BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 279
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          SENATE THIRD READING
          SB 279 (Emmerson)
          As Introduced February 14, 2011
          Majority vote 

           SENATE VOTE  :34-0  
           
           JUDICIARY           10-0                                        
           
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          |Ayes:|Feuer, Wagner, Atkins,    |     |                          |
          |     |Dickinson, Beth Gaines,   |     |                          |
          |     |Huber, Huffman, Jones,    |     |                          |
          |     |Monning, Wieckowski       |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
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           SUMMARY  :  Corrects a drafting error in earlier legislation by 
          replacing references to "county" with "judicial districts" thus 
          requiring all advertising of lien sales by self-storage 
          facilities to be advertised in newspapers of general circulation 
          in the judicial district of a sale and not the county.  This 
          corrects an error in AB 655 (Emmerson), Chapter 439, Statutes of 
          2010, which switched "judicial districts" with "county" during 
          the floor amendment process.

           FISCAL EFFECT  :  None

           COMMENTS  :  This technical clean-up bill seeks to replace two 
          references to "county" in the California Self-Service Storage 
          Facility Act with "judicial districts" according to the author:
               
               The California Self-Service Storage Facility Act has been 
               the self-storage industry's primary remedy for dealing with 
               occupants who are delinquent in paying their rent.  Under 
               current law, if an owner of a public storage facility 
               enforces a lien on the occupant's property, the owner is 
               required to provide public notice to the community of an 
               upcoming lien sale.  Existing law requires the owner to 
               advertise for two weeks in any newspaper of general 
               circulation that is published in the county where the sale 
               is to be held. 

               SB 279 is a clean-up measure to AB 655 (Emmerson, Chapter 








                                                                  SB 279
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               439) that would correct this provision and require that a 
               lien sale be advertised in a newspaper of general 
               circulation in the judicial district where the sale is 
               held.  When the Legislature consolidated the courts in the 
               early 1990s, it kept judicial districts in place for the 
               sole purpose of maintaining the system of providing public 
               notice in a local newspaper of general circulation.  As 
               part of the consolidation package, Government Code Section 
               71042.5 was amended to specify that judicial districts 
               would still apply to public notice requirements.  

          Last year, when AB 655 was initially introduced it sought to 
          substitute the requirement to publish notice of lien sales (by 
          self-service storage facilities) with an obligation to advertise 
          the sale in a commercially reasonable manner.  The California 
          Newspaper Publishers Association (CNPA) opposed the change, 
          claiming newspaper advertisements were the best means of 
          informing the entire community of an impending lien sale.  The 
          bill was amended on the Senate Floor to reinsert the newspaper 
          publication requirement.  That amendment erroneously changed the 
          then existing standard, publish notice within the judicial 
          district of the sale, to require notice be published in the 
          county of the sale.

          The CNPA is now sponsoring this bill to return the geographic 
          requirements for publishing notices of lien sales to the 
          historic judicial district standard.  The CNPA notes, "notices 
          are only effective if they reach the intended audience, which in 
          this case are the people who live in the community where the 
          sale is to take place and where the personal property is 
          located.  To be effective, public notices publicizing an event 
          must be published in newspapers that are adjudicated and 
          circulated in communities that are affected by the event.  
          Allowing advertisers to publish notices in any newspaper in the 
          county would produce absurd results."  By returning the 
          publication standard to its historic judicial district 
          requirement the published notice can best reach the local 
          community members with an interest in the sale.

          The CNPA claims that by leaving "county" in the notice 
          requirement the potential for malfeasance can occur.  For 
          example the CNPA notes, "a storage facility in Chino could 
          advertise lien sales in Barstow, a storage facility in the city 
          of San Bernardino, in Needles.  In Los Angeles County, a storage 








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          facility in Santa Monica could notice lien sales in a newspaper 
          in Claremont; a facility in Santa Clarita could advertise in 
          Long Beach."  This would prevent the information of the sale 
          from ever reaching the target local audience the law intended 
          and thus undercut the public notice requirement.  By reverting 
          back to the "judicial district" boundary for notice, the code 
          language will once again be consistent with its historic intent 
          of providing notice to the local communities with the greatest 
          interest in the pending sale.


           Analysis Prepared by  :   Drew Liebert and Nicholas Liedtke / JUD. 
          / (916) 319-2334 


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