BILL NUMBER: SB 1015 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 25, 2006
AMENDED IN ASSEMBLY APRIL 19, 2006
AMENDED IN ASSEMBLY APRIL 17, 2006
AMENDED IN ASSEMBLY MARCH 9, 2006
AMENDED IN ASSEMBLY FEBRUARY 16, 2006
AMENDED IN SENATE AUGUST 30, 2005
AMENDED IN SENATE AUGUST 17, 2005
AMENDED IN SENATE AUGUST 15, 2005
AMENDED IN SENATE JULY 1, 2005
INTRODUCED BY Senator Murray
FEBRUARY 22, 2005
An act to amend Section 2024.6 of , and to add Section 2024.7
to, the Family Code, and to amend Section 68085.1 of the
Government Code, relating to dissolution of marriage, and
declaring the urgency thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
SB 1015, as amended, Murray Dissolution of marriage: financial
declarations.
(1) Existing law permits a party to request
that documents listing or identifying the parties' assets and
liabilities be sealed in specified family law proceedings, including
dissolution of marriage.
This bill would revise those provisions to include documents
listing or identifying the parties' income or expenses, permit
specified portions of those records to be redacted, subject to a
finding by the court, and make related changes. This bill would
additionally require the court, upon request of a party, to redact
the social security number, residence address, and certain financial
information of a party, as specified. This bill would require the
Judicial Council to adopt rules governing procedures for redacting
and restoring those records. This bill would require
the Judicial Council, if funds are appropriated, to conduct a study
regarding gender fairness in the family courts and report the results
of the study to the Legislature, as specified. This bill would
make legislative findings and declarations relating to dissolution
of marriage and financial information.
(2) Existing law requires that certain fees and fines collected by
superior courts be deposited into a bank account established by the
Administrative Office of the Courts for distribution, as specified,
with the balance deposited in the Trial Court Trust Fund in the State
Treasury.
This bill would permit the Judicial Council to charge and collect
a reasonable fee to recover the actual costs of redaction and file
maintenance. This bill would require those fees to be deposited in
the Trial Court Trust Fund.
This bill would declare that it is to take effect immediately as an
urgency statute.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares as follows:
(a) The fundamental right of privacy protects against unwarranted
intrusion into private financial affairs, including those affairs
disclosed in a dissolution of marriage, nullity of marriage, or legal
separation proceeding.
(b) The law of this state requires any party to a proceeding for
dissolution of marriage, nullity of marriage, or legal separation to
disclose fully in documents that are filed with the court hearing
that proceeding, thereby becoming a matter of public record, detailed
and sensitive financial information, including the nature, extent,
and location of the party's assets, liabilities, income ,
or expenses, and information, such as social security numbers and
bank account numbers, that can be used to identify and locate the
party's assets, liabilities, income or expenses.
(c) The sensitive financial information that the law compels a
party to a proceeding for dissolution of marriage, nullity of
marriage, or legal separation to disclose into the public record is
subject to use for improper purposes, particularly including ,
but not limited to, the burgeoning crime of identity theft.
(d) Much of existing law concerning the redaction and sealing of
court records was enacted or otherwise promulgated prior to the
current epidemic of identity theft and the widespread use of
electronic databases, containing sensitive financial and other
personal information, which data is vulnerable to misuse. Recently
enacted federal legislation protects and guards against the misuse of
personal information, including the risk of child abduction,
stalking, kidnapping, and harassment by third parties. Existing state
law is inadequate to protect these widespread privacy concerns.
(e) Local court rules regarding the disclosure of sensitive
financial information vary from county to county. This act is
intended to provide uniformity with respect thereto.
(f) For these reasons, the Legislature finds that existing law
concerning the redaction and sealing of court records does not
adequately protect the right of privacy in financial and marital
matters to which parties to a proceeding for dissolution of marriage,
nullity of marriage, or legal separation are entitled. It is the
intent of the Legislature to protect more fully their right of
privacy while acknowledging and balancing the public's right of
access to public records and judicial proceedings. Accordingly, in
proceedings for dissolution of marriage, nullity of marriage, or
legal separation, the Legislature finds that unnecessary public
disclosure of financial assets, liabilities, income, expenses and
residential addresses raises a substantial probability of prejudice
to a financial privacy interest that overrides the public's right of
access to court records. The Legislature further finds that the
redaction of documents containing the above information is the least
restrictive means of protecting the financial privacy interest of the
parties while recognizing the public's right of access to court
records.
SEC. 2. Section 2024.6 of the Family Code is amended to read:
2024.6. (a) Notwithstanding any other provision of law and except
as described in subdivision (d), upon request by a party to a
proceeding for dissolution of marriage, nullity of marriage, or legal
separation, the court shall order redacted the specified portion of
a pleading filed with the court that lists the parties' financial
assets, liabilities, income, or expenses, or provides the location
of, including a residential address, or identifying information
about, those assets, liabilities, income, or expenses, if the court
expressly finds facts that establish all of the following:
(1) There exists an overriding interest that overcomes the public'
s right of access to public records.
(2) The overriding interest supports redaction of the pleading or
portion of a pleading.
(3) A substantial probability exists that the overriding interest
will be prejudiced if the pleading is not redacted.
(4) The proposed redaction is narrowly tailored.
(5) No less restrictive means exist to achieve the overriding
interest.
(b) In making the determination described in subdivision (a), the
court shall balance a particularized showing of the public interest
in open access to judicial proceedings against the asserted privacy
rights of spouses, children, and other interested parties.
(c) Except as described in subdivision (d) and subject to the
direction of the court, no more of any pleading shall be redacted
than is necessary to protect the parties' overriding right to
privacy. The request under this section shall be made by noticed
motion. Nothing redacted pursuant to this section may be restored
except upon petition to the court and a showing of good cause.
(d) Upon the request of a party, the court shall order redacted
from a pleading all of the following information regarding a party to
the proceeding:
(1) A social security number.
(2) The address of a residence unless that address is
provided as the address for service of process of a party .
(3) The name on, and account number and balance of, a bank
account, brokerage account, or an account at any other financial
institution.
(4) Annual salary or income.
(5) Net worth.
(e) (1) Commencing not later than July 1,
2007, the Judicial Council form used to declare assets and
liabilities and income and expenses of the parties in a proceeding
for dissolution of marriage, nullity of marriage, or legal separation
of the parties shall require the party filing the form to state
whether the declaration contains identifying information on the
assets, liabilities, income, or expenses listed therein. If the party
making the request pursuant to subdivision (a) uses a pleading other
than the Judicial Council form, the pleading shall exhibit a notice
on the front page, in bold capital letters, that the pleading lists
or identifies financial information and is therefore subject to this
section. By the same date, the Judicial Council shall also adopt
rules setting forth the procedures to be used for redacting and
restoring pleadings pursuant to this section.
(2) The Judicial Council may also adopt a rule to authorize the
court to charge a reasonable fee to recover the actual cost of
redaction described in subdivision (d). Those fees may include, but
are not limited to, administrative costs and expenses incurred by the
court for the time court personnel spend on redaction and file
maintenance. Any fees collected pursuant to this paragraph shall be
deposited in the Trial Court Trust Fund as described in Section
68085.1 of the Government Code.
(f) For purposes of this section, "pleading" means a document
filed with the court that sets forth or declares the assets,
liabilities, income, or expenses of one or both of the parties,
including, but not limited to, a marital settlement agreement
exhibit, schedule, transcript, or any document incidental to a
declaration or marital settlement agreement that lists or identifies
financial information.
(g) The party requesting redaction of a pleading pursuant to
subdivision (a) shall serve a copy of the unredacted pleading, a
proposed redacted pleading and the request for redaction on the other
party or parties to the proceeding and file the proof of service
with the request for redaction with the court.
(h) Nothing in this section precludes a party to a proceeding
described in this section from using any document or information
contained in a pleading redacted pursuant to this section in any
manner that is not otherwise prohibited by law.
(i) Nothing in this section precludes a law enforcement or
government regulatory agency that is otherwise authorized to access
public records from accessing unredacted pleadings.
(j) All information redacted pursuant to this section shall be
made available to and used by the Judicial Council only for
statistical purposes as described in Section 2024.7.
SEC. 3. Section 2024.7 is added to the
Family Code , to read:
2024.7. The Judicial Council shall, if funds are appropriated for
that purpose, conduct a study regarding gender fairness in the
family courts, which shall include an analysis of the information
redacted pursuant to Section 2024.6. The Judicial Council shall
report the results of the study to the Legislature 18 months after
receiving that appropriation, and every 10 years thereafter.
SEC. 4. Section 68085.1 of the
Government Code is amended to read:
68085.1. (a) This section applies to all fees and fines that are
collected on or after January 1, 2006, under all of the following:
(1) Sections 177.5, 209, 403.060, 491.150, 631.3, 683.150,
704.750, 708.160, 724.100, 1134, 1161.2, and 1218 of, subdivision (g)
of Section 411.20 and subdivisions (c) and (g) of Section 411.21 of,
and Chapter 5.5 (commencing with Section 116.110) of Title 1 of Part
1 of, the Code of Civil Procedure.
(2) Paragraph (2) of subdivision (e) of Section 2024.6 of the
Family Code.
(3) Section 31622 of the Food and
Agricultural Code.
(3)
(4) Sections 68086 and 68086.1, subdivision
(d) of Section 68511.3, Sections 68926.1 and 69953.5, and Chapter 5.8
(commencing with Section 70600).
(4)
(5) Section 103470 of the Health and Safety
Code.
(5)
(6) Subdivisions (b) and (c) of Section 166
and Section 1214.1 of the Penal Code.
(6)
(7) Sections 1835, 1851.5, 2343, 7660, and
13201 of the Probate Code.
(7)
(8) Sections 14607.6, 16373, and 40230 of the
Vehicle Code.
(8)
(9) Section 71386 of this code and Section
1513.1 of the Probate Code, if the reimbursement is for expenses
incurred by the court.
(b) On and after January 1, 2006, each superior court shall
deposit all fees and fines listed in subdivision (a), as soon as
practicable after collection and on a regular basis, into a bank
account established for this purpose by the Administrative Office of
the Courts. Upon direction of the Administrative Office of the
Courts, the county shall deposit civil assessments under Section
1214.1 of the Penal Code and any other money it collects under the
sections listed in subdivision (a) as soon as practicable after
collection and on a regular basis into the bank account established
for this purpose and specified by the Administrative Office of the
Courts. The deposits shall be made as required by rules adopted by,
and financial policies and procedures authorized by, the Judicial
Council under subdivision (a) of Section 77206. Within 15 days after
the end of the month in which the fees and fines are collected, each
court, and each county that collects any fines or fees under
subdivision (a), shall provide the Administrative Office of the
Courts with a report of the fees by categories as specified by the
Administrative Office of the Courts. The fees and fines listed in
subdivision (a) shall be distributed as provided in this section.
(c) (1) Within 45 calendar days after the end of the month in
which the fees and fines listed in subdivision (a) are collected, the
Administrative Office of the Courts shall make the following
distributions:
(A) To the small claims advisory services, as described in
subdivision (f) of Section 116.230 of the Code of Civil Procedure.
(B) To dispute resolution programs, as described in subdivision
(b) of Section 68085.3 and subdivision (b) of Section 68085.4.
(C) To the county law library funds, as described in Sections
116.230 and 116.760 of the Code of Civil Procedure, subdivision (b)
of Section 68085.3, subdivision (b) of Section 68085.4, and Section
70621 of this code, and Section 14607.6 of the Vehicle Code.
(D) To the courthouse construction funds in the Counties of
Riverside, San Bernardino, and San Francisco, as described in
Sections 70622, 70624, and 70625.
(2) If any distribution under this subdivision is delinquent, the
Administrative Office of the Courts shall add a penalty to the
distribution as specified in subdivision (i).
(d) Within 45 calendar days after the end of the month in which
the fees and fines listed in subdivision (a) are collected, the
amounts remaining after the distributions in subdivision (c) shall be
transmitted to the State Treasury for deposit in the Trial Court
Trust Fund and other funds as required by law. This remittance shall
be accompanied by a remittance advice identifying the collection
month and the appropriate account in the Trial Court Trust Fund or
other fund to which it is to be deposited. Upon the receipt of any
delinquent payment required under this subdivision, the Controller
shall calculate a penalty as provided under subdivision (i).
(e) From the money transmitted to the State Treasury under
subdivision (d), the Controller shall make deposits as follows:
(1) Into the State Court Facilities Construction Fund, the Judges'
Retirement Fund, and the Equal Access Fund, as described in
subdivision (c) of Section 68085.3 and subdivision (c) of Section
68085.4.
(2) Into the Health Statistics Special Fund, as described in
subdivision (b) of Section 70670 of this code and Section 103730 of
the Health and Safety Code.
(3) Into the Family Law Trust Fund, as described in Section 70674.
(4) The remainder of the money shall be deposited into the Trial
Court Trust Fund.
(f) The amounts collected by each superior court under Section
116.232, subdivision (g) of Section 411.20, and subdivision (g) of
Section 411.21 of the Code of Civil Procedure, subdivision (d) of
Section 68511.3 and Sections 68926.1, 69953.5, 70627, 70631, 70640,
70661, 70678, and 71386 of this code, and Sections 1513.1, 1835,
1851.5, and 2343 of the Probate Code, shall be added to the monthly
apportionment for that court under subdivision (a) of Section 68085.
(g) If any of the fees provided in subdivision (a) are partially
waived by court order or otherwise reduced, and the fee is to be
divided between the Trial Court Trust Fund and any other fund or
account, the amount of the reduction shall be deducted from the
amount to be distributed to each fund in the same proportion as the
amount of each distribution bears to the total amount of the fee. If
the fee is paid by installment payments, the amount distributed to
each fund or account from each installment shall bear the same
proportion to the installment payment as the full distribution to
that fund or account does to the full fee.
(h) Except as provided in Sections 470.5 and 6322.1 of the
Business and Professions Code, and Sections 70622, 70624, and 70625
of this code, no agency may take action to change the amounts
allocated to any of the funds described in subdivision (c), (d), or
(e).
(i) The amount of the penalty on any delinquent payment under
subdivision (c) or (d) shall be calculated by multiplying the amount
of the delinquent payment at a daily rate equivalent to 11/2 percent
per month for the number of days the payment is delinquent. The
penalty shall be paid from the Trial Court Trust Fund.
(j) If a delinquent payment under subdivision (c) or (d) results
from a delinquency by a superior court under subdivision (b), the
court shall reimburse the Trial Court Trust Fund for the amount of
the penalty. Notwithstanding Section 77009, any penalty on a
delinquent payment that a court is required to reimburse pursuant to
this section shall be paid from the court operations fund for that
court. The penalty shall be paid by the court to the Trial Court
Trust Fund no later than 45 days after the end of the month in which
the penalty was calculated. If the penalty is not paid within the
specified time, the Administrative Office of the Courts may reduce
the amount of a subsequent monthly allocation to the court by the
amount of the penalty on the delinquent payment.
SEC. 3. SEC. 5. This act is an
urgency statute necessary for the immediate preservation of the
public peace, health, or safety within the meaning of Article IV of
the Constitution and shall go into immediate effect. The facts
constituting the necessity are:
Because of the imminent threat of identity theft posed by current
law and to protect the right of privacy guaranteed by the federal and
state constitutions, with respect to dissolution proceedings, it is
necessary that this act take effect immediately.