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AB-1631 Shorthand reporters: shorthand reporting service corporation.(2017-2018)

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Date Published: 04/18/2017 09:00 PM
AB1631:v97#DOCUMENT

Amended  IN  Assembly  April 18, 2017
Amended  IN  Assembly  March 20, 2017

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill No. 1631


Introduced by Assembly Member Salas

February 17, 2017


An act to amend the heading of Article 5 (commencing with Section 8040) of Chapter 13 of Division 3 of, and to add Section 8041 to, to the Business and Professions Code, relating to professions and vocations.


LEGISLATIVE COUNSEL'S DIGEST


AB 1631, as amended, Salas. Shorthand reporters: shorthand reporting service corporation.
Existing law provides for the certification and regulation of shorthand reporters and for the regulation of shorthand reporting corporations by the Court Reporters Board of California within the Department of Consumer Affairs. Under existing law, a violation of the laws governing the practice of shorthand reporting and shorthand reporting corporations is a crime.
This bill would additionally define a shorthand reporting service corporation as a corporation that renders back office support services to shorthand reporting corporations and certified shorthand reporters, as specified. This bill would prohibit a shorthand reporting service corporation or its owners, managers, or employees person or entity employing shorthand reporters, or contracting with shorthand reporters for services, from giving or otherwise providing cash or cash equivalents, including gift cards, for marketing purposes. This bill would prohibit its provisions from being construed to limit a shorthand reporting service corporation from entering into long-term or multi-case contracts with attorneys, law firms, or 3rd parties, as specified. This bill would require its provisions to be enforced by the Attorney General. Because this bill would expand the scope of an existing crime, it would create a state-mandated local program.
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   Local Program: YES  

The people of the State of California do enact as follows:


SECTION 1.The heading of Article 5 (commencing with Section 8040) of Chapter 13 of Division 3 of the Business and Professions Code is amended to read:
5.Shorthand Reporting Corporations and Shorthand Reporting Service Corporations

SEC. 2.SECTION 1.

 Section 8041 is added to the Business and Professions Code, to read:
8041.

(a)A shorthand reporting service corporation is a corporation that renders back office support services to shorthand reporting corporations and certified shorthand reporters, including, but not limited to, copying, indexing, labeling, binding, storing records, accounting, billing, delivery, and retrieval.

(b)A shorthand reporting service corporation or its owners, managers, or employees

8041.
 (a) A person or entity employing shorthand reporters, or contracting with shorthand reporters for services, shall not give or otherwise provide cash or cash equivalents of any amount, including gift cards, for marketing purposes. As used in this section, “gift card” means a card or gift certificate, stored value card, or similar instrument purchased for monetary consideration when the card, certificate, or similar instrument is redeemable for merchandise, food, or services. Nothing contained in this subdivision shall otherwise prohibit customary and reasonable entertainment and marketing expenses.

(c)

(b) Nothing contained in this section, article, Section 13401 of the Corporations Code, or any other law, shall be construed to limit a shorthand reporting service corporation person or entity from entering into long-term or multi-case contracts with attorneys, law firms, or third parties that are financing all or part of the action.

(d)

(c) The provisions of this section shall be enforced by the Attorney General.

SEC. 3.SEC. 2.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B 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 XIII B of the California Constitution.