BILL ANALYSIS                                                                                                                                                                                                    �



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          Date of Hearing:  April 29, 2014

                           ASSEMBLY COMMITTEE ON JUDICIARY
                                Bob Wieckowski, Chair
                    AB 2344 (Ammiano) - As Amended: April 28, 2014

           SUBJECT :  Assisted reproduction and parentage

           KEY ISSUE  :  SHOULD CHANGES BE MADE TO THE FAMILY CODE TO HELP  
          INTENDED PARENTS BY: (1) CREATING OPTIONAL FORMS TO DEMONSTRATE  
          THE PARTIES' INTENT TO PARENT A CHILD; (2) MAKING ADDITIONAL  
          DISCLOSURES IN THE SURROGACY AGREEMENT ABOUT MEDICAL CARE; AND  
          (3) CREATING A SIMPLIFIED STEPPARENT ADOPTION PROCESS FOR  
          MARRIED SPOUSES WHOSE MARRIAGE MAY NOT YET BE RECOGNIZED IN ALL  
          JURISDICTIONS?

                                      SYNOPSIS
          
          This bill, known as the Modern Family Act, makes three changes  
          to support intended parents using assisted reproduction to  
          create families and same-sex couples whose unions may not be  
          recognized in other jurisdictions.  First, this bill provides  
          optional, statutory forms to help couples in three narrow  
          situations demonstrate their intent to be parents.  Second, the  
          bill requires that assisted reproduction agreements with  
          surrogates, using donated embryos, contain information on  
          medical coverage for the surrogate and the newborn.  Finally,  
          the bill simplifies the stepparent adoption process for married  
          couples or registered domestic partners whose marriage or  
          domestic partnership might not be recognized in another  
          jurisdiction and, hence, legal parentage for the children of the  
          marriage might not be recognized there without the adoption.

          The author writes that family law is shamefully behind medical  
          advances in reproductive technology and that the Modern Family  
          Act is needed to remove barriers that intended parents, donors  
          and surrogates experience with the law today.  The bill is  
          supported by the National Center for Lesbian Rights and the New  
          Life Agency, but opposed by the California Right to Life  
          Committee.

           SUMMARY  :  Makes changes to assist families using assisted  
          reproduction to conceive children.  Specifically,  this bill  :









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          1)Creates optional forms to allow intended parents to state, in  
            writing, their intention to parent a child being conceived  
            through use of assisted reproduction.  States that the forms  
            do not affect any presumptions or claims of parentage based on  
            existing statute or case law.  The created forms address the  
            following situations:

             a)   Married spouses or registered domestic partners (or  
               civil union partners from another state) who are using  
               assisted reproduction to conceive and one partner will be  
               giving birth.
             b)   Unmarried, intended parents using sperm donated from one  
               of the intended parents.
             c)   Intended parents conceiving a child with eggs donated  
               from one of them, while the other will give birth.

          2)Requires that an assisted reproduction agreement for  
            gestational carriers (a surrogacy agreement) include a  
            disclosure of how the intended parents will cover the medical  
            expenses of the gestational carrier and the newborn.  If  
            health insurance will be used, requires that the disclosure  
            include a review of insurance policy's provisions related to  
            coverage for surrogate pregnancy, including any possible  
            liability for the gestational carrier and any notice  
            requirements that could impact coverage or liability for the  
            gestational carrier.  

          3)Creates a streamlined stepparent adoption process for children  
            born to married spouses, registered domestic partners, or  
            civil union partners to ensure recognition of parentage in  
            states that may not recognize the marriage, domestic  
            partnership or civil union and the establishment of parentage  
            that flow from those unions.  In particular, provides that the  
            investigation, fees and hearing required for other stepparent  
            adoptions are not required, unless the court, for good cause,  
            orders otherwise.  Requires a court to grant the stepparent  
            adoption if the court finds that (a) the parent who gave birth  
            and the spouse or registered domestic partner or partner in a  
            civil union were married or in the registered domestic  
            partnership or civil union when the child was born; and (b)  
            any other person with a claim of parentage to the child who is  
            required to receive notice of, or who must consent to, the  
            adoption, has been notified or provided the required consent.
             








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           EXISTING LAW  : 

          1)Establishes the California Uniform Parentage Act (UPA).   
            Defines a parent and child relationship as the legal  
            relationship between a child and the child's natural or  
            adoptive parents incident to which the law confers or imposes  
            rights, privileges, duties and obligations.  (Family Code  
            Section 7600 et seq.  Unless stated otherwise, all further  
            statutory references are to that code.)

          2)Defines "assisted reproduction" as conception by any means  
            other than sexual intercourse.  Defines "assisted reproduction  
            agreement" as a written contract that includes a person who  
            intends to be the legal parent of a child born through  
            assisted reproduction and defines the terms of the  
            relationship between the parties to the contract.  (Family  
            Code Section 7606.)

          3)Provides that the spouse of a woman who, with the consent of  
            her spouse, conceives through assisted reproduction with the  
            sperm of a man other than her spouse, is treated in law as  
            though he or she is the child's natural parent.  Requires that  
            the spouse's consent be in writing and signed by both spouses.  
             (Section 7613(a).)

          4)Provides that a donor of semen to a licensed physician or  
            sperm bank for use in assisted reproduction of a woman other  
            than the donor's spouse is treated in law as if he were not  
            the natural parent of the child thereby conceived, unless  
            otherwise agreed to in a writing signed by the donor and the  
            woman prior to the conception of the child.  (Section  
            7613(b).)

          5)Prohibits the parties to an assisted reproduction agreement  
            for gestational carriers, as defined, from undergoing an  
            embryo transfer, or commencing injectable medicine prior to  
            the execution of the agreement.  Requires that both parties to  
            an assisted reproduction agreement for gestational carriers be  
            represented by separate, independent counsel prior to the  
            signing of the agreement.  Requires that the agreement include  
            the identity of the intended parent(s) and, unless anonymously  
            donated, the persons from which the gametes originate.   
            (Section 7962.)
          6)Provides that a party to an assisted reproduction agreement  








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            may bring an action at any time to establish a parent-child  
            relationship consistent with the intent expressed in the  
            agreement.  Requires the court, upon petition by any party to  
            an assisted reproduction agreement for gestational carriers,  
            to issue an order establishing parentage.  (Sections 7630,  
            7962.)

          7)Provides a streamline adoption procedure for a stepparent to  
            adopt a stepchild.  Requires an investigation of the proposed  
            stepparent adoption, as specified, including payment of a fee,  
            but does not require a homestudy, unless the court orders  
            otherwise.  Requires that the prospective adoptive parent  
            appear before the court, as required.  (Section 9000 et seq.)

           FISCAL EFFECT  :  As currently in print this bill is keyed fiscal.
           
          COMMENTS  :  This bill makes three changes to support intended  
          parents using assisted reproduction to create families and  
          same-sex couples whose unions may not be recognized in other  
          jurisdictions.  First, this bill provides optional, statutory  
          forms to help couples in three narrow situations demonstrate  
          their intent to be parents.  Second, the bill requires that  
          assisted reproduction agreements with surrogates, using donated  
          embryos, contain information on medical coverage for the  
          surrogate and the newborn.  Finally, the bill simplifies the  
          stepparent adoption process for married couples or registered  
          domestic partners whose marriage or domestic partnership might  
          not be recognized in another jurisdiction and, hence, legal  
          parentage for the children of the marriage might not be  
          recognized there without the adoption.  

          In support of the bill, the author writes:  "Medical advances in  
          Assisted Reproductive Technology (ART) have allowed many  
          individuals and couples to become parents.  Whereas the medical  
          advances are ahead, our family code statutes are shamefully  
          behind.  AB 2344, the Modern Family Act, updates three (3) ART  
          related situations, removing barriers that intended parents,  
          donors and surrogates experience in the law."

           Intended Parents of a Child Born Using Assisted Reproduction  
          Technology are the Child's Parents  :  Two cases have established  
          that intended parents in assisted reproduction are the legal  
          parents of the child so conceived.  In the first case, Johnson  
          v. Calvert (1993) 5 Cal. 4th 84, a married couple entered into a  








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          contract with a surrogate to have an embryo created with the  
          couple's genetic material implanted in the surrogate.  The  
          parties had a falling out and the parents and the surrogate  
          brought separate legal actions to be declared the unborn child's  
          parents.  The trial court consolidated the actions, determined  
          that the married couple was the child's biological and natural  
          parents, and terminated the visitation rights that the surrogate  
          had obtained in an earlier temporary order.  The Supreme Court  
          affirmed, holding that when the two methods of recognizing  
          parentage in women - genetic evidence of parentage and giving  
          birth to the child - occur in two separate women, the woman who  
          intended that the child be born is the child's legal mother.  

          Five years later, a more complicated fact pattern arose again in  
          In re Marriage of Buzzanca (1998) 61 Cal.App.4th 1410, but with  
          the same ultimate result.  In that case, the intended parents  
          did not have a genetic link to the child, but instead entered  
          into a contact with a surrogate to have a fertilized egg from  
          donors unrelated to the couple implanted in the surrogate.  Just  
          days prior to the birth of that child, the husband filed for  
          dissolution alleging there were no children of the marriage.   
          The wife filed her own action to be declared the child's mother.  
           The trial court accepted the stipulation of the surrogate and  
          her husband that they were not the parents, but then determined  
          that the wife was not the mother of the child and that,  
          therefore, neither was the husband, effectively leaving the  
          child as a legal orphan.

          The court of appeals reversed, holding that if a man who  
          consents to artificial insemination of his wife with donor sperm  
          is considered the father of the child so conceived, "there is no  
          reason the result should be any different in the case of a  
          married couple who consent to in vitro fertilization by unknown  
          donors and subsequent implantation into a woman who is, as a  
          surrogate, willing to carry the embryo to term for them."  (Id.  
          at 1418.)

          Both of these cases make clear that, with or without a genetic  
          link, the parties who intend to bring a child into the world are  
          the child's legal parents.  The Legislature affirmed this in AB  
          1217 (Fuentes), Chap. 466, Stats. 2011, which clarified the  
          parentage rights of parties using a surrogate and donated  
          embryos, and specified terms of the required agreement.









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           Simplified Forms to Demonstrate Parentage for Intended Parents  
          Using Assisted Reproduction  :  Legal parenthood can be  
          established in a number of different ways.  A person is  
          conclusively presumed to be the parent of a child if he or she  
          was married to, or in a registered domestic partnership with,  
          and cohabitating with the child's parent, except as specified.   
          A person who receives a child into his or her home and holds the  
          child out as his or her own is also presumed a parent of the  
          child.  A person who signs a voluntary declaration of paternity  
          is presumed to be the legal parent of a child.  Most recently,  
          SB 274 (Leno) allowed a court, where there are more than two  
          people who have established claims or presumptions of parentage  
          under existing California law, to recognize more than two  
          parents, but only if it would be detrimental to the child not to  
          do so.  

          For couples using assisted reproduction to conceive children,  
          establishing parentage often requires a review of the parties'  
          intent at the time of conception.  The author writes:  "In the  
          case of a married couple using donor gamete, where one or both  
          of the intended parents are not the genetic donor, a statutory  
          intent to parent form helps to clarify the intent of the parties  
          engaging in [assisted reproduction technology] to become a  
          family.  An unmarried couple, who doesn't have the protection of  
          marriage or genetics, is even more at risk, which is why we are  
          codifying an intent to parent form for these couples.  Finally,  
          in the situation of a female-female couple where one is using  
          her gamete and the other gives birth to genetically unrelated  
          child(ren), a form is imperative to assert intent to parent."

          This bill creates three optional, simplified forms to allow  
          intended parents, in these three particular situations, to  
          demonstrate clearly their intent to be parents.  The situations  
          are:

           Form 1:  Designed for married spouses or registered domestic  
            partners (or civil union partners from another state) who are  
            using donated sperm through a licensed physician or sperm bank  
            to conceive and one spouse will give birth to the child.   
            Section 7613(a) requires the spouse who is not giving birth to  
            consent to the assisted reproduction in a writing signed by  
            both spouses.  This form will satisfy that writing.
           Form 2:  Designed for unmarried, intended parents (who are  
            also not registered domestic partners and not in a civil  








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            union) who are using assisted reproduction through a licensed  
            physician or sperm bank to conceive a child who will be  
            genetically related to both parents.  The intended parents  
            will be using the man's sperm in the assisted reproduction.   
            Under Section 7613(b), an unmarried man who does not, prior to  
            conception, consent in writing to be the intended parent is  
            not considered a parent of the child.  This form can be used  
            to show that intent, if executed prior to conception. 
           Form 3:  Designed for intended parents conceiving a child with  
            eggs donated from one of the intended parents and the other  
            intended parent giving birth.  This situation involves two  
            women, where one of them donates her eggs to the other woman  
            and both intend to be parents.  A writing is needed to clearly  
            demonstrate their intent.

          All three of these optional forms evidence the intended parents'  
          desire to conceive a child that they wish to parent.  These  
          forms are strictly optional -- intended parents may evidence  
          their intent using any other writing.  Moreover, because  
          parentage laws can be very complicated, the forms make clear  
          that the parties are strongly encouraged to consult an attorney  
          to better understand their rights and responsibilities.  And  
          while the forms may demonstrate the intent of the parties  
          executing them, they do not in any way disestablish the  
          parentage rights of any other person, nor do they affect any  
          presumptions of parentage.

          Concern has been raised that the mere legislative creation of  
          these optional forms will allow parties in existing parentage  
          actions to claim that they would have executed these forms, had  
          they existed at the time their children were conceived, and thus  
          prove their intent to parent.  As a result, concerns have been  
          raised that these litigants may try to argue that they should  
          now be recognized as parents, even if they failed to demonstrate  
          their intent at the time of conception.  However, these forms  
          are clearly intended to operate prospectively only.  Frankly, it  
          would be impossible for a new form to operate retroactively.   
          The legislative creation of these optional forms should, in no  
          way, impact any existing cases where evidence of intent would  
          have had to have been demonstrated prior to conception and prior  
          to creation of these forms.

           Additional Disclosure on Health Insurance Added to Required  
          Surrogacy Agreement  :  Current law requires that intended  








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          parents, who plan to use a surrogate carrying a donated embryo,  
          must execute an assisted reproduction agreement prior to  
          undergoing the embryo transfer.  The rules for the agreement are  
          fairly detailed.  The parties must be represented by separate,  
          independent counsel prior to signing the agreement.  The  
          agreement must identify the intended parent or parents and,  
          unless anonymously donated, the persons from whom the gametes  
          (eggs and sperm) originate.  Any party to the agreement can file  
          the agreement in court, either before or after the child's  
          birth.  Upon petition by a party to a properly executed  
          agreement, the court must issue an order establishing parentage  
          for the intended parents, as provided.  

          Although it is presumed that intended parents agree to cover all  
          medical expenses of the surrogate and the newborn, concerns have  
          been raised that if those medical expenses are covered using  
          health insurance, surrogates may not be properly covered.  The  
          surrogate's health insurance might not cover a surrogate  
          pregnancy.  If the insurance company later learns that the  
          pregnancy was the result of a surrogacy agreement, it may try to  
          recoup what it had paid out and could place liens on the  
          surrogate's income, including her surrogacy fees.  In addition,  
          health insurance companies or hospitals may require notice that  
          the pregnancy is part of a surrogacy agreement or may not fully  
          cover the pregnancy.  

          In support of this part of the bill, New Life Agency, an  
          insurance agency specializing exclusively in assisted  
          reproduction insurance and the sponsor this part of the bill,  
          writes that "transparency, simplicity, clarity and consistency  
          are not words that can be used currently to describe surrogacy  
          coverage.  It is a multidimensional maze that can flummox even  
          the most experienced.  The problem screams for a legislative  
          remedy to gain transparency and clarity and avoid disaster.  Why  
          not now insist on knowing about coverage and costs upfront,  
          prior to conception.  This simple act could avoid litigation,  
          financial loss, insurance fraud and heartbreak for all  
          concerned."  

          To address these concerns, this bill requires that the surrogacy  
          agreement disclose how the intended parents will cover the  
          medical expenses of the surrogate and the baby.  If health  
          insurance is being used to cover those expenses, the bill  
          requires that the disclosure include a review of the health  








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          insurance policy's provisions related to the surrogate  
          pregnancy, including any possible liability of the gestational  
          carrier and any notice requirements that could impact coverage  
          or the liability of the gestational carrier.  While this  
          provision will not guarantee that everything will be done  
          properly and that the surrogate and the newborn will receive the  
          needed coverage, it will put all parties on notice of what is  
          required to ensure that coverage is provided to the surrogate  
          according to the rules of the insurance company.

           Simplified Stepparent Adoption Process for Children Born to a  
          Marriage, Domestic Partnership or Civil Union That Other States  
          May Not Recognize  :  Children born to married couples or couples  
          in domestic partnerships in California are treated by law as  
          children of the couple.  Both parents' names go on the birth  
          certificate and nothing more need be done to establish  
          parentage.  While parentage may be challenged in very limited  
          ways, assuming no such challenge, parentage is not legally  
          questioned.

          Currently, however, some states refuse to recognize same-sex  
          marriages, domestic partnerships or civil unions and, as a  
          result, may refuse to recognize that the children born to those  
          unions are the children of both parents.  These states' refusal  
          to recognize same-sex marriages is currently being challenged  
          across the country, at both the trial court and appellate court  
          level, and at least one of those cases will eventually wind up  
          before the Supreme Court, which will likely ultimately decide  
          the issue.  However, until that time, same-sex couples who are  
          legally married in California or who are registered domestic  
          partners and who have children from those unions, run the risk  
          of not being recognized as their children's legal parents when  
          they travel to one of the state that will not recognize their  
          union.

          This bill seeks to address this significant concern by creating  
          a simplified stepparent adoption process for parents who are  
          already recognized by California law as being their children's  
          legal parents, but who want adoption papers to protect their  
          family in other jurisdictions.  This bill creates a simplified  
          stepparent adoption process that allows the court to recognize a  
          stepparent adoption, without a hearing or a homestudy or  
          investigation, or the costs associated with that investigation,  
          for children born to a marriage or domestic partnership,  








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          including a registered domestic partnership or civil union from  
          another state.

          The parties must file with the court a copy of their marriage  
                                                       certificate, registered domestic partner or civil union  
          certificate, along with the a copy of the child's birth  
          certificate.  The adoption petition must also include  
          declarations by the parent who gave birth and the spouse or  
          partner who is adopting the child explaining the circumstances  
          of the child's conception in sufficient detail to identify  
          whether there may be others with a claim to parentage of the  
          child who may be required to receive notice of, or who must  
          consent to, the adoption.  The court is required to waive the  
          homestudy and hearing, unless the court, for good cause, orders  
          otherwise.  The court is allowed to order a hearing if needed to  
          ascertain whether there are additional individuals who must be  
          provided notice of, or who must consent to, the adoption, if it  
          appears from the face of the pleadings and evidence presented  
          that proper notice or consent have not been provided.  This  
          streamlines the stepparent adoption process considerably, but  
          gives the court the ability to order further review if necessary  
          to protect everyone's rights.  

          The court is required to grant the stepparent adoption if it  
          finds that: (1) The parent who gave birth and the spouse or  
          partner who is adopting were married or in a domestic  
          partnership (including a registered domestic partnership or  
          civil union from another jurisdiction) at the time of the  
          child's birth; and (2) any other person who may have a claim of  
          parentage to the child who is required to be provided with  
          notice of, or who must consent to, the adoption has been noticed  
          and/or provided their consent to the adoption.

          This streamlined procedure should help protect same-sex families  
          when they travel to states that still refuse to recognize their  
          union and their children.  While it is hoped that this soon may  
          not be necessary, until then, these parents and their children  
          need to be legally recognized wherever they travel and wherever  
          they move.

           ARGUMENTS IN OPPOSITION  :  This bill is opposed by the California  
          Right to Life Committee (CRLC), which writes:

               CRLC, Inc. considers this bill as another maneuver to  








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               break down family structure as recognized for centuries.   
 
               The use of assisted reproduction for the purpose of  
 
               creating a family turns the inherent dignity of a child up  
 
               side down. 



               Frustrated women and men can seek children for selfish  
 
               reasons.  Children can become a commodity and an entity  
 
               desired by parents and not desired for the joy of the child  
 
               for him or herself.  Assisted reproduction can lead to men  
 
               and women choosing the gender and DNA traits of baby they  
 
               wish to parent. 



               Men and women can go "shopping" for a potential child in  
 
               fertility clinics and agencies around the world.  Websites  
 
               and conferences detail how to choose a baby to one's  
 
               liking.


               Finally, AB 2344 promotes "reproductive parity and equity"  
               for same sex couples who can not conceive normally.   
               Therefore, promoting more definitions of parents who  
               legally could be called "parent" demeans the family and  
               should not be added to the Family Code.

           REGISTERED SUPPORT / OPPOSITION  :

           Support









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           National Center for Lesbian Rights
          New Life Agency
          One individual

           Opposition

           California Right to Life Committee

           Analysis Prepared by  :  Leora Gershenzon / JUD. / (916) 319-2334