California 2019 2019-2020 Regular Session

California Assembly Bill AB391 Amended / Bill

Filed 03/11/2019

                    Amended IN  Assembly  March 11, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 391Introduced by Assembly Member VoepelFebruary 06, 2019 An act to amend Section 1939.23 of the Civil Code, relating to rental passenger vehicle transactions. An act to amend Sections 10500 and 10855 of the Vehicle Code, relating to rented vehicles.LEGISLATIVE COUNSEL'S DIGESTAB 391, as amended, Voepel. Rental passenger vehicle transactions. Leased and rented vehicles: embezzlement and theft.Existing law establishes a presumption that a person who willfully and intentionally fails to return a leased or rented vehicle to its owner within 5 days of the expiration of the agreement has embezzled the vehicle. Existing law requires every peace officer, upon receiving a report based on reliable information that a registered vehicle has been stolen, or that a leased or rented vehicle has not been returned within 5 days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, to report the information to the Department of Justice Stolen Vehicle System. Except as otherwise provided, a failure to comply with the Vehicle Code is punishable as an infraction.This bill would reduce the 5-day period following the expiration of the vehicle lease or rental agreement to 48 hours for the presumption of embezzlement to apply. The bill would require the lease or rental agreement to disclose that failure to return the vehicle within 48 hours after expiration of the lease or rental agreement may result in the vehicle being reported stolen. The bill would require the lease or rental agreement to require the lessee or renter to provide a method to contact them if the vehicle is not returned as required. The bill would require the owner of an embezzled vehicle to attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method specified in the lease or rental agreement. If the owner is able to contact the party, the bill would require the owner to inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or if upon contacting the other party, the owner is not able to arrange for the return of the vehicle, the bill would authorize the owner to report the vehicle stolen to a peace officer. With regard to a leased or rented vehicle procured by fraud, the bill would specify that the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement of the theft. The bill would except an owner that fails to comply with these requirements from the crime described above. The bill would make conforming changes.Existing law generally governs the transactions between a rental company, also referred to as a rental car company, and its customers, including, among other provisions, restrictions on a rental companys use of electronic surveillance technology. Existing law, as part of those restrictions, prohibits a rental company from using, accessing, or obtaining any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except under specified circumstances. Existing law, until January 1, 2024, authorizes electronic surveillance technology to be used by a rental company in circumstances in which the rental vehicle has not been returned within 72 hours after the contract return date or extension of the return date, subject to certain notice and advertising requirements.This bill would eliminate the January 1, 2024 inoperative date on the authorization for a rental company to use electronic surveillance when the rental vehicle has not been returned as described above, and thereby extend this authorization indefinitely. Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 10500 of the Vehicle Code is amended to read:10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.SEC. 2. Section 10855 of the Vehicle Code is amended to read:10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.(e) Section 40000.1 does not apply to an owner who fails to comply with this section.SECTION 1.Section 1939.23 of the Civil Code is amended to read:1939.23.(a)A rental company shall not use, access, or obtain any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except in the following circumstances:(1)(A)When the equipment is used by the rental company only for the purpose of locating a stolen, abandoned, or missing rental vehicle after one of the following:(i)The renter or law enforcement has informed the rental company that the vehicle is missing or has been stolen or abandoned.(ii)For purposes of this clause, if the rental vehicle has not been returned following 72 hours after the contracted return date or by 72 hours following the end of an extension of that return date, the rental company may activate electronic surveillance technology. The rental company shall provide notice of activation of the electronic surveillance technology 24 hours prior to activation, by telephone and electronically pursuant to Section 1939.22, unless the renter has not provided a telephone number or the renter has not agreed to electronic communication pursuant to Section 1939.22. The rental or lease agreement shall advise the renter that electronic surveillance technology may be activated if the rental vehicle has not been returned within 72 hours after the contracted return date or extension of the return date. The renter shall acknowledge this advisement in the rental or lease agreement by initials. The advisement shall also be made orally to the renter at the time of executing the rental or lease agreement. The advisements are not required to be made to members of the rental companys membership program executing a rental or lease agreement; however, a renter shall be given those advisements upon enrolling in the rental companys membership program.(iii)Notwithstanding clause (ii), if the rental vehicle has not been returned following one week after the contracted return date or by one week following the end of an extension of that return date.(iv)The rental company discovers the rental vehicle has been stolen or abandoned, and, if stolen, the rental company shall report the vehicle stolen to law enforcement by filing a stolen vehicle report, unless law enforcement has already informed the rental company that the vehicle is missing or has been stolen or abandoned.(v)The rental vehicle is the subject of an AMBER Alert issued pursuant to Section 8594 of the Government Code. If the rental company uses the equipment in connection with this provision relating to an AMBER Alert, the rental company shall notify law enforcement that one of the rental companys vehicles is the subject of an AMBER Alert upon becoming aware of the situation, unless law enforcement has already informed the rental company that the vehicle was the subject of an AMBER Alert.(B)If electronic surveillance technology is activated pursuant to subparagraph (A), a rental company shall maintain a record, in either electronic or written form, of information relevant to the activation of that technology. That information shall include the rental agreement, including the return date, and the date and time the electronic surveillance technology was activated. The record shall also include, if relevant, a record of written or other communication with the renter, including communications regarding extensions of the rental, police reports, or other written communication with law enforcement officials. The record shall be maintained for a period of at least 12 months from the time the record is created and shall be made available upon the renters request. The rental company shall maintain and furnish explanatory codes necessary to read the record. A rental company shall not be required to maintain a record if electronic surveillance technology is activated to recover a rental vehicle that is stolen or missing at a time other than during a rental period.(2)In response to a specific request from law enforcement pursuant to a subpoena or search warrant.(b)Subdivision (a) does not prohibit a rental company from equipping rental vehicles with any of the following:(1)GPS-based technology that provides navigation assistance to the occupants of the rental vehicle, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology, except for the purposes of discovering or repairing a defect in the technology and the information may then be used only for that purpose.(2)Electronic surveillance technology that allows for the remote locking or unlocking of the vehicle at the request of the renter, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology, except as necessary to lock or unlock the vehicle.(3)Electronic surveillance technology that allows the company to provide roadside assistance, such as towing, flat tire, or fuel services, at the request of the renter, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology except as necessary to provide the requested roadside assistance.(c)Subdivision (a) does not prohibit a rental company from obtaining, accessing, or using information from electronic surveillance technology for the sole purpose of determining the date and time the vehicle departs from and is returned to the rental company, and the total mileage driven and the vehicle fuel level of the returned vehicle. The information obtained or accessed from this electronic surveillance technology shall only be used for the purpose described in this subdivision.(d)A rental company shall not use electronic surveillance technology to track a renter in order to impose fines or surcharges relating to the renters use of the rental vehicle.

 Amended IN  Assembly  March 11, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 391Introduced by Assembly Member VoepelFebruary 06, 2019 An act to amend Section 1939.23 of the Civil Code, relating to rental passenger vehicle transactions. An act to amend Sections 10500 and 10855 of the Vehicle Code, relating to rented vehicles.LEGISLATIVE COUNSEL'S DIGESTAB 391, as amended, Voepel. Rental passenger vehicle transactions. Leased and rented vehicles: embezzlement and theft.Existing law establishes a presumption that a person who willfully and intentionally fails to return a leased or rented vehicle to its owner within 5 days of the expiration of the agreement has embezzled the vehicle. Existing law requires every peace officer, upon receiving a report based on reliable information that a registered vehicle has been stolen, or that a leased or rented vehicle has not been returned within 5 days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, to report the information to the Department of Justice Stolen Vehicle System. Except as otherwise provided, a failure to comply with the Vehicle Code is punishable as an infraction.This bill would reduce the 5-day period following the expiration of the vehicle lease or rental agreement to 48 hours for the presumption of embezzlement to apply. The bill would require the lease or rental agreement to disclose that failure to return the vehicle within 48 hours after expiration of the lease or rental agreement may result in the vehicle being reported stolen. The bill would require the lease or rental agreement to require the lessee or renter to provide a method to contact them if the vehicle is not returned as required. The bill would require the owner of an embezzled vehicle to attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method specified in the lease or rental agreement. If the owner is able to contact the party, the bill would require the owner to inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or if upon contacting the other party, the owner is not able to arrange for the return of the vehicle, the bill would authorize the owner to report the vehicle stolen to a peace officer. With regard to a leased or rented vehicle procured by fraud, the bill would specify that the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement of the theft. The bill would except an owner that fails to comply with these requirements from the crime described above. The bill would make conforming changes.Existing law generally governs the transactions between a rental company, also referred to as a rental car company, and its customers, including, among other provisions, restrictions on a rental companys use of electronic surveillance technology. Existing law, as part of those restrictions, prohibits a rental company from using, accessing, or obtaining any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except under specified circumstances. Existing law, until January 1, 2024, authorizes electronic surveillance technology to be used by a rental company in circumstances in which the rental vehicle has not been returned within 72 hours after the contract return date or extension of the return date, subject to certain notice and advertising requirements.This bill would eliminate the January 1, 2024 inoperative date on the authorization for a rental company to use electronic surveillance when the rental vehicle has not been returned as described above, and thereby extend this authorization indefinitely. Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO 

 Amended IN  Assembly  March 11, 2019

Amended IN  Assembly  March 11, 2019

 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION

Assembly Bill No. 391

Introduced by Assembly Member VoepelFebruary 06, 2019

Introduced by Assembly Member Voepel
February 06, 2019

 An act to amend Section 1939.23 of the Civil Code, relating to rental passenger vehicle transactions. An act to amend Sections 10500 and 10855 of the Vehicle Code, relating to rented vehicles.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 391, as amended, Voepel. Rental passenger vehicle transactions. Leased and rented vehicles: embezzlement and theft.

Existing law establishes a presumption that a person who willfully and intentionally fails to return a leased or rented vehicle to its owner within 5 days of the expiration of the agreement has embezzled the vehicle. Existing law requires every peace officer, upon receiving a report based on reliable information that a registered vehicle has been stolen, or that a leased or rented vehicle has not been returned within 5 days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, to report the information to the Department of Justice Stolen Vehicle System. Except as otherwise provided, a failure to comply with the Vehicle Code is punishable as an infraction.This bill would reduce the 5-day period following the expiration of the vehicle lease or rental agreement to 48 hours for the presumption of embezzlement to apply. The bill would require the lease or rental agreement to disclose that failure to return the vehicle within 48 hours after expiration of the lease or rental agreement may result in the vehicle being reported stolen. The bill would require the lease or rental agreement to require the lessee or renter to provide a method to contact them if the vehicle is not returned as required. The bill would require the owner of an embezzled vehicle to attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method specified in the lease or rental agreement. If the owner is able to contact the party, the bill would require the owner to inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or if upon contacting the other party, the owner is not able to arrange for the return of the vehicle, the bill would authorize the owner to report the vehicle stolen to a peace officer. With regard to a leased or rented vehicle procured by fraud, the bill would specify that the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement of the theft. The bill would except an owner that fails to comply with these requirements from the crime described above. The bill would make conforming changes.Existing law generally governs the transactions between a rental company, also referred to as a rental car company, and its customers, including, among other provisions, restrictions on a rental companys use of electronic surveillance technology. Existing law, as part of those restrictions, prohibits a rental company from using, accessing, or obtaining any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except under specified circumstances. Existing law, until January 1, 2024, authorizes electronic surveillance technology to be used by a rental company in circumstances in which the rental vehicle has not been returned within 72 hours after the contract return date or extension of the return date, subject to certain notice and advertising requirements.This bill would eliminate the January 1, 2024 inoperative date on the authorization for a rental company to use electronic surveillance when the rental vehicle has not been returned as described above, and thereby extend this authorization indefinitely. 

Existing law establishes a presumption that a person who willfully and intentionally fails to return a leased or rented vehicle to its owner within 5 days of the expiration of the agreement has embezzled the vehicle. Existing law requires every peace officer, upon receiving a report based on reliable information that a registered vehicle has been stolen, or that a leased or rented vehicle has not been returned within 5 days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, to report the information to the Department of Justice Stolen Vehicle System. Except as otherwise provided, a failure to comply with the Vehicle Code is punishable as an infraction.

This bill would reduce the 5-day period following the expiration of the vehicle lease or rental agreement to 48 hours for the presumption of embezzlement to apply. The bill would require the lease or rental agreement to disclose that failure to return the vehicle within 48 hours after expiration of the lease or rental agreement may result in the vehicle being reported stolen. The bill would require the lease or rental agreement to require the lessee or renter to provide a method to contact them if the vehicle is not returned as required. The bill would require the owner of an embezzled vehicle to attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method specified in the lease or rental agreement. If the owner is able to contact the party, the bill would require the owner to inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or if upon contacting the other party, the owner is not able to arrange for the return of the vehicle, the bill would authorize the owner to report the vehicle stolen to a peace officer. With regard to a leased or rented vehicle procured by fraud, the bill would specify that the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement of the theft. The bill would except an owner that fails to comply with these requirements from the crime described above. The bill would make conforming changes.

Existing law generally governs the transactions between a rental company, also referred to as a rental car company, and its customers, including, among other provisions, restrictions on a rental companys use of electronic surveillance technology. Existing law, as part of those restrictions, prohibits a rental company from using, accessing, or obtaining any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except under specified circumstances. Existing law, until January 1, 2024, authorizes electronic surveillance technology to be used by a rental company in circumstances in which the rental vehicle has not been returned within 72 hours after the contract return date or extension of the return date, subject to certain notice and advertising requirements.



This bill would eliminate the January 1, 2024 inoperative date on the authorization for a rental company to use electronic surveillance when the rental vehicle has not been returned as described above, and thereby extend this authorization indefinitely. 



## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 10500 of the Vehicle Code is amended to read:10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.SEC. 2. Section 10855 of the Vehicle Code is amended to read:10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.(e) Section 40000.1 does not apply to an owner who fails to comply with this section.SECTION 1.Section 1939.23 of the Civil Code is amended to read:1939.23.(a)A rental company shall not use, access, or obtain any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except in the following circumstances:(1)(A)When the equipment is used by the rental company only for the purpose of locating a stolen, abandoned, or missing rental vehicle after one of the following:(i)The renter or law enforcement has informed the rental company that the vehicle is missing or has been stolen or abandoned.(ii)For purposes of this clause, if the rental vehicle has not been returned following 72 hours after the contracted return date or by 72 hours following the end of an extension of that return date, the rental company may activate electronic surveillance technology. The rental company shall provide notice of activation of the electronic surveillance technology 24 hours prior to activation, by telephone and electronically pursuant to Section 1939.22, unless the renter has not provided a telephone number or the renter has not agreed to electronic communication pursuant to Section 1939.22. The rental or lease agreement shall advise the renter that electronic surveillance technology may be activated if the rental vehicle has not been returned within 72 hours after the contracted return date or extension of the return date. The renter shall acknowledge this advisement in the rental or lease agreement by initials. The advisement shall also be made orally to the renter at the time of executing the rental or lease agreement. The advisements are not required to be made to members of the rental companys membership program executing a rental or lease agreement; however, a renter shall be given those advisements upon enrolling in the rental companys membership program.(iii)Notwithstanding clause (ii), if the rental vehicle has not been returned following one week after the contracted return date or by one week following the end of an extension of that return date.(iv)The rental company discovers the rental vehicle has been stolen or abandoned, and, if stolen, the rental company shall report the vehicle stolen to law enforcement by filing a stolen vehicle report, unless law enforcement has already informed the rental company that the vehicle is missing or has been stolen or abandoned.(v)The rental vehicle is the subject of an AMBER Alert issued pursuant to Section 8594 of the Government Code. If the rental company uses the equipment in connection with this provision relating to an AMBER Alert, the rental company shall notify law enforcement that one of the rental companys vehicles is the subject of an AMBER Alert upon becoming aware of the situation, unless law enforcement has already informed the rental company that the vehicle was the subject of an AMBER Alert.(B)If electronic surveillance technology is activated pursuant to subparagraph (A), a rental company shall maintain a record, in either electronic or written form, of information relevant to the activation of that technology. That information shall include the rental agreement, including the return date, and the date and time the electronic surveillance technology was activated. The record shall also include, if relevant, a record of written or other communication with the renter, including communications regarding extensions of the rental, police reports, or other written communication with law enforcement officials. The record shall be maintained for a period of at least 12 months from the time the record is created and shall be made available upon the renters request. The rental company shall maintain and furnish explanatory codes necessary to read the record. A rental company shall not be required to maintain a record if electronic surveillance technology is activated to recover a rental vehicle that is stolen or missing at a time other than during a rental period.(2)In response to a specific request from law enforcement pursuant to a subpoena or search warrant.(b)Subdivision (a) does not prohibit a rental company from equipping rental vehicles with any of the following:(1)GPS-based technology that provides navigation assistance to the occupants of the rental vehicle, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology, except for the purposes of discovering or repairing a defect in the technology and the information may then be used only for that purpose.(2)Electronic surveillance technology that allows for the remote locking or unlocking of the vehicle at the request of the renter, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology, except as necessary to lock or unlock the vehicle.(3)Electronic surveillance technology that allows the company to provide roadside assistance, such as towing, flat tire, or fuel services, at the request of the renter, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology except as necessary to provide the requested roadside assistance.(c)Subdivision (a) does not prohibit a rental company from obtaining, accessing, or using information from electronic surveillance technology for the sole purpose of determining the date and time the vehicle departs from and is returned to the rental company, and the total mileage driven and the vehicle fuel level of the returned vehicle. The information obtained or accessed from this electronic surveillance technology shall only be used for the purpose described in this subdivision.(d)A rental company shall not use electronic surveillance technology to track a renter in order to impose fines or surcharges relating to the renters use of the rental vehicle.

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

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

SECTION 1. Section 10500 of the Vehicle Code is amended to read:10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.

SECTION 1. Section 10500 of the Vehicle Code is amended to read:

### SECTION 1.

10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.

10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.

10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.



10500. (a) Every peace officer, upon receiving a report based on reliable information that any vehicle registered under this code has been stolen, taken, or driven in violation of Section 10851, or that a leased or rented vehicle has not been returned within five days after its owner has made written demand for its return, by certified or registered mail, following the expiration of the lease or rental agreement, 48 hours following the expiration of the lease or rental agreement and after the owner attempted to notify the customer pursuant to the provisions of subdivision (b) of Section 10855, or that license plates for any vehicle have been lost or stolen, shall, immediately after receiving that information, report the information to the Department of Justice Stolen Vehicle System. An officer, upon receiving information of the recovery of any vehicle described in this subdivision, or of the recovery of plates which have been previously reported as lost or stolen, shall immediately report the fact of the recovery to the Department of Justice Stolen Vehicle System. At the same time, the recovering officer shall advise the Department of Justice Stolen Vehicle System and the original reporting police agency of the location and condition of the vehicle or license plates recovered. The original reporting police agency, upon receipt of the information from the recovering officer, shall, shall immediately attempt to notify the reporting party by telephone, if the telephone number of the reporting party is available or readily accessible, of the location and condition of the recovered vehicle. If the reporting partys telephone number is unknown, or notification attempts were unsuccessful, the original reporting police agency shall notify the reporting party by placing, in the mail, a notice providing the location and condition of the recovered vehicle. This written notice shall be mailed within 24 hours of the original reporting police agencys receipt of the information of the recovery of the vehicle, excluding holidays and weekends.

(b) If the recovered vehicle is subject to parking or storage charges, Section 10652.5 applies.

SEC. 2. Section 10855 of the Vehicle Code is amended to read:10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.(e) Section 40000.1 does not apply to an owner who fails to comply with this section.

SEC. 2. Section 10855 of the Vehicle Code is amended to read:

### SEC. 2.

10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.(e) Section 40000.1 does not apply to an owner who fails to comply with this section.

10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.(e) Section 40000.1 does not apply to an owner who fails to comply with this section.

10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.(e) Section 40000.1 does not apply to an owner who fails to comply with this section.



10855. Whenever any (a) (1) If a person who has leased or rented a vehicle wilfully willfully and intentionally fails to return the vehicle to its owner within five days 48 hours after the lease or rental agreement has expired, that person shall be presumed to have embezzled the vehicle.

(2) If the owner of a vehicle that has been leased or rented discovers that it was procured by fraud, the owner is not required to wait until the expiration of the lease or rental agreement to inform law enforcement pursuant to subdivision (c).

(b) The owner of an embezzled vehicle as described in paragraph (1) of subdivision (a) shall attempt to contact the other party to the lease or rental agreement who has failed to return the vehicle using the contact method designated in the rental agreement for this purpose. If the owner is able to contact the party, the owner shall inform the party that if arrangements for the return of the vehicle that are satisfactory for the owner are not made, the owner may report the vehicle stolen to law enforcement. If the owner is not able to contact the other party after a reasonable number of attempts, or, if upon contacting the other party, the owner is not able arrange for the satisfactory return of the vehicle, the owner may report the vehicle stolen pursuant to subdivision (c).

(c) The owner of a vehicle that has been embezzled as described in paragraph (1) of subdivision (a), after satisfaction of the requirements of subdivision (b), or of a vehicle that was stolen as described in paragraph (2) of subdivision (a), may report this occurrence to a peace officer.

(d) The lease or rental agreement shall disclose that failure to return the vehicle within 48 hours of the expiration of the lease or rental agreement may result in the owner reporting the vehicle as stolen and shall require the lessee to provide a method to contact the lessee if the vehicle is not returned.

(e) Section 40000.1 does not apply to an owner who fails to comply with this section.





(a)A rental company shall not use, access, or obtain any information relating to the renters use of the rental vehicle that was obtained using electronic surveillance technology, except in the following circumstances:



(1)(A)When the equipment is used by the rental company only for the purpose of locating a stolen, abandoned, or missing rental vehicle after one of the following:



(i)The renter or law enforcement has informed the rental company that the vehicle is missing or has been stolen or abandoned.



(ii)For purposes of this clause, if the rental vehicle has not been returned following 72 hours after the contracted return date or by 72 hours following the end of an extension of that return date, the rental company may activate electronic surveillance technology. The rental company shall provide notice of activation of the electronic surveillance technology 24 hours prior to activation, by telephone and electronically pursuant to Section 1939.22, unless the renter has not provided a telephone number or the renter has not agreed to electronic communication pursuant to Section 1939.22. The rental or lease agreement shall advise the renter that electronic surveillance technology may be activated if the rental vehicle has not been returned within 72 hours after the contracted return date or extension of the return date. The renter shall acknowledge this advisement in the rental or lease agreement by initials. The advisement shall also be made orally to the renter at the time of executing the rental or lease agreement. The advisements are not required to be made to members of the rental companys membership program executing a rental or lease agreement; however, a renter shall be given those advisements upon enrolling in the rental companys membership program.



(iii)Notwithstanding clause (ii), if the rental vehicle has not been returned following one week after the contracted return date or by one week following the end of an extension of that return date.



(iv)The rental company discovers the rental vehicle has been stolen or abandoned, and, if stolen, the rental company shall report the vehicle stolen to law enforcement by filing a stolen vehicle report, unless law enforcement has already informed the rental company that the vehicle is missing or has been stolen or abandoned.



(v)The rental vehicle is the subject of an AMBER Alert issued pursuant to Section 8594 of the Government Code. If the rental company uses the equipment in connection with this provision relating to an AMBER Alert, the rental company shall notify law enforcement that one of the rental companys vehicles is the subject of an AMBER Alert upon becoming aware of the situation, unless law enforcement has already informed the rental company that the vehicle was the subject of an AMBER Alert.



(B)If electronic surveillance technology is activated pursuant to subparagraph (A), a rental company shall maintain a record, in either electronic or written form, of information relevant to the activation of that technology. That information shall include the rental agreement, including the return date, and the date and time the electronic surveillance technology was activated. The record shall also include, if relevant, a record of written or other communication with the renter, including communications regarding extensions of the rental, police reports, or other written communication with law enforcement officials. The record shall be maintained for a period of at least 12 months from the time the record is created and shall be made available upon the renters request. The rental company shall maintain and furnish explanatory codes necessary to read the record. A rental company shall not be required to maintain a record if electronic surveillance technology is activated to recover a rental vehicle that is stolen or missing at a time other than during a rental period.



(2)In response to a specific request from law enforcement pursuant to a subpoena or search warrant.



(b)Subdivision (a) does not prohibit a rental company from equipping rental vehicles with any of the following:



(1)GPS-based technology that provides navigation assistance to the occupants of the rental vehicle, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology, except for the purposes of discovering or repairing a defect in the technology and the information may then be used only for that purpose.



(2)Electronic surveillance technology that allows for the remote locking or unlocking of the vehicle at the request of the renter, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology, except as necessary to lock or unlock the vehicle.



(3)Electronic surveillance technology that allows the company to provide roadside assistance, such as towing, flat tire, or fuel services, at the request of the renter, if the rental company does not use, access, or obtain information relating to the renters use of the rental vehicle that was obtained using that technology except as necessary to provide the requested roadside assistance.



(c)Subdivision (a) does not prohibit a rental company from obtaining, accessing, or using information from electronic surveillance technology for the sole purpose of determining the date and time the vehicle departs from and is returned to the rental company, and the total mileage driven and the vehicle fuel level of the returned vehicle. The information obtained or accessed from this electronic surveillance technology shall only be used for the purpose described in this subdivision.



(d)A rental company shall not use electronic surveillance technology to track a renter in order to impose fines or surcharges relating to the renters use of the rental vehicle.