BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  AB 568
          Author:   Lieu (D)
          Amended:  9/4/09 in Senate
          Vote:     21

           
           SENATE JUDICIARY COMMITTEE  :  4-0, 7/14/09
          AYES:  Corbett, Harman, Florez, Leno
          NO VOTE RECORDED:  Walters

           SENATE APPROPRIATIONS COMMITTEE  :  8-0, 8/17/09
          AYES:  Kehoe, Cox, Corbett, Denham, Leno, Oropeza, Runner,  
            Wolk
          NO VOTE RECORDED:  Hancock, Price, Walters, Wyland, Yee

           ASSEMBLY FLOOR  :  76-0, 5/28/09 (Consent) - See last page  
            for vote


           SUBJECT  :    Counterfeit goods:  abatement

           SOURCE  :     Los Angeles County District Attorney


           DIGEST  :    This bill provides that every nonresidential  
          building or place used for the purpose of willfully  
          manufacturing, intentionally selling, or knowingly  
          possessing for sale nay counterfeit goods is a nuisance  
          which shall be enjoined, abated, and prevented, and for  
          which damages may be recovered.  This bill permits a  
          district attorney, city attorney, or any citizen or  
          resident to bring an action to abate and prevent the  
          nuisance and perpetually enjoin the person conducting or  
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          maintaining the nuisance.  This bill sunsets on January 1,  
          2015.

           Senate Floor Amendments  of 9/4/09 strike the current  
          provisions of the bill which incorporate existing nuisance  
          abatement remedies and procedures and instead cross  
          reference those existing remedies and procedures with a few  
          revisions.  These amendments also make the order of  
          abatement discretionary rather than mandatory by striking  
          language requiring that the nuisance be abated.  The  
          amendments also make other conforming change

           ANALYSIS  :    Existing law provides that every building or  
          place used for the purpose for illegal gambling, lewdness,  
          assignation, or prostitution, and every building or place  
          wherein or upon which these acts take place, is a nuisance  
          that shall be enjoined, abated, and prevented, whether it  
          is a public or private nuisance. 

          Existing law authorizes a district attorney, city attorney,  
          or citizen, as specified, to maintain an action to abate  
          and prevent the nuisance and perpetually to enjoin the  
          person conducting or maintaining it, and the owner, lessee,  
          or agent of the building or place in or upon which the  
          nuisance exists from directly or indirectly maintaining or  
          permitting the nuisance.

          This bill provides that if a person is convicted of a  
          specified crime, then a nonresidential building or place  
          used by that person for the purpose of willfully  
          manufacturing, intentionally selling, or knowingly  
          possessing for sale any counterfeit goods, defined to  
          include counterfeit of a registered mark or any recording  
          or audiovisual work, the cover, box, jacket, or label of  
          which does not disclose specified information, shall be  
          deemed a nuisance that may be enjoined, abated.

          This bill makes certain remedies and procedures in existing  
          law, a violation of which is a crime, relative to the  
          abatement of buildings or places where a nuisance exists  
          applicable to these provisions.

          The bill requires a district attorney, city attorney, or  
          city prosecutor that maintains an action or actions to  







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          enjoin, abate, or prevent a nuisance pursuant to these  
          provisions to report, by October 1, 2013, to the Senate and  
          Assembly Committees on Judiciary on their use of these  
          abatement provisions and their effectiveness. 

          The bill's provisions becomes inoperative on January 1,  
          2015.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

           SUPPORT  :   (Verified  9/4/09)

          Los Angeles County District Attorney (source)
          American Federation of State, County, and Municipal  
          Employees, AFL-CIO
          California Peace Officers' Association
          California Police Chiefs Association
          Central City Association of Los Angeles
          City of Los Angeles
          Los Angeles Area Chamber of Commerce
          Motion Picture Association of America
          Peace Officers Research Association
          Sony Pictures Entertainment

           OPPOSITION  :    (Verified  9/4/09)

          American Civil Liberties Union 

           ARGUMENTS IN SUPPORT  :    The Los Angeles County District  
          Attorney's Office, sponsor of this bill, asserts that the  
          bill will provide law enforcement with important new tools,  
          including injunctions, abatement orders, and civil  
          penalties.  This bill is based upon existing narcotics  
          abatement law and the sponsor explains that the law has  
          been successfully used by prosecutors and private litigants  
          in California since 1992.  Also, California's Red Light  
          Abatement Law, which grants local authorities increased  
          powers by declaring a property used for unlawful purposes a  
          public nuisance, has been used successfully to combat  
          prostitution, according to the sponsor.  The sponsor  
          believes that this bill will similarly enhance the power of  
          local authorities to combat counterfeiting and piracy.








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           ARGUMENTS IN OPPOSITION  :    The American Civil Liberties  
          Union (ACLU) opposes the bill, arguing that, while  
          counterfeiting may be unlawful, it does not constitute a  
          nuisance to tenants or neighbors in the same manner as  
          prostitution, illegal drugs, or illegal weapons.  The ACLU  
          writes, "by extending the 'public nuisance' designation to  
          counterfeiting and sales, it is hard to imagine which  
          illegal activities could not be considered a public  
          nuisance."

           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Arambula, Beall, Bill  
            Berryhill, Tom Berryhill, Blakeslee, Block, Blumenfield,  
            Brownley, Buchanan, Caballero, Charles Calderon, Carter,  
            Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon,  
            DeVore, Emmerson, Eng, Feuer, Fletcher, Fong, Fuentes,  
            Fuller, Furutani, Gaines, Galgiani, Garrick, Gilmore,  
            Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Huber,  
            Huffman, Jeffries, Jones, Knight, Krekorian, Lieu, Logue,  
            Bonnie Lowenthal, Ma, Miller, Monning, Nava, Niello,  
            Nielsen, John A. Perez, V. Manuel Perez, Portantino,  
            Price, Ruskin, Salas, Saldana, Silva, Skinner, Smyth,  
            Solorio, Audra Strickland, Swanson, Torlakson, Torres,  
            Torrico, Tran, Villines, Yamada, Bass
          NO VOTE RECORDED:  Duvall, Evans, Mendoza, Nestande


          RJG:do  9/4/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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