California Assembly Bill AB285 Amended / Bill

 BILL NUMBER: AB 285AMENDED BILL TEXT AMENDED IN SENATE MAY 12, 2009 INTRODUCED BY Assembly Member Tran FEBRUARY 13, 2009 An act to amend Section 20 of the Corporations Code, relating to corporations. LEGISLATIVE COUNSEL'S DIGEST AB 285, as amended, Tran. Corporations: electronic transmissions. Existing law provides requirements  of   for  an authorized electronic transmission by a corporation, including without limitation, that  the recipient has provided an unrevoked consent to the means of transmission and that  an electronic  communication   transmission  to an individual shareholder or member satisfies the federal Electronic Signatures in Global and National Commerce Act. This bill would eliminate the requirement to satisfy that federal law and  instead  would require that  the consent to  electronic transmissions to an individual shareholder or member  of the corporation  who is a natural person  shall  be preceded by or include a written statement  to the recipient  containing specified information. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 20 of the Corporations Code is amended to read: 20. "Electronic transmission by the corporation" means a communication (a) delivered by (1) facsimile telecommunication or electronic mail when directed to the facsimile number or electronic mail address, respectively, for that recipient on record with the corporation, (2) posting on an electronic message board or network which the corporation has designated for those communications, together with a separate notice to the recipient of the posting, which transmission shall be validly delivered upon the later of the posting or delivery of the separate notice thereof, or (3) other means of electronic communication, (b) to a recipient who has provided an unrevoked consent to the use of those means of transmission for communications under or pursuant to this code, and (c) that creates a record that is capable of retention, retrieval, and review, and that may thereafter be rendered into clearly legible tangible form. However, an electronic transmissionunder this code by a corporation to an individual shareholder or member  of the corporation  who is a natural person, and if an officer or director of the corporation, only if communicated to the recipient in that person's capacity as a shareholder or member, is not authorized unless, in addition to satisfying the requirements of this section,  the consent to  the transmission has been preceded by or includes a clear written statement to the recipient as to (a) any right of the recipient to have the record provided or made available on paper or in nonelectronic form, (b) whether the consent applies only to that transmission, to specified categories of communications, or to all communications from the corporation, and (c) the procedures the recipient must use to withdraw consent.