BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 524
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 524 (Bass)
          As Amended September 2, 2009
          Majority vote 
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |55-14|(June 2, 2009)  |SENATE: |25-15|(September 8,  |
          |           |     |                |        |     |2009)          |
           ----------------------------------------------------------------- 
            
           Original Committee Reference:    B. & P.  

           SUMMARY  :  Seeks to provide greater protection to the privacy  
          interests of all Californians by amending existing law 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.  Specifically,  this bill  :  

          1)Provides that the transmission, publication, broadcast, sale,  
            offer for sale, or other use of any visual image, sound  
            recording, or other physical impression that was obtained in  
            violation of California's existing invasion of privacy  
            statute, shall not constitute a violation of the statute  
            unless the person, in the first transaction following the  
            taking or capture of the image, recording or other impression,  
            publicly transmitted, published, broadcast, sold or offered  
            for sale, the image, recording or other impression with actual  
            knowledge that they were unlawfully obtained, in violation of  
            the invasion or privacy statute, and provided compensation,  
            consideration, or remuneration, monetary or otherwise, for the  
            rights to the unlawfully obtained image, recording, or  
            impression. 

          2)Defines "actual knowledge" to mean actual awareness,  
            understanding, and recognition, obtained prior to the time at  
            which purchased or acquired the image, recording, or  
            impression, that the image, recording, or impression was  
            unlawfully obtained.

          3)Specifies that any person that publicly transmits, publishes,  
            broadcasts, sells or offers for sale, an image, recording, or  
            impression that was previously publicly transmitted,  
            published, broadcast, sold or offered by for sale, by another  
            person, is exempt from liability under this section. 








                                                                  AB 524
                                                                  Page  2


          4)Specifies that the provisions of this bill apply only to  
            images, recordings, or impression that is captured or taken in  
            California. 

          5)Makes legislative findings and declarations as to the problem  
            of photographers, videographers, and audio recorders  
            harassing, invading the privacy interest, and sometimes even  
            physically endangering individuals and their families in order  
            to capture images and recordings for commercial purposes.   
            Finds and declares further that the right of a free press to  
            report details of an individual's private life must be weighed  
            against the rights of the individual to enjoy liberty and  
            privacy.

           The Senate amendments  : 

          1)Clarify that a person who transmits, publishes, broadcasts,  
            sells, or otherwise uses images, recordings, and impressions  
            obtained in violation of the invasion of privacy statute does  
            not violate the statute unless it is the first such  
            transaction after the unlawful capturing, and that  
            transmitting, publishing, broadcasting, or selling images,  
            recordings, or impressions that have already been transmitted,  
            published, broadcast, or sold is not a violation of the  
            statute. 

          2)Define "actual knowledge" for purposes of this bill. 

          3)Provide that persons who violate the provisions of this bill,  
            or solicit or induce others to do so, will be subject to a  
            civil fine of not less than $5,000 and not more than $50,000,  
            and provides a mechanism for allocating those fines.  
           
          EXISTING LAW  : 

          1)Recognizes four distinct categories of the tort of "invasion  
            of privacy:" (a) intrusion upon a plaintiff's seclusion or  
            solitude; b) public disclosure of private facts; c) publicity  
            that places the plaintiff in a "false light;" and, d)  
            appropriation of a plaintiff's likeness or image for the  
            defendant's advantage. Identifies the required elements of a  
            tort of "intrusion" as a) intrusion into a private place,  
            conversation, or matter; and, b) in a manner highly offensive  
            to a reasonable person.  (Turnbull v. ABC, 2004 U.S. Dist.  








                                                                  AB 524
                                                                  Page  3

            LEXIS 24351.)  

          2)Makes it a crime to eavesdrop upon or record a confidential  
            communication, intentionally and without the consent of all  
            parties, by means of an electronic amplifying or recording  
            device.  Makes the offense punishable by a fine not exceeding  
            $2,500, or imprisonment in the county jail not exceeding one  
            year.  Further provides that a person who violates this  
            provision may also be liable in a civil action by a person  
            injured by the violation.  

          3)Makes a person liable for "physical invasion of privacy" for  
            knowingly entering onto the land of another person or  
            committing a trespass in order to physically invade the  
            privacy of another person with the intent to capture any type  
            of visual image, sound recording, or other physical impression  
            of that person engaging in a personal or familial activity;  
            and, the physical invasion occurs in a manner that is  
            offensive to a reasonable person.  

          4)Makes a person liable for "constructive invasion of privacy"  
            for 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  
            recording could not have been achieved without a trespass  
            unless the visual or auditory enhancing device was used.  

          5)Specifies that for purposes of the above provisions, the sale,  
            transmission, publication, broadcast, or use of any image or  
            recording shall not itself constitute a violation of the  
            statute, but neither shall anything in the statute be  
            construed to limit any other rights or remedies that a  
            plaintiff may have in law and equity.  

          6)Provides that a person who violates the statute for a  
            commercial purpose shall, in addition to any other damages or  
            remedies provided, be subject to disgorgement to the plaintiff  
            or any proceeds or other consideration obtained as a result of  
            the violation of this section.  

          7)Provides that a person, who directs, solicits, induces, or  








                                                                  AB 524
                                                                  Page  4

            causes another person, regardless of whether there is an  
            employer-employee relationship, to commit a violation of the  
            statute, is liable for any general, special, and consequential  
            damages resulting from each violation.  

          8)Generally exempts from the statute any lawful activities of  
            law enforcement personnel or employees of governmental  
            agencies or other entities engaged any lawful investigation,  
            surveillance, or monitoring activity.   

           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar  
          to the version approved by the Senate.  

          FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, pursuant to Senate Rule 28.8, negligible state costs.
           
          COMMENTS  :  This privacy protection bill seeks to deter the most  
          egregious activities of so-called "paparazzi" by cutting off at  
          the source the financial incentives that often presumably drive  
          the worst and sometimes extremely dangerous behavior.  Existing  
          law creates a statutory cause of action for "invasion of  
          privacy" that imposes liability on any person who:  1) intrudes  
          upon the private space of another person; 2) in order to capture  
          images or recordings of that person engaging in a personal or  
          familial activity; and, 3) in a manner that is offensive to a  
          reasonable person.  However, while existing law makes the actual  
           capture  , or attempted capture, of the image or recording a  
          violation, the statute currently expressly states that the  
          selling, transmitting, publishing, or broadcasting of the image  
          or recording is not, by itself, a violation - unless the person  
          publishing the image or recording has actually solicited or  
          directed the culprit to violate the statute.  This bill would  
          amend California's existing "invasion of privacy" by making  
          liable any person who sells, publishes, or broadcasts the image  
          or recording, if that person has actual knowledge the images or  
          recordings were obtained illegally and provided compensation,  
          consideration, or remuneration, monetary or otherwise, for the  
          use of, or rights to, the unlawfully obtained images or  
          recordings.

          As such, this measure touches the core of one of the most  
          complex areas of constitutional law: The delicate tension  
          between the individual's right to privacy, including the right  
          to prevent disclosure of private facts, and the First Amendment  
          that protects anyone's uninhibited right to publish truthful  








                                                                  AB 524
                                                                  Page  5

          information about a matter of public concern.  A key  
          constitutional issue raised by this bill is whether the state  
          can, consistent with the First Amendment, prohibit the  
          publication of material that has been unlawfully obtained.   
          Although existing state and federal case law is not conclusive  
          on this point, it does suggest the three following conclusions:   
          1) that unlawful actions by themselves do not implicate the  
          First Amendment since they are not forms of speech or  
          expression; 2) that publication of even unlawfully obtained  
          information implicates the First Amendment; but, 3) that laws  
          that prohibit the disclosure of unlawfully obtained information,  
          where the one disclosing knows or has reason to know that it was  
          unlawfully obtained, are not necessarily facially  
          unconstitutional, but may be found to be unconstitutional as  
          applied, especially where the information is of a matter of  
          genuine public concern. 

           
          Analysis Prepared by  :  Thomas Clark / JUD. / (916) 319-2334 

                                                                FN: 0003025