BILL NUMBER: AB 1629	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY   APRIL 14, 1998
	AMENDED IN ASSEMBLY   MARCH 12, 1998

INTRODUCED BY   Assembly Members Miller and Cunneen
   (Coauthors:  Assembly Members  Alquist, Baldwin,
Bordonaro, Campbell,  Leach, and Lempert)  
Frusetta, Leach, Lempert, Morrissey, and Runner) 

                        JANUARY 5, 1998

   An act to add Section 17538.45 to the Business and Professions
Code, and to amend Section 502 of the Penal Code, relating to
electronic mail.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1629, as amended, Miller.   Electronic mail.
   (1) Existing law prohibits a person conducting business in this
state from faxing unsolicited advertising material, unless certain
conditions are satisfied.
   This bill would also prohibit a registered user of an electronic
mail service provider, as defined, from using or causing to be used
the provider's service or equipment in violation of the provider's
published policy prohibiting or restricting the use of its service of
equipment for the initiation of unsolicited electronic mail
advertisements.  It would also prohibit any individual, corporation,
or other entity from using or causing to be used, by initiating an
unsolicited electronic mail advertisement, an electronic mail service
provider's service or equipment in violation of the provider's
published policy prohibiting or restricting the use of its service or
equipment to deliver unsolicited electronic mail advertisements to
its registered users.  It would authorize any electronic mail service
provider whose published policy is violated as provided in these
provisions to bring a civil action to recover damages, as specified,
and would provide that the prevailing party in that action shall be
entitled to recover reasonable attorney's fees.
   (2) Existing law provides for the regulation of advertising and
provides that any violation of those provisions is a crime. 
This  
   This  bill, by creating additional prohibitions with regard
to advertising, would expand the scope of an existing crime, thereby
imposing a state-mandated local program.
   (3) Existing law makes it a crime to knowingly and without
permission tamper with, interfere with, damage, or gain unlawful
access to certain computers, computer systems, and computer data.
   This bill would, in addition, make it a crime to knowingly and
without permission use the Internet domain name, as defined, of
another individual, corporation, or entity in connection with the
sending of one or more electronic mail messages and to thereby
disrupt or cause the disruption of computer services or deny or cause
the denial of computer services to an authorized user of a computer,
computer system, or computer network. 
   By   By  creating a new crime, this bill would
impose a state-mandated local program.
  (4) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 17538.45 is added to the Business and
Professions Code, to read:
   17538.45.  (a) For purposes of this section, the following words
have the following meanings:
   (1) "Electronic mail advertisement" means any electronic mail
message, the principal purpose of which is to promote, directly or
indirectly, the sale or other distribution of goods or services.
   (2) "Unsolicited electronic mail advertisement" means any
electronic mail advertisement that meets both of the following
requirements:
   (A) It is addressed to a recipient with whom the initiator does
not have an existing business or personal relationship.
   (B) It is not sent at the request of or with the express consent
of the recipient.
   (3) "Electronic mail service provider" means any business or
organization qualified to do business in California that provides
registered users the ability to send or receive electronic mail.
   (4) "Initiation" of an unsolicited electronic mail advertisement
refers to the action by the initial sender of the electronic mail
advertisement.  It does not refer to the actions of any intervening
electronic mail service provider that may handle or retransmit the
electronic message.
   (5) "Publish" means to do either of the following with respect to
the electronic mail service provider's policy on unsolicited
electronic mail advertisements:
   (A) Make that policy available upon request in written form, at no
charge.
   (B) Display that policy through an on-line notice on the Internet
home page of the electronic mail service provider, or a page
accessible through a conspicuous link on the Internet home page of
the electronic mail service provider.
   (6) "Registered user" means any individual, corporation, or other
entity that maintains an electronic mail address with an electronic
mail service provider.
   (b) No registered user of an electronic mail service provider
shall use or cause to be used that electronic mail service provider's
service or equipment in violation of that electronic mail service
provider's published policy prohibiting or restricting the use of its
service or equipment for the initiation of unsolicited electronic
mail advertisements.
   (c) No individual, corporation, or other entity shall use or cause
to be used, by initiating an unsolicited electronic mail
advertisement, an electronic mail service provider's service or
equipment in violation of that electronic mail service provider's
published policy prohibiting or restricting the use of its service or
equipment to deliver unsolicited electronic mail advertisements to
its registered users.
   (d) An electronic mail service provider shall not be required to
create a policy prohibiting or restricting the use of its service or
equipment for the initiation or delivery of unsolicited electronic
mail advertisements.
   (e) (1) In addition to any action available under Section 17536,
any electronic mail service provider whose published policy on
unsolicited electronic mail advertisements is violated as provided in
this section may bring a civil action to recover the actual monetary
loss suffered by that provider by reason of that violation, or fifty
dollars ($50) for each electronic mail message initiated or
delivered in violation of this section, up to a maximum of fifteen
thousand dollars ($15,000) per day, whichever amount is greater.
   (2) The prevailing party in any action brought under paragraph (1)
shall be entitled to recover reasonable attorney's fees.
  SEC. 2.  Section 502 of the Penal Code is amended to read:
   502.  (a) It is the intent of the Legislature in enacting this
section to expand the degree of protection afforded to individuals,
businesses, and governmental agencies from tampering, interference,
damage, and unauthorized access to lawfully created computer data and
computer systems.  The Legislature finds and declares that the
proliferation of computer technology has resulted in a concomitant
proliferation of computer crime and other forms of unauthorized
access to computers, computer systems, and computer data.
   The Legislature further finds and declares that protection of the
integrity of all types and forms of lawfully created computers,
computer systems, and computer data is vital to the protection of the
privacy of individuals as well as to the well-being of financial
institutions, business concerns, governmental agencies, and others
within this state that lawfully utilize those computers, computer
systems, and data.
   (b) For the purposes of this section, the following terms have the
following meanings:
   (1) "Access" means to gain entry to, instruct, or communicate with
the logical, arithmetical, or memory function resources of a
computer, computer system, or computer network.
   (2) "Computer network" means any system  which 
 that  provides communications between one or more computer
systems and input/output devices including, but not limited to,
display terminals and printers connected by telecommunication
facilities.
   (3) "Computer program or software" means a set of instructions or
statements, and related data, that when executed in actual or
modified form, cause a computer, computer system, or computer network
to perform specified functions.
   (4) "Computer services" includes, but is not limited to, computer
time, data processing, or storage functions, or other uses of a
computer, computer system, or computer network.
   (5) "Computer system" means a device or collection of devices,
including support devices and excluding calculators  which
  that  are not programmable and capable of being
used in conjunction with external files, one or more of which contain
computer programs, electronic instructions, input data, and output
data, that performs functions including, but not limited to, logic,
arithmetic, data storage and retrieval, communication, and control.
   (6) "Data" means a representation of information, knowledge,
facts, concepts, computer software, computer programs or
instructions.  Data may be in any form, in storage media, or as
stored in the memory of the computer or in transit or presented on a
display device.
   (7) "Supporting documentation" includes, but is not limited to,
all information, in any form, pertaining to the design, construction,
classification, implementation, use, or modification of a computer,
computer system, computer network, computer program, or computer
software, which information is not generally available to the public
and is necessary for the operation of a computer, computer system,
computer network, computer program, or computer software.
   (8) "Injury" means any alteration, deletion, damage, or
destruction of a computer system, computer network, computer program,
or data caused by the access.
   (9) "Victim expenditure" means any expenditure reasonably and
necessarily incurred by the owner or lessee to verify that a computer
system, computer network, computer program, or data was or was not
altered, deleted, damaged, or destroyed by the access.
   (10) "Computer contaminant" means any set of computer instructions
that are designed to modify, damage, destroy, record, or transmit
information within a computer, computer system, or computer network
without the intent or permission of the owner of the information.
They include, but are not limited to, a group of computer
instructions commonly called viruses or worms,  which
  that  are self-replicating or self-propagating
and are designed to contaminate other computer programs or computer
data, consume computer resources, modify, destroy, record, or
transmit data, or in some other fashion usurp the normal operation of
the computer, computer system, or computer network.
   (11) "Internet domain name" means a globally unique, hierarchical
reference to an Internet host or service, assigned through
centralized Internet naming authorities, comprising a series of
character strings separated by periods, with the rightmost character
string specifying the top of the hierarchy.
   (c) Except as provided in subdivision (h), any person who commits
any of the following acts is guilty of a public offense:
   (1) Knowingly accesses and without permission alters, damages,
deletes, destroys, or otherwise uses any data, computer, computer
system, or computer network in order to either (A) devise or execute
any scheme or artifice to defraud, deceive, or extort, or (B)
wrongfully control or obtain money, property, or data.
   (2) Knowingly accesses and without permission takes, copies, or
makes use of any data from a computer, computer system, or computer
network, or takes or copies any supporting documentation, whether
existing or residing internal or external to a computer, computer
system, or computer network.
   (3) Knowingly and without permission uses or causes to be used
computer services.
   (4) Knowingly accesses and without permission adds, alters,
damages, deletes, or destroys any data, computer software, or
computer programs which reside or exist internal or external to a
computer, computer system, or computer network.
   (5) Knowingly and without permission disrupts or causes the
disruption of computer services or denies or causes the denial of
computer services to an authorized user of a computer, computer
system, or computer network.
   (6) Knowingly and without permission provides or assists in
providing a means of accessing a computer, computer system, or
computer network in violation of this section.
   (7) Knowingly and without permission accesses or causes to be
accessed any computer, computer system, or computer network.
   (8) Knowingly introduces any computer contaminant into any
computer, computer system, or computer network.
   (9) Knowingly and without permission uses the Internet domain name
of another individual, corporation, or entity in connection with the
sending of one or more electronic mail messages and thereby disrupts
or causes the disruption of computer services or denies or causes
the denial of computer services to an authorized user of a computer,
computer system, or computer network.
   (d) (1) Any person who violates any of the provisions of paragraph
(1), (2), (4), or (5) of subdivision (c) is punishable by a fine not
exceeding ten thousand dollars ($10,000), or by imprisonment in the
state prison for 16 months, or two or three years, or by both that
fine and imprisonment, or by a fine not exceeding five thousand
dollars ($5,000), or by imprisonment in a county jail not exceeding
one year, or by both that fine and imprisonment.
   (2) Any person who violates paragraph (3) of subdivision (c) is
punishable as follows:
   (A) For the first violation  which   that
 does not result in injury, and where the value of the computer
services used does not exceed four hundred dollars ($400), by a fine
not exceeding five thousand dollars ($5,000), or by imprisonment in a
county jail not exceeding one year, or by both that fine and
imprisonment.
   (B) For any violation  which   that 
results in a victim expenditure in an amount greater than five
thousand dollars ($5,000) or in an injury, or if the value of the
computer services used exceeds four hundred dollars ($400), or for
any second or subsequent violation, by a fine not exceeding ten
thousand dollars ($10,000), or by imprisonment in the state prison
for 16 months, or two or three years, or by both that fine and
imprisonment, or by a fine not exceeding five thousand dollars
($5,000), or by imprisonment in a county jail not exceeding one year,
or by both that fine and imprisonment.
   (3) Any person who violates paragraph (6), (7), (8), or (9) of
subdivision (c) is punishable as follows:
   (A) For a first violation  which   that 
does not result in injury, an infraction punishable by a fine not
exceeding two hundred fifty dollars ($250).
   (B) For any violation  which   that 
results in a victim expenditure in an amount not greater than five
thousand dollars ($5,000), or for a second or subsequent violation,
by a fine not exceeding five thousand dollars ($5,000), or by
imprisonment in a county jail not exceeding one year, or by both that
fine and imprisonment.
   (C) For any violation  which   that 
results in a victim expenditure in an amount greater than five
thousand dollars ($5,000), by a fine not exceeding ten thousand
dollars ($10,000), or by imprisonment in the state prison for 16
months, or two or three years, or by both that fine and imprisonment,
or by a fine not exceeding five thousand dollars ($5,000), or by
imprisonment in a county jail not exceeding one year, or by both that
fine and imprisonment.
   (e) (1) In addition to any other civil remedy available, the owner
or lessee of the computer, computer system, computer network,
computer program, or data may bring a civil action against any person
convicted under this section for compensatory damages, including any
expenditure reasonably and necessarily incurred by the owner or
lessee to verify that a computer system, computer network, computer
program, or data was or was not altered, damaged, or deleted by the
access.  For the purposes of actions authorized by this subdivision,
the conduct of an unemancipated minor shall be imputed to the parent
or legal guardian having control or custody of the minor, pursuant to
the provisions of Section 1714.1 of the Civil Code.
   (2) In any action brought pursuant to this subdivision the court
may award reasonable attorney's fees to a prevailing party.
   (3) A community college, state university, or academic institution
accredited in this state is required to include computer-related
crimes as a specific violation of college or university student
conduct policies and regulations that may subject a student to
disciplinary sanctions up to and including dismissal from the
academic institution.  This paragraph shall not apply to the
University of California unless the Board of Regents adopts a
resolution to that effect.
   (f) This section shall not be construed to preclude the
applicability of any other provision of the criminal law of this
state which applies or may apply to any transaction, nor shall it
make illegal any employee labor relations activities that are within
the scope and protection of state or federal labor laws.
   (g) Any computer, computer system, computer network, or any
software or data, owned by the defendant,  which 
 that  is used during the commission of any public offense
described in subdivision (c) or any computer, owned by the defendant,
which is used as a repository for the storage of software or data
illegally obtained in violation of subdivision (c) shall be subject
to forfeiture, as specified in Section 502.01.
   (h) (1) Subdivision (c) does not apply to any person who accesses
his or her employer's computer system, computer network, computer
program, or data when acting within the scope of his or her lawful
employment.
   (2) Paragraph (3) of subdivision (c) does not apply to any
employee who accesses or uses his or her employer's computer system,
computer network, computer program, or data when acting outside the
scope of his or her lawful employment, so long as the employee's
activities do not cause an injury, as defined in paragraph (8) of
subdivision (b), to the employer or another, or so long as the value
of supplies and computer services, as defined in paragraph (4) of
subdivision (b), which are used do not exceed an accumulated total of
one hundred dollars ($100).
   (i) No activity exempted from prosecution under paragraph (2) of
subdivision (h) which incidentally violates paragraph (2), (4), or
(7) of subdivision (c) shall be prosecuted under those paragraphs.
   (j) For purposes of bringing a civil or a criminal action under
this section, a person who causes, by any means, the access of a
computer, computer system, or computer network in one jurisdiction
from another jurisdiction is deemed to have personally accessed the
computer, computer system, or computer network in each jurisdiction.

   (k) In determining the terms and conditions applicable to a person
convicted of a violation of this section the court shall consider
the following:
   (1) The court shall consider prohibitions on access to and use of
computers.
   (2) Except as otherwise required by law, the court shall consider
alternate sentencing, including community service, if the defendant
shows remorse and recognition of the wrongdoing, and an inclination
not to repeat the offense.
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB of the California Constitution because the
only costs that may be incurred by a local agency or school district
will be incurred because this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIIIB of the California Constitution.
   Notwithstanding Section 17580 of the Government Code, unless
otherwise specified, the provisions of this act shall become
operative on the same date that the act takes effect pursuant to the
California Constitution.