BILL NUMBER: SB 340	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Anderson

                        FEBRUARY 23, 2015

   An act to amend Sections 2103, 2104, 2107, and 2110 of the Family
Code, relating to dissolution.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 340, as introduced, Anderson. Dissolution: disclosure.
   Existing law requires each party to a proceeding for dissolution
of marriage or legal separation to serve on the other party a
preliminary declaration of disclosure of assets, as specified, and a
final declaration of disclosure, as specified. Existing law requires
each party to serve a preliminary declaration of disclosure either
concurrently with the petition for dissolution, or within 60 days of
filing the petition for dissolution of marriage. Existing law
specifies, in the case of a default judgment, that a petitioner shall
not be required to serve or receive a final declaration of
disclosure, but a preliminary declaration of disclosure by the
petitioner is still required.
   This bill would provide that a preliminary declaration of
disclosure is not required by a petitioner if the petitioner served
the summons and petition by publication or posting pursuant to court
order and the respondent has defaulted. The bill would require, when
a petitioner has served the summons and petition by publication or
posting pursuant to court order and the respondent files a response
prior to default judgment being entered, the petitioner to serve the
respondent with a preliminary declaration of disclosure within 30
days of the response being filed. The bill would make other related,
conforming changes.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 2103 of the Family Code is amended to read:
   2103.  In order to provide full and accurate disclosure of all
assets and liabilities in which one or both parties may have an
interest, each party to a proceeding for dissolution of the marriage
or legal separation of the parties shall serve on the other party a
preliminary declaration of disclosure under Section  2104
  2104,   unless service of the preliminary
declaration of disclosure is  not required pursuant to
Section 2110,  and a final declaration of disclosure under
Section 2105, unless service of the final declaration of disclosure
is waived pursuant to Section 2105 or 2110, and shall file proof of
service of each with the court.
  SEC. 2.  Section 2104 of the Family Code is amended to read:
   2104.  (a) Except by court order for good cause, as provided in
Section 2107,    or when service of the preliminary
declaration of disclosure is  not required pursuant to
Section 2110,  in the time period set forth in subdivision (f),
each party shall serve on the other party a preliminary declaration
of disclosure, executed under penalty of perjury on a form prescribed
by the Judicial Council. The commission of perjury on the
preliminary declaration of disclosure may be grounds for setting
aside the judgment, or any part or parts thereof, pursuant to Chapter
10 (commencing with Section 2120), in addition to any and all other
remedies, civil or criminal, that otherwise are available under law
for the commission of perjury. The preliminary declaration of
disclosure shall include all tax returns filed by the declarant
within the two years prior to the date that the party served the
declaration.
   (b) The preliminary declaration of disclosure shall not be filed
with the court, except on court order. However, the parties shall
file proof of service of the preliminary declaration of disclosure
with the court.
   (c) The preliminary declaration of disclosure shall set forth with
sufficient particularity, that a person of reasonable and ordinary
intelligence can ascertain, all of the following:
   (1) The identity of all assets in which the declarant has or may
have an interest and all liabilities for which the declarant is or
may be liable, regardless of the characterization of the asset or
liability as community, quasi-community, or separate.
   (2) The declarant's percentage of ownership in each asset and
percentage of obligation for each liability  where 
 when  property is not solely owned by one or both of the
parties. The preliminary declaration may also set forth the declarant'
s characterization of each asset or liability.
   (d) A declarant may amend his or her preliminary declaration of
disclosure without leave of the court. Proof of service of any
amendment shall be filed with the court.
   (e) Along with the preliminary declaration of disclosure, each
party shall provide the other party with a completed income and
expense declaration unless an income and expense declaration has
already been provided and is current and valid.
   (f) The petitioner shall serve the other party with the
preliminary declaration of disclosure either concurrently with the
petition for dissolution, or within 60 days of filing the petition.
 When a petitioner serves the summons and petition by publication
or posting pursuant to court order and the respondent files a
response prior to a default judgment being entered, the petitioner
shall serve the other party with the preliminary declaration of
disclosure within 30 days of the response being filed.  The
respondent shall serve the other party with the preliminary
declaration of disclosure either concurrently with the response to
the petition, or within 60 days of filing the response. The time
periods specified in this subdivision may be extended by written
agreement of the parties or by court order.
  SEC. 3.  Section 2107 of the Family Code is amended to read:
   2107.  (a) If one party fails to serve on the other party a
preliminary declaration of disclosure under Section  2104
  2104,   unless that party is not required to
serve a preliminary declaration of disclosure pursuant to Section
2110,  or a final declaration of disclosure under Section 2105,
or fails to provide the information required in the respective
declarations with sufficient particularity, and if the other party
has served the respective declaration of disclosure on the
noncomplying party, the complying party may, within a reasonable
time, request preparation of the appropriate declaration of
disclosure or further particularity.
   (b) If the noncomplying party fails to comply with a request under
subdivision (a), the complying party may do one or more of the
following:
   (1) File a motion to compel a further response.
   (2) File a motion for an order preventing the noncomplying party
from presenting evidence on issues that should have been covered in
the declaration of disclosure.
   (3) File a motion showing good cause for the court to grant the
complying party's voluntary waiver of receipt of the noncomplying
party's preliminary declaration of disclosure pursuant to Section
2104 or final declaration of disclosure pursuant to Section 2105. The
voluntary waiver does not affect the rights enumerated in
subdivision (d).
   (c) If a party fails to comply with any provision of this chapter,
the court shall, in addition to any other remedy provided by law,
impose money sanctions against the noncomplying party. Sanctions
shall be in an amount sufficient to deter repetition of the conduct
or comparable conduct, and shall include reasonable attorney's fees,
costs incurred, or both, unless the court finds that the noncomplying
party acted with substantial justification or that other
circumstances make the imposition of the sanction unjust.
   (d) Except as otherwise provided in this subdivision, if a court
enters a judgment when the parties have failed to comply with all
disclosure requirements of this chapter, the court shall set aside
the judgment. The failure to comply with the disclosure requirements
does not constitute harmless error. If the court granted the
complying party's voluntary waiver of receipt of the noncomplying
party's preliminary declaration of disclosure pursuant to paragraph
(3) of subdivision (b), the court shall set aside the judgment only
at the request of the complying party, unless the motion to set aside
the judgment is based on one of the following:
   (1) Actual fraud if the defrauded party was kept in ignorance or
in some other manner was fraudulently prevented from fully
participating in the proceeding.
   (2) Perjury, as defined in Section 118 of the Penal Code, in the
preliminary or final declaration of disclosure, in the waiver of the
final declaration of disclosure, or in the current income and expense
statement.
   (e) Upon the motion to set aside judgment, the court may order the
parties to provide the preliminary and final declarations of
disclosure that were exchanged between them. Absent a court order to
the contrary, the disclosure declarations shall not be filed with the
court and shall be returned to the parties.
  SEC. 4.  Section 2110 of the Family Code is amended to read:
   2110.  In the case of a default judgment, the petitioner may waive
the final declaration of disclosure requirements provided in this
chapter, and shall not be required to serve a final declaration of
disclosure on the respondent nor receive a final declaration of
disclosure from the respondent. However, a preliminary declaration of
disclosure by the petitioner is  required.  
required unless the petitioner served the summons and petition by
publication or posting pursuant to court order and the respondent has
defaulted.