosecution of
predators and could endanger minors. By shielding cases from
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the public and law enforcement, secret settlements unfairly
allow convicted sexual offenders with the financial means to
pay for the silence of their victims in an attempt to escape
criminal prosecution. Such settlements also endanger other
potential victims by shielding such offenders from public
knowledge and scrutiny.
On behalf of California Attorney General Kamala D. Harris, the
California Department of Justice writes in support, "This bill
closes a perilous loophole in the law that allows perpetrators
of sexual abuse against children to evade full accountability by
negotiating confidential settlement agreements in civil actions.
By affirming that such provisions are in direct contrast with
the interests of public policy, AB 1682 will ensure that
California's laws conform with its commitment to defending the
welfare of its youngest residents."
ASSEMBLY FLOOR: 76-0, 4/14/16
AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,
Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,
Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley,
Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth
Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto,
Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper,
Roger Hernández, Holden, Jones, Jones-Sawyer, Kim, Lackey,
Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty,
Medina, Mullin, Obernolte, O'Donnell, Olsen, Patterson, Quirk,
Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark
Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams,
Wood, Rendon
NO VOTE RECORDED: Irwin, Levine, Melendez, Nazarian
Prepared by:Nichole Rapier / JUD. / (916) 651-4113
8/12/16 13:21:58
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