BILL ANALYSIS                                                                                                                                                                                                    Ó





                             SENATE JUDICIARY COMMITTEE
                         Senator Hannah-Beth Jackson, Chair
                             2015-2016  Regular  Session


          SB 1087 (Anderson)
          Version: February 17, 2016
          Hearing Date: April 12, 2016  
          Fiscal: No
          Urgency: No
          RD   


                                        SUBJECT
                                           
                      Evidence:  production of business records

                                      DESCRIPTION  

          Existing law provides for a simplified procedure by which a  
          party can produce business records pursuant to a subpoena duces  
          tecum and allows for the recovery of reasonable costs by a  
          nonparty witness who produces such records accordingly.  This  
          bill would additionally authorize a custodian of business  
          records to comply with a search warrant for certain business  
          records in the same manner as a subpoena duces tecum and would  
          also require that the production of those records be accompanied  
          by a specified affidavit attesting to the same information that  
          is currently required for records produced pursuant to a  
          subpoena duces tecum. This bill would also make various changes  
          to the provision relating to the recovery of reasonable costs  
          incurred by nonparty witnesses producing records pursuant to a  
          subpoena duces tecum.  

                                      BACKGROUND  

          In 1959, to alleviate the burden on businesses to provide an  
          officer or employee to testify in court to the authenticity of a  
          business record, the California Legislature authorized a simpler  
          procedure for the ordinary case whereby a business could  
          introduce a copy of the subpoenaed record, with an affidavit in  
          lieu of authenticating testimony.  (See Evid. Code Sec. 1560 et  
          seq.; see also 2 Witkin Cal. Evidence, Documentary Evidence,  
          Sec. 50.)  While the special procedure generally applies in any  
          proceeding in which testimony can be compelled (Evid. Code Sec.  








          SB 1087 (Anderson)
          Page 2 of ? 

          1566), it is not available if the business is a party to the  
          action or is the place where a cause of action is alleged to  
          have arisen (Evid. Code Sec. 1560(b)). 

          Under this special procedure, on service of a subpoena duces  
          tecum (a writ by the court generally ordering a witness to  
          appear and to bring specified documents, records, or things),  
          unless the personal attendance of the custodian and production  
          of the original records is specifically required, the custodian  
          of records or other qualified witness may deliver to the clerk  
          (or to the judge if there is no clerk) or to the officer taking  
          a deposition, by mail or otherwise, a true, legible and durable  
          copy of all the records described.  (Evid. Code Sec. 1560(b).)   
          The records must also be accompanied by an affidavit of the  
          custodian or other qualified witness, stating the facts  
          essential to the foundation, including, among other things, that  
          the copy is a true copy of all records described in the subpoena  
          duces tecum or that the records were delivered to the attorney,  
          the attorney's representative, or a deposition officer for  
          copying at the custodian's or witness's place of business  
          pursuant to specified law.  (Evid. Code Sec. 1561(a).)   
          Relatedly, California law authorizes a nonparty witness to  
          recover all reasonable costs incurred in producing business  
          records pursuant to a subpoena duces tecum from the party that  
          served the subpoena duces tecum for those records.  

          This bill would now add simplified procedures for the production  
          of records pursuant to a search warrant that would be  
          substantially similar to the simplified procedures that  
          currently exist for the production of records pursuant to a  
          subpoena duces tecum, and makes other clarifying changes  
          throughout these sections, including the section allowing for  
          the recovery of reasonable costs by a nonparty witness who  
          complies with a subpoena duces tecum. 

          This bill was heard by the Senate Public Safety Committee on  
          March 29, 2016, and was passed out on a vote of 7-0. 

                                CHANGES TO EXISTING LAW
           
          1.    Existing law  , in relevant part, provides that the process  
            by which a witness's attendance is required is the subpoena,  
            which is a writ or order directed to a person, requiring his  
            or her attendance at a particular time and place to testify as  
            a witness.  The subpeona may require a witness to bring any  







          SB 1087 (Anderson)
          Page 3 of ? 

            books, documents, electronically stored information, or other  
            things under the witness's control which the witness is bound  
            by law to produce in evidence.  Existing law further provides  
            that a copy of an affidavit shall be served with a subpoena  
            duces tecum issued before trial, showing good cause for the  
            production of the matters and things described in the subpoena  
            and specifying certain information.  (Code Civ. Proc. Sec.  
            1985(a), (b).)  

             Existing law  provides that, except where personal attendance  
            of the custodian or other qualified witness and production of  
            the original records is required, when a subpoena duces tecum  
            is served upon the custodian of records or other qualified  
            witness of a business in an action in which the business is  
            neither a party nor the place where any cause of action is  
            alleged to have arisen and the subpoena requires the  
            production of all or any part of the records of the business,  
            the custodian or other qualified witness may deliver by mail  
            or otherwise a true, legible, and durable copy of all of the  
            records described in the subpoena to the clerk of the court or  
            to another person authorized under law, together with the  
            required affidavit, as specified, within certain time periods.  
             (Evid. Code Sec. 1560(b), (c).)
             Existing law  requires the records to be accompanied by an  
            affidavit of the custodian or other qualified witness, stating  
            in substance certain information, such as:
                 the affiant is the duly authorized custodian of the  
               records or other qualified witness and has authority to  
               certify the records;
                 the copy is a true copy of all the records described in  
               the subpoena duces tecum or, pursuant to specified law, the  
               records were delivered to the attorney, the attorney's  
               representative, or deposition officer for copying at the  
               custodian's or witness' place of business, as the case may  
               be; and
                 the records were prepared by the personnel of the  
               business in the ordinary course of business at or near the  
               time of the act, condition, or event.  (Evid. Code Sec.  
               1561(a).)  

             This bill  would, in addition, provide that if a search warrant  
            for business records is served upon the custodian of records  
            or other qualified witness of a business in connection with an  
            action or investigation in which the business is neither a  
            party nor the place where any cause of action is alleged to  







          SB 1087 (Anderson)
          Page 4 of ? 

            have arisen and the search warrant provides the warrant will  
            be deemed executed if the business causes the delivery of  
            records described in the warrant to the law enforcement agency  
            executing the warrant, then the custodian or other qualified  
            witness may deliver by mail or otherwise a true, legible, and  
            durable copy of all of the records described in the search  
            warrant to that law enforcement agency, together with the  
            affidavit required, above, within certain time periods.  This  
            bill would specify that this authorization does not abridge or  
            limit the scope of specified Penal Code search warrant  
            procedures or invalidate otherwise duly executed search  
            warrants.

             This bill  would make conforming changes to the information  
            that must be contained in the accompanying affidavit, above,  
            to ensure that the affidavit reflects whether the copy is a  
            true copy of all the records described in the search warrant.   


          2.    Existing law  provides that all "reasonable costs" incurred  
            in a civil proceeding by any nonparty witness with respect to  
            the production of all or any part of business records  
            requested pursuant to a subpoena duces tecum may be charged  
            against the party serving the subpoena duces tecum.   
            "Reasonable costs" for these purposes shall include, but not  
            be limited to, the following specific costs:  
                 $0.10 per page for standard reproduction of documents of  
               a specified size; 
                 $0.20 per page for copying of documents from microfilm; 
                 actual costs for the reproduction of oversize documents  
               or the reproduction of documents requiring special  
               processing which are made in response to a subpoena; 
                 reasonable clerical costs incurred in locating and  
               making the records available to be billed at the maximum  
               rate of $24 per hour per person, computed on the basis of  
               $6 per quarter hour or fraction thereof; 
                 actual postage charges; and 
                 the actual cost, if any, charged to the witness by a  
               third person for the retrieval and return of records held  
               offsite by that third person.  (Evid. Code Sec. 1563(b),  
               (b)(1).)  

             Existing law  prescribes a specified fee for records that are  
            delivered to the attorney, the attorney's representative, or  
            the deposition officer for inspection or photocopying at the  







          SB 1087 (Anderson)
          Page 5 of ? 

            witness' place of business.  (Evid. Code Sec. 1563(b)(6).) 

             This bill  would, instead, provide that all reasonable costs  
            incurred in a civil proceeding by any nonparty witness with  
            respect to the production of all or any part of business  
            records requested pursuant to a subpoena duces tecum shall be  
            charged against the party serving the subpoena duces tecum.   
            This bill would further clarify that the records referenced  
            above are the records requested pursuant to a subpoena duces  
            tecum (i.e., not a search warrant). 
             
            This bill  would also make other technical and clarifying  
            changes to these provisions.  

                                        COMMENT
           
          1.   Stated need for the bill  

          According to the author: 

            When a prosecuting office is doing a criminal investigation,  
            most business records are obtained via search warrant because  
            there is very limited subpoena power until criminal charges  
            are actually filed.  In fact, it's not uncommon for records to  
            be destroyed between the date the search warrant is executed  
            and the time charges are eventually filed.

            Business records, whether produced pursuant to a subpoena or  
            search warrant, are usually provided with an accompanying  
            affidavit intended to comply with Evidence Code sections  
            1560-1562. If the records were produced in response to a  
            subpoena, these sections govern admissibility of the records  
            at trial without live testimony from the custodian of record.

            Unfortunately, since sections 1560 and 1561 only refer to the  
            admissibility of documents obtained by subpoena and not by  
            search warrant, the search warrant records may not be admitted  
            at trial without testimony by the custodian of records-even if  
            the exact same records are produced and even if they are  
            provided with the exact same affidavit.  [ . . . ]

            SB 1087 seeks to solve this problem by amending the Evidence  
            Code to refer to documents obtained by search warrants as well  
            as subpoena.  This would remove an artificial barrier to  
            admissibility, promote trial efficiency by eliminating an  







          SB 1087 (Anderson)
          Page 6 of ? 

            otherwise unnecessary witness (and a hearing on the subpoena),  
            and save resources for the court as well as the businesses  
            that comply with records requests.

          2.    Bill clarifies that reasonable costs can be recovered by  
            the nonparty witness when producing records pursuant to a  
            subpoena duces tecum, but not a search warrant  

          Existing law provides for a simplified procedure by which a  
          party can produce business records pursuant to a subpoena duces  
          tecum and authorizes all reasonable costs incurred by a nonparty  
          witness producing records pursuant to a subpoena duces tecum in  
          a civil proceeding to be charged to the party serving the  
          subpoena duces tecum, as specified.  This bill would now  
          additionally authorize a custodian of business records to comply  
          with a search warrant for certain business records in the same  
          manner as a subpoena duces tecum.  This bill would also clarify  
          that the "records" for which reasonable costs can be recovered  
          are those records produced pursuant to a subpoena duces  
          tecum-not records produced pursuant to a search warrant.  
                                
          3.   Suggested amendments  

          The following technical amendments would address (1) a drafting  
          error and (2) ensure that the list of reasonable costs is not  
          exhaustive: 

             Technical amendments  : 

            (1) On page 4, line 15, strike "section" and insert  
            "subdivision" 

            (2) On page 5, line 21, strike "includes" and insert  
            "includes, but is not limited to"


           Support  :  California Police Chiefs Association

           Opposition  :  None Known 

                                        HISTORY
           
           Source  :  California District Attorneys Association









          SB 1087 (Anderson)
          Page 7 of ? 

           Related Pending Legislation  :  None Known 

           Prior Legislation  :  None Known 

           Prior Vote  :  Senate Public Safety Committee (Ayes 7, Noes 0)

                                   **************