BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                       AB 1859|
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                                   THIRD READING 


          Bill No:  AB 1859
          Author:   Gallagher (R) 
          Amended:  8/18/16 in Senate
          Vote:     21 

           SENATE BUS., PROF. & ECON. DEV. COMMITTEE:  9-0, 6/27/16
           AYES:  Hill, Bates, Block, Gaines, Galgiani, Hernandez,  
            Jackson, Mendoza, Wieckowski

           SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8

           ASSEMBLY FLOOR:  76-0, 5/19/16 (Consent) - See last page for  
            vote

           SUBJECT:   Collateral recovery:  release of vehicle


          SOURCE:    California Association of Licensed Repossessors
          
          DIGEST:  This bill makes the definition of  assignment  
          synonymous with repossession order and makes other technical and  
          clarifying changes. 

          Senate Floor Amendments of 8/18/16 make the definition of  
          "assignment" synonymous with "repossession order."

          ANALYSIS:  
          
          Existing law:

           1) Establishes the Bureau of Security and Investigative  
             Services (BSIS) within the Department of Consumer Affairs  
             (DCA) to license and regulate repossessors under the  
             Collateral Recovery Act (Act).  (Business and Professions  
             (BPC) §§ 7500 - 7511)








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           2) Defines "assignment" as any written authorization by the  
             legal owner, lienholder, lessor, lessee, registered owner, or  
             the agent of any of them, to repossess any collateral,  
             including, but not limited to, collateral registered under  
             the Vehicle Code that is subject to a security agreement that  
             contains a repossession clause.  "Assignment" also means any  
             written authorization by an employer to recover any  
             collateral entrusted to an employee or former employee in  
             possession of the collateral.  (BPC § 7500.1(a))

          This bill:  

           1) Recasts the definition of "assignment" to also mean  
             "repossession order".

           2) Makes technical changes throughout the bill to reflect this  
             new terminology. 

           3) Makes other technical and clarifying changes.  
          
          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   Yes


          SUPPORT:   (Verified8/18/16)




          California Association of Licensed Repossessors (source)




          OPPOSITION:   (Verified8/18/16)


          None received


          ARGUMENTS IN SUPPORT:     The California Association of Licensed  








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                                                                    Page  3



          Repossessors (Sponsor) underscores that "this legislation would  
          revise the Collateral Recovery Act and the Vehicle Code to  
          enhance the consumer protections set forth in current laws, and  
          update the laws where appropriate."

          ASSEMBLY FLOOR:  76-0, 5/19/16
          AYES:  Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,  
            Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,  
            Calderon, Campos, 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, Irwin, Jones, Jones-Sawyer, Kim, Lackey,  
            Levine, Linder, Lopez, Low, Maienschein, Mayes, Medina,  
            Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,  
            Patterson, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago,  
            Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber,  
            Wilk, Wood, Rendon
          NO VOTE RECORDED:  Chang, Mathis, McCarty, Williams

          Prepared by:Mark Mendoza / B., P. & E.D. / (916) 651-4104
          8/19/16 18:53:58


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