BILL ANALYSIS Ó SB 142 Page 1 Date of Hearing: July 7, 2015 ASSEMBLY COMMITTEE ON PRIVACY AND CONSUMER PROTECTION Mike Gatto, Chair SB 142 (Jackson) - As Amended June 30, 2015 SENATE VOTE: 24-9 SUBJECT: Civil law: unmanned aerial vehicles. SUMMARY: Creates property rights in the airspace up to 350 feet above private property with regard to the use of an unmanned aircraft system (UAS). Specifically, this bill: 1)Creates a trespass violation for operating an unmanned aircraft or UAS less than 350 feet above ground over private property without consent or legal authority. 2)Clarifies that the bill does not impair or limit otherwise lawful activities of law enforcement personnel, employees of government agencies, or other public or private entities having a right of entry onto the private property. SB 142 Page 2 3)Clarifies that the bill is not intended to limit the rights and defenses available at common law under a trespass claim. 4)Defines "unmanned aircraft" and "unmanned aircraft system" consistent with Federal Aviation Administration (FAA) regulation. 5)Clarifies that the Public Utilities Code definition of "aircraft" does not include UAS. EXISTING LAW: 1)Requires, under the FAA Modernization and Reform Act of 2012, the FAA to integrate UAS into the national airspace system by September 30, 2015, and to develop and implement certification requirements for the operation of UAS in the national airspace system by December 31, 2015. (Public Law Number 112-095) 2)Establishes that ownership of real property (land or water) includes ownership of the airspace above the property, subject to the right of flight as permitted by federal authority. (Public Utilities (PU) Code Section 21402) 3)Specifies that flight by aircraft is lawful, unless at altitudes below those prescribed by federal authority. (PU 21403) 4)Defines "aircraft" to mean any manned contrivance used or SB 142 Page 3 designed for navigation of, or flight in, the air requiring certification and registration as prescribed by federal statute or regulation." (PU 21012) 5)Establishes damages for certain trespass claims, i.e., wrongful occupation of real property claims, as follows: a) The value of using the property, where the "value" is the greater of the reasonable rental value or the benefits obtained by the wrongful occupation; b) The reasonable cost of repair or restoration of the property to its original condition; and c) The costs, if any, of recovering possession. (Civil Code (CC) Section 3334) 6)Defines "physical invasion of privacy" as the knowing entry on the land of another without permission, or otherwise committed a trespass, in order to capture an image, sound recording or other impression in a private, personal, or familial activity and the invasion occurs in a manner that is offensive to a reasonable person. (CC 1708.8) 7)Defines "constructive invasion of privacy" in terms of attempting to capture, in a manner highly offensive to a reasonable person, any type of visual image, sound recording, or other physical impression of another person engaging in a personal or familial activity under circumstances in which the plaintiff had a reasonable expectation of privacy, through the use of a visual or auditory enhancing device, regardless of whether there was a physical trespass, if the image or SB 142 Page 4 recording could not have been achieved without a trespass unless the visual or auditory enhancing device was used. (CC 1708.8 (b)) FISCAL EFFECT: None. This bill has been keyed nonfiscal by the Legislative Counsel. COMMENTS: 1)Purpose of this bill . This bill seeks to protect personal privacy by restricting the use of UAS over private property up to a height of 350 feet, unless the operator has permission from the property owner or some other legal authority. This bill is author-sponsored. 2)Author's statement . According to the author, "Drones have a lot of potentially useful and extremely innovative uses, but invading our privacy and property without permission shouldn't be among them. When we're in our backyards, with our families, we have an expectation that we have a right to privacy. This bill extends these long-established definitions of trespassing and privacy, and brings them into the 21st century by applying them to drones. "Drone technology is exciting and offers great new commercial and recreational opportunities for Californians. But we need to make clear what the rules are, and avoid situations where people start crossing that line into someone else's private space. This bill attempts to clear up some of the ambiguity surrounding private property and drone operations by marking the boundary between public 'navigable airspace' and private property." SB 142 Page 5 3)The many uses of UAS . The FAA defines a UAS as an unmanned aircraft system and all of the associated support equipment, control stations, data links, telemetry, and communications and navigation equipment necessary to operate the unmanned aircraft. A UAS is flown either by a pilot via a ground control system or autonomously through use of an on-board computer. UAS are widely available to the public. Retail UAS devices outfitted with cameras now range from roughly $300 to $1,500. Commercial applications for UAS are growing exponentially. UAS gives the news media economical and environmentally-friendly access to aerial views of traffic, storms, and other events when compared to the current use of helicopters and other manned aircraft. UAS is used in the agricultural industry to observe and measure crops while conserving resources and avoiding the use of heavy equipment. And UAS may be the future delivery system for mail order and Internet companies. In fact, Amazon, the largest Internet-based retailer in the United States, plans to seek FAA approval for "PrimeAir" - a new delivery system that uses small UAS to deliver packages instead of using mail trucks. According to the Amazon.com website, the company has UAS delivery development and testing centers in the United States, the United Kingdom and Israel, but has no immediate plans for roll out. 4)FAA regulation of UAS . In 2012, Congress passed the FAA Modernization and Reform Act of 2012 (Act). The Act required the FAA to establish a framework for safely integrating UAS SB 142 Page 6 into the national airspace no later than September 30, 2015, and authorized the FAA to establish interim requirements for the commercial operation of UAS. Under the interim rules, UAS operators must meet certain standards and apply for a commercial use exemption and an FAA Certificate of Authorization (COA) in order to operate in in "navigable airspace," which is generally above 500 feet. According to the author's office, the FAA has granted COAs to operate UAS in navigable airspace to film production companies, construction firms, surveying and inspection companies, real estate marketing companies, and businesses from other industries. Federal, state and local government agencies, law enforcement, and public colleges and universities can also receive a COA from the FAA authorizing specific uses of UAS for specific time periods. Under a 1981 FAA advisory circular (AC 91-57), the FAA authorized the use of "small" UAS (under 55 pounds) for recreational purposes without a COA as long as the UAS is operated below 400 feet and at least five miles from an airport. However, on February 15, 2015, the FAA proposed a new framework of regulations to allow the use of small UAS in the airspace from the ground up to 500 feet. If enacted, the proposed rules would limit flights to non-recreational, daylight uses and would require the UAS pilot to maintain a visual line of sight with the UAS. The FAA has suggested that it may create a less strict regulatory framework for "micro" UAS (under 4.4 pounds). While the proposed FAA rules could potentially permit UAS uses from zero to 500 feet and may ultimately preempt state law, this bill would establish a property right in the airspace up SB 142 Page 7 to 350 feet directly above private property, so that UAS could not be flown at heights lower than 350 feet over private land, homes, or buildings. By drawing the line at 350 feet, the author intends to create a "transit zone in the airspace between 350 feet to 500 feet through which a UAS could travel over private property from one place to another without entering FAA-regulated national airspace. 5)Where should private property rights end ? California law gives property owners the rights to the airspaces above their land, subject to FAA rules for manned flights, i.e., airplanes, helicopters, and other aircraft with pilots on board. The Supreme Court has previously held that landowner rights to the airspace over property are limited. In United States v. Causby, the Court concluded in 1946 that the ancient common law doctrine "cuius est solum, eius est usqu ad coelom" (whoever owns the soil, it is theirs up to heaven and down to hell) had no place in the modern world. The Court rejected the unlimited reach above and below the earth established in the common law, but did not define a specific limit. Instead, the Court held that "if the landowner is to have full enjoyment of the land, he must have exclusive control of the immediate reaches of the enveloping atmosphere." Looking at the facts in Causby, the Court found that frequent military aircraft flights 83 feet above a chicken farm, which caused several of the chickens to die, violated the farmer's property rights under the takings clause of the Fifth Amendment of the U.S. Constitution. The Fifth Amendment itself states that "private property [shall not] be taken for public use, without just compensation." United States v. Causby, 328 U.S. 256 (1946). SB 142 Page 8 This bill establishes a specific statutory property right as to UAS use in the airspace above private property by making it a trespass violation to operate a UAS in the airspace over private property below 350 feet without permission. The author contends that 350 feet is a reasonable demarcation given that people should have a right to a UAS-free zone over their property, balanced with the need for a UAS transit zone below 500 feet, above which is generally reserved for manned flight under FAA regulations. This bill clarifies that law enforcement has the authority to use UAS over private property at any height, as provided by law. 6)The federal preemption issue. Once the FAA has finished promulgating regulations governing the use of UAS, a future court may find that those regulations preempt certain state laws - such as this one, if passed - but this remains uncertain. In fact, the Ninth Circuit has taken a somewhat narrow view of FAA preemption in recent decisions. In Montalvo v. Spirit Airlines, the Ninth Circuit held that federal law preempts state law aviation safety standards in areas in which the FAA has issued "pervasive regulations." In discussing the Montalvo case, the Ninth Circuit found that the specific FAA regulations relevant in the case were "pervasive" in that they were "specific," detail[ed]," "complete," "thorough" and "comprehensive" and that this pervasiveness evidenced Congressional intent to broadly preempt state law. Montalvo v. Spirit Airlines, 508 F.3d 464, 473 (9th Cir. 2007) SB 142 Page 9 Two years later, in Martin ex rel. Heckman v. Midwest Express Holdings, Inc., the Ninth Circuit further limited the scope of FAA preemption and held that state law was only preempted if the specific area covered by the plaintiff's tort claim was the subject of pervasive federal regulations. Martin ex rel. Heckman v. Midwest Express Holdings, Inc. 555 F.3d 806, 811 (9th Cir. 2009) (Source: "The Ninth Circuit's "Nuanced" Approach to FAA Preemption Leads to Greater Uncertainty and Invites Artful Pleading," Morrison Foerster Client Alert March 18, 2013) Nevertheless, while the issue of whether or not the final FAA regulations governing UAS will be sufficiently "pervasive" as to preempt state law remains unanswered, the immediate question is simple: should state law give homeowners and landowners the right to stop a UAS from flying over their property at heights lower than 350 feet? 7)Privacy and safety concerns . In a recent national survey conducted by Pew Research Center and the Smithsonian magazine, 63% of respondents said it would be a change for the worse "if personal and commercial drones are given permission to fly through most U.S. airspace." Privacy concerns were a frequent sentiment expressed by respondents. ("U.S. Views of Technology and the Future," Pew Research Center, April 17, 2014) News stories on UAS hovering outside windows and over backyards have proliferated as UAS devices have become more affordable to hobbyists. A recent NPR story told of a San Francisco resident whose wife was sitting in the living room SB 142 Page 10 and saw a UAS with a camera hovering outside the window. "She started hiding behind furniture because something's looking in at you ... and you're very self-conscious about that all of a sudden," said the resident. "I found myself doing the same thing. You're hiding behind your own furniture in your own house where you just had privacy prior." ("As Drones Fly In Cities and Yards, So Do the Complaints," NPR, May 12, 2014) The Los Angeles Times recently reported that two unidentified drones interfered with firefighter efforts to drop water and flame retardant on fires burning near residential areas in Southern California, leading to a delay in containing the fires. ("Lake Fire in San Bernardino National Forest Grows To Nearly 30,000 Acres," Los Angeles Times, June 26, 2015) Until a more comprehensive regulatory system is put in place, beginning with final FAA regulations, it is likely that growing recreational and hobbyist use will lead to more such incidents. 8)Prior actions by this Committee . AB 856 (Calderon), which passed this Committee 11-0 on May 5, 2015, permits a claim for physical invasion of privacy for intrusion into the airspace above private property. AB 856 does not define an upper boundary for the airspace protected, but a claim for physical invasion of privacy can only be pursued when a UAS is used to capture a visual image, sound recording, or other physical impression of that person engaging in a personal or familial activity. AB 56 (Quirk), which passed this Committee on a 6-0 vote on April 14, 2015, is consistent with this bill, because it permits the use of UAS over private property if the operator has permission or legal authority. In addition to this bill, this Committee will hear two other UAS bills on July 7, 2015: SB 170 (Gaines), which bans flying SB 142 Page 11 UAS over prisons and jails at any height for security reasons, and SB 271 (Gaines), which limits the use of UAS over schools below 350 feet. 9)Arguments in support . The Privacy Rights Clearinghouse states, "The emergence of drone technology has created many new opportunities for Californians' privacy to be invaded in ways that could not be imagined several years ago. No longer is trespass limited to activities occurring at ground level. Drones operating under the command of others can effortlessly fly over fences and other structures meant to exclude others, allowing individuals to invade areas of the home traditionally protected from prying eyes. This bill extends liability for wrongful occupation of real property and damages to a person who without permission operates an [UAS] below the navigable airspace (lower than 350 feet) overlaying the real property." The California Police Chiefs Association writes, "We share your goal of extending liability for wrongful occupation of real property and damages to a person who without permission operates a [UAS] below the navigable airspace (lower than 350 feet) overlaying real property?[UAS] technology is evolving rapidly and it is important that our civil laws be updated to protect our citizens' privacy. At the same time, it is also important that we not impede legitimate law enforcement investigations that may utilize [UAS] technology. We believe that your SB 142, as amended, strikes the necessary balance." 10)Arguments in opposition . According to the California State Association of Counties(CSAC) Excess Insurance Authority, which provides insurance to California counties, "public SB 142 Page 12 entities are exposed to numerous forms of litigation on an annual basis. Such cases can take years to resolve and result in the expenditure of significant sums of public funds that could otherwise be used in the community. SB 142 creates yet another avenue of potential liability. Presently, SB 142 offers no immunity for public entities for the use of [UAS]. Thus, if this bill is passed, anytime a public entity operates an [UAS], it will be subject to one or more claims for damages from persons who own the real property over which the [UAS] is flying." 11)Related legislation . AB 14 (Waldron) creates the Unmanned Aircraft Systems Task Force, comprised of 10 members. AB 14 failed passage in the Assembly Transportation Committee on a 5-9 vote. AB 56 (Quirk) regulates the use of UAS by public agencies, including law enforcement. AB 56 passed the Assembly on a 61-12 vote and will be heard in the Senate Public Safety Committee on July 7, 2015. AB 856 (Calderon) expands the scope of the cause of action in existing law for physical invasion of privacy by making a person liable for physical invasion of privacy when the person knowingly enters "into the airspace" above the land of another person without permission. AB 856 passed the Assembly on a 78-0 vote and is currently pending in the Senate Judiciary Committee. SB 142 Page 13 SB 170 (Gaines) creates a felony crime for the use of a UAS to deliver contraband into a prison or county jail and creates a misdemeanor crime for the use of UAS over a prison or capture images of a prison. SB 170 passed the Senate on a 40-0 vote and will be heard in the Assembly Privacy and Consumer Protection Committee on July 7, 2015. SB 262 (Galgiani) authorizes a law enforcement agency to use a UAS if it complies with the U.S. Constitution and the California Constitution, federal law applicable to the use of UAS by a law enforcement agency, state law applicable to a law enforcement agency's use of surveillance technology that can be attached to a UAS, and if the local governing board approves the use. SB 262 was held in the Senate Judiciary Committee. SB 271 (Gaines) prohibits the use of UAS at or less than 350 feet above a public school campus or to use a UAS to capture images of school campus during school hours without the written permission of the school principal. SB 271 passed the Senate on a 37-0 vote and will be heard in the Assembly Privacy and Consumer Protection Committee on July 7, 2015. 12)Prior legislation . AB 1256 (Bloom), Chapter 852, Statutes of 2014, created a cause of action for the capture of a visual image or sound recording of another person with the use of an enhanced visual or audio device liable for "constructive" invasion of privacy, and made it illegal, and subject to civil liability, to attempt to obstruct, intimidate, or otherwise interfere with a person who is attempting to enter or exit a school, medical facility, or lodging, as defined. SB 142 Page 14 AB 2306 (Chau), Chapter 858, Statutes of 2014, expanded a person's potential liability for constructive invasion of privacy, by removing the limitation that the person use a visual or auditory enhancing device, and instead made the person liable when using any device to engage in the specified unlawful activity. SB 606 (De León), Chapter 348, Statutes of 2013, increased the penalties for the intentional harassment of a child or ward of another person because of that person's employment and it specified that conduct occurring during the attempt to capture a child's image or voice may constitute harassment if specified conditions occur. SB 15 (Padilla) of 2013 would have imposed a search warrant requirement on law enforcement agency use of a UAS in certain circumstances, would have applied existing civil and criminal law to prohibited activities with devices or instrumentalities affixed to, or contained within a UAS, and would have prohibited equipping a UAS with a weapon, and would have prohibited using a UAS to invade a person's privacy. SB 15 failed passage in the Assembly Public Safety Committee. AB 524 (Bass), Chapter 499, Statutes of 2009, amended the "invasion of privacy" statute so that a person who sells, transmits, publishes, or broadcasts an image, recording, or physical impression of someone engaged in a personal or familial activity violates the state's "invasion of privacy" statute. Previously, the statute had only applied to the person who wrongfully obtained the image, recording, or physical impression, but not necessarily the entity that sold or published the image, recording, or impression. 13)Double-referral . This bill was double-referred to the Assembly Judiciary Committee, where it will be heard if it SB 142 Page 15 passes this Committee. REGISTERED SUPPORT / OPPOSITION: Support California Police Chiefs Association Privacy Rights Clearinghouse Opposition CSAC Excess Insurance Authority Analysis Prepared by:Jennie Bretschneider / P. & C.P. / (916) 319-2200