Today's Law As Amended


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AB-1755 Court actions.(1991-1992)



As Amends the Law Today


SECTION 1.

 Section 17204 of the Business and Professions Code is amended to read:

17204.
 Actions for Injunctions by Attorney General, District Attorney, County Counsel, and City Attorneys
Actions for relief injunction  pursuant to this chapter shall be prosecuted exclusively in a court of competent jurisdiction  may be prosecuted  by the Attorney General or a any  district attorney or by a any  county counsel authorized by agreement with the district attorney in actions involving violation of a county ordinance, or by a  any  city attorney of a city  city, or city and county,  having a population in excess of 750,000, or by a county counsel of any county within which a city has a population in excess of 750,000, or  and, with the consent of the district attorney,  by a city attorney in a city and county  prosecutor in any city having a full-time city prosecutor  or, with the consent of the district attorney, by a city prosecutor attorney  in a city having a full-time city prosecutor  any city and county  in the name of the people of the State of California upon their own complaint or upon the complaint of a any  board, officer, person, corporation, corporation  or association, association  or by a person who has suffered injury in fact and has lost money or property as a result of the unfair competition. any person acting for the interests of itself, its members or the general public. 

SEC. 2.

 Section 17206 of the Business and Professions Code is amended to read:

17206.
 Civil Penalty for Violation of Chapter
(a)   Any person who engages, has engaged, or proposes to engage in unfair competition  violates any provision of this chapter  shall be liable for a civil penalty not to exceed two thousand five hundred dollars ($2,500) for each violation, which shall be assessed and recovered in a civil action brought in the name of the people of the State of California by the Attorney General,  General or  by any district attorney,  attorney or  by any county counsel authorized by agreement with the district attorney in actions involving violation of a county ordinance, by or  any city attorney of a city  city, or city and county,  having a population in excess of 750,000, or by a county counsel of any county within which a city has a population in excess of 750,000, by any city attorney of any city and county,  and, with the consent of the district attorney, by a city prosecutor in any city having a full-time city prosecutor  or, with the consent of the district attorney, by a city prosecutor attorney  in any city having a full-time city prosecutor,  and county,  in any court of competent jurisdiction.  
(b) The court shall impose a civil penalty for each violation of this chapter. In assessing the amount of the civil penalty, the court shall consider any one or more of the relevant circumstances presented by any of the parties to the case, including, but not limited to, the following: the nature and seriousness of the misconduct, the number of violations, the persistence of the misconduct, the length of time over which the misconduct occurred, the willfulness of the defendant’s misconduct, and the defendant’s assets, liabilities, and net worth.
(c) (1) If the action is brought by the Attorney General, one-half of the penalty collected shall be paid to the treasurer of the county in which the judgment was entered, and one-half to the General Fund.
(2) If the action is brought by a district attorney or county counsel, the penalty collected shall be paid to the treasurer of the county in which the judgment was entered.
(3) (b)   (A) If   the action is brought by the Attorney General, one-half of the penalty collected shall be paid to the treasurer of the county in which the judgment was entered, and one-half to the State General Fund. If brought by a district attorney or county counsel, the penalty collected shall be paid to the treasurer of the county in which the judgment was entered.  Except as provided in subparagraph (B) and subdivision (e), if the action is  subdivision (d), if  brought by a city attorney or city prosecutor, one-half of the penalty collected shall be paid to the treasurer of the city in which the judgment was entered, and one-half to the treasurer of the county in which the judgment was entered.  
(B) If the action is brought by the City Attorney of San Diego, the penalty collected shall be paid to the treasurer of the City of San Diego.
(4) The aforementioned funds shall be for the exclusive use by the Attorney General, the district attorney, the county counsel, and the city attorney for the enforcement of consumer protection laws.
(d) The Unfair Competition Law Fund is hereby created as a special account within the General Fund in the State Treasury. The portion of penalties that is payable to the General Fund or to the Treasurer recovered by the Attorney General from an action or settlement of a claim made by the Attorney General pursuant to this chapter or Chapter 1 (commencing with Section 17500) of Part 3 shall be deposited into this fund. Moneys in this fund, upon appropriation by the Legislature, shall be used by the Attorney General to support investigations and prosecutions of California’s consumer protection laws, including implementation of judgments obtained from such prosecutions or investigations and other activities which are in furtherance of this chapter or Chapter 1 (commencing with Section 17500) of Part 3. Notwithstanding Section 13340 of the Government Code, any civil penalties deposited in the fund pursuant to the National Mortgage Settlement, as provided in Section 12531 of the Government Code, are continuously appropriated to the Department of Justice for the purpose of offsetting General Fund costs incurred by the Department of Justice.
(e) (c)   If the action is brought at the request of a board within the Department of Consumer Affairs or a local consumer affairs agency, the court shall determine the reasonable expenses incurred by the board or local agency in the investigation and prosecution of the action.  
Before any penalty collected is paid out pursuant to subdivision (c), (b),  the amount of any such  reasonable expenses incurred by the board shall be paid to the State  Treasurer for deposit in the special fund of the board described in Section 205. If the board has no such special fund, the moneys shall be paid to the State  Treasurer. The amount of any such  reasonable expenses incurred by a local consumer affairs agency shall be paid to the general fund of the municipality or county that which  funds the local agency.
(f) (d)   If the action is brought by a city attorney of a city and county, the entire amount of the penalty collected shall be paid to the treasurer of the city and county in which the judgment was entered for the exclusive use by the city attorney for the enforcement of consumer protection laws.  entered.  However, if the action is brought by a city attorney of a city and county for the purposes of civil enforcement pursuant to Section 17980 of the Health and Safety Code or Article 3 (commencing with Section 11570) of Chapter 10 of Division 10 of the Health and Safety Code, either the penalty collected shall be paid entirely to the treasurer of the city and county in which the judgment was entered or, entered, or  upon the request of the city attorney, the court may order that up to one-half of the penalty, under court supervision and approval, be paid for the purpose of restoring, maintaining, or enhancing the premises that which  were the subject of the action, and that the balance of the penalty be paid to the treasurer of the city and county.  

SEC. 3.

 Section 17207 of the Business and Professions Code is amended to read:

17207.
 (a)   Any person who intentionally violates any injunction prohibiting unfair competition issued pursuant to Section 17203 shall be liable for a civil penalty not to exceed six thousand dollars ($6,000) for each violation. Where the conduct constituting a violation is of a continuing nature, each day of that conduct is a separate and distinct violation. In determining the amount of the civil penalty, the court shall consider all relevant circumstances, including, but not limited to, the extent of the harm caused by the conduct constituting a violation, the nature and persistence of that conduct, the length of time over which the conduct occurred, the assets, liabilities, and net worth of the person, whether corporate or individual, and any corrective action taken by the defendant.  
(b)   The civil penalty prescribed by this section shall be assessed and recovered in a civil action brought in any county in which the violation occurs or where the injunction was issued in the name of the people of the State of California by the Attorney General or by any district attorney, any county counsel of any county within which a city has a population in excess of 750,000 or any county counsel that is  authorized by agreement with the district attorney in actions involving violation of a county ordinance, or any city attorney in any court of competent jurisdiction within the attorney’s  his or her  jurisdiction without regard to the county from which the original injunction was issued. An action brought pursuant to this section to recover civil penalties shall take precedence over all civil matters on the calendar of the court except those matters to which equal precedence on the calendar is granted by law.  
(c)   If such an action is brought by the Attorney General, one-half of the penalty collected pursuant to this section shall be paid to the treasurer of the county in which the judgment was entered, and one-half to the State Treasurer. If brought by a district attorney or county counsel the entire amount of the penalty collected shall be paid to the treasurer of the county in which the judgment is entered. If brought by a city attorney or city prosecutor, one-half of the penalty shall be paid to the treasurer of the county in which the judgment was entered and one-half to the city, except that if the action was brought by a city attorney of a city and county the entire amount of the penalty collected shall be paid to the treasurer of the city and county in which the judgment is entered.  
(d)   If the action is brought at the request of a board within the Department of Consumer Affairs or a local consumer affairs agency, the court shall determine the reasonable expenses incurred by the board or local agency in the investigation and prosecution of the action.  
Before any penalty collected is paid out pursuant to subdivision (c), the amount of the reasonable expenses incurred by the board shall be paid to the State Treasurer for deposit in the special fund of the board described in Section 205. If the board has no such special fund, the moneys shall be paid to the State Treasurer. The amount of the reasonable expenses incurred by a local consumer affairs agency shall be paid to the general fund of the municipality or county which funds the local agency.

SEC. 4.

 Section 116.231 of the Code of Civil Procedure is amended to read:

116.231.
 (a)   Except as provided in subdivision (d), Section 116.232,  no person may file more than two small claims actions in which the amount demanded exceeds two thousand five hundred dollars ($2,500), anywhere in the state in any calendar year.  
(b) Except   as provided in subdivision (d), if  If  the amount demanded in any small claims action exceeds two thousand five hundred dollars ($2,500), the party making the demand shall file a declaration under penalty of perjury attesting to the fact that not more than two small claims actions in which the amount of the demand exceeded two thousand five hundred dollars ($2,500) have been filed by that party in this state within the calendar year.  
(c) The Legislature finds and declares that the pilot project conducted under the authority of Chapter 1196 of the Statutes of 1991 demonstrated the efficacy of the removal of the limitation on the number of actions public entities may file in the small claims courts on claims exceeding two thousand five hundred dollars ($2,500).
(d) The limitation on the number of filings exceeding two thousand five hundred dollars ($2,500) does not apply to filings where the claim does not exceed five thousand dollars ($5,000) that are filed by a city, county, city and county, school district, county office of education, community college district, local district, or any other local public entity. If any small claims action is filed by a city, county, city and county, school district, county office of education, community college district, local district, or any other local public entity pursuant to this section, and the defendant informs the court either in advance of the hearing by written notice or at the time of the hearing, that he or she is represented in the action by legal counsel, the action shall be transferred out of the small claims division. A city, county, city and county, school district, county office of education, community college district, local district, or any other local public entity may not file a claim within the small claims division if the amount of the demand exceeds five thousand dollars ($5,000).

SEC. 5.

 Section 116.232 is added to the Code of Civil Procedure, to read:

116.232.
 (a)  The boards of supervisors of the City and County San Francisco and the County of Stanislaus may elect to participate in pilot projects within their respective jurisdictions under which the limitation on filings provided in Section 116.231 does not apply to the participating city and county or county respectively, or to any city, school district, county office of education, community college district, or local district within those jurisdictions. It is the intent of the Legislature that this additional authority shall constitute a pilot project to determine the efficacy of use by public entities of the small claims courts for actions on claims exceeding two thousand five hundred dollars ($2,500).
(b)  If any small claims action is filed by the City and County of San Francisco or the County of Stanislaus, pursuant to subdivision (a), and the defendant informs the court either in advance of the hearing by written notice or at the time of the hearing, that he or she is represented in the action by legal counsel, the action shall be transferred to the municipal court.
(c)  This section shall be repealed on January 1, 1995, unless a later enacted statute, which is enacted before that date, deletes or extends that date.
SEC. 6.
 If the City and County of San Francisco or the County of Stanislaus elects to participate in the pilot project specified in Section 116.232 of the Code of Civil Procedure, the participating city and county or county shall conduct a study in its respective jurisdiction to evaluate the use of small claims filings by public entities pursuant to the additional authority provided by Section 116.232 of the Code of Civil Procedure for claims in excess of two thousand five hundred dollars ($2,500). The study shall determine if this additional authority results in (1) an increase of 20 percent or more in collected revenue and (2) average cost savings of five hundred dollars ($500) or more per case filed and processed in the small claims court, when compared with the use of the municipal court for these filings.
Each study shall be conducted in consultation with each city, school district, county office of education, community college district, and local district within the participating jurisdiction that utilizes the authority provided by Section 116.232 of the Code of Civil Procedure, small claims advisors, the clerks of the municipal courts, and other appropriate representatives within the participating jurisdiction. The studies shall include all of the following:
(a)  The number of small claims actions in excess of two thousand five hundred dollars ($2,500) filed by the participating jurisdiction, and cities, school districts, county offices of education, community college districts, and local districts within those jurisdictions.
(b)  The number of defendants in those actions who ask for transfer from small claims court to municipal court pursuant to subdivision (b) of Section 116.232 of the Code of Civil Procedure.
(c)  The number of judgment awards in excess of two thousand five hundred dollars ($2,500) resulting from small claims actions specified in subdivision (a).
(d)  The difference in cost to the City and County of San Francisco or the County of Stanislaus to file an action in excess of two thousand five hundred dollars ($2,500) in small claims court, based on an assumed average cost of one thousand dollars ($1,000) per case for a municipal court filing and, utilizing that assumption, the amount of money saved by the City and County of San Francisco or the County of Stanislaus by filing these actions in small claims court.
(e)  The types of small claims actions filed pursuant to the authority provided in Section 116.232 of the Code of Civil Procedure.
(f)  The impact that the number of filings added to the calendar of the small claims court pursuant to the authority provided in Section 116.232 of the Code of Civil Procedure, and whether those filings affect access to the small claims court by private citizens.
(g)  The impact that the number of actions filed in small claims court pursuant to the authority provided in Section 116.232 of the Code of Civil Procedure would have upon the municipal court calendar if those actions had been filed in municipal court, and whether those filings affect efficient resolution of claims involving private citizens.
Each city and county or the county participating in the pilot project shall each submit a report on the conclusions of its study to the Judiciary Committee of the Assembly and the Judiciary Committee of the Senate. If the studies determine, in accordance with the methodology specified in this section, that the authority provided in Section 116.232 of the Code of Civil Procedure has resulted in an increase of 20 percent or more in small claims filings by the affected public entities and an average cost savings per case of five hundred dollars ($500) or more, when compared with the use of the municipal court for these filings, the pilot project shall be considered a success.

SEC. 7.

 Section 11571 of the Health and Safety Code is amended to read:

11571.
 If Whenever  there is reason to believe that a nuisance, as described in Section 11570, is kept, maintained, such a nuisance is kept, maintained  or exists in any county, the district attorney or county counsel  of the county, in the name of the people, may,  or the city attorney of any incorporated city or of any city and county, in the name of the people, may,  or any citizen of the state resident in the county, in his or her own name, may, maintain an action to abate and prevent the nuisance and to  perpetually to  enjoin the person conducting or maintaining it, and the owner, lessee, or agent of the building or place place,  in or upon which the nuisance exists exists,  from directly or indirectly maintaining or permitting the nuisance.