California 2023 2023-2024 Regular Session

California Assembly Bill AB537 Amended / Bill

Filed 05/18/2023

                    Amended IN  Assembly  May 18, 2023 Amended IN  Assembly  April 19, 2023 Amended IN  Assembly  April 12, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 537Introduced by Assembly Member Berman(Principal coauthor: Senator Glazer)(Coauthors: Assembly Members Addis, Aguiar-Curry, Bauer-Kahan, Bryan, Friedman, Garcia, Haney, Jackson, Kalra, Maienschein, Papan, Petrie-Norris, Robert Rivas, Ting, Ward, Wicks, and Wilson)February 08, 2023 An act to add Section 17568.6 to the Business and Professions Code, relating to advertising. LEGISLATIVE COUNSEL'S DIGESTAB 537, as amended, Berman. Short-term lodging: advertising: rates. Existing law makes it unlawful for any owner or operator of a motel, motor court, or like establishment to post or maintain outdoor advertising signs relating to room rates that has any untrue, misleading, false, or fraudulent representations, and specified other requirements on outdoor signs for those establishments. Existing law also prohibits an owner or operator of a hotel or motel from increasing the hotel or motels rates upon the proclamation of a state of emergency by the President of the United States or the Governor or upon the declaration of a local emergency, as specified. This bill would prohibit a place of short-term lodging, as defined, from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging. The bill would prohibit an internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required stay at the short-term lodging. The bill would make a knowing violation of those provisions subject to a specified civil penalty not to exceed $10,000 and would authorize an action to enforce those provisions to be brought by a city attorney, district attorney, county counsel, or the Attorney General. The bill would make the bills provisions operative on July 1, 2024.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 17568.6 is added to the Business and Professions Code, immediately following Section 17568.5, to read:17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. (d) This section shall become operative on July 1, 2024.

 Amended IN  Assembly  May 18, 2023 Amended IN  Assembly  April 19, 2023 Amended IN  Assembly  April 12, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 537Introduced by Assembly Member Berman(Principal coauthor: Senator Glazer)(Coauthors: Assembly Members Addis, Aguiar-Curry, Bauer-Kahan, Bryan, Friedman, Garcia, Haney, Jackson, Kalra, Maienschein, Papan, Petrie-Norris, Robert Rivas, Ting, Ward, Wicks, and Wilson)February 08, 2023 An act to add Section 17568.6 to the Business and Professions Code, relating to advertising. LEGISLATIVE COUNSEL'S DIGESTAB 537, as amended, Berman. Short-term lodging: advertising: rates. Existing law makes it unlawful for any owner or operator of a motel, motor court, or like establishment to post or maintain outdoor advertising signs relating to room rates that has any untrue, misleading, false, or fraudulent representations, and specified other requirements on outdoor signs for those establishments. Existing law also prohibits an owner or operator of a hotel or motel from increasing the hotel or motels rates upon the proclamation of a state of emergency by the President of the United States or the Governor or upon the declaration of a local emergency, as specified. This bill would prohibit a place of short-term lodging, as defined, from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging. The bill would prohibit an internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required stay at the short-term lodging. The bill would make a knowing violation of those provisions subject to a specified civil penalty not to exceed $10,000 and would authorize an action to enforce those provisions to be brought by a city attorney, district attorney, county counsel, or the Attorney General. The bill would make the bills provisions operative on July 1, 2024.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO 

 Amended IN  Assembly  May 18, 2023 Amended IN  Assembly  April 19, 2023 Amended IN  Assembly  April 12, 2023

Amended IN  Assembly  May 18, 2023
Amended IN  Assembly  April 19, 2023
Amended IN  Assembly  April 12, 2023

 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION

 Assembly Bill 

No. 537

Introduced by Assembly Member Berman(Principal coauthor: Senator Glazer)(Coauthors: Assembly Members Addis, Aguiar-Curry, Bauer-Kahan, Bryan, Friedman, Garcia, Haney, Jackson, Kalra, Maienschein, Papan, Petrie-Norris, Robert Rivas, Ting, Ward, Wicks, and Wilson)February 08, 2023

Introduced by Assembly Member Berman(Principal coauthor: Senator Glazer)(Coauthors: Assembly Members Addis, Aguiar-Curry, Bauer-Kahan, Bryan, Friedman, Garcia, Haney, Jackson, Kalra, Maienschein, Papan, Petrie-Norris, Robert Rivas, Ting, Ward, Wicks, and Wilson)
February 08, 2023

 An act to add Section 17568.6 to the Business and Professions Code, relating to advertising. 

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 537, as amended, Berman. Short-term lodging: advertising: rates.

 Existing law makes it unlawful for any owner or operator of a motel, motor court, or like establishment to post or maintain outdoor advertising signs relating to room rates that has any untrue, misleading, false, or fraudulent representations, and specified other requirements on outdoor signs for those establishments. Existing law also prohibits an owner or operator of a hotel or motel from increasing the hotel or motels rates upon the proclamation of a state of emergency by the President of the United States or the Governor or upon the declaration of a local emergency, as specified. This bill would prohibit a place of short-term lodging, as defined, from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging. The bill would prohibit an internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required stay at the short-term lodging. The bill would make a knowing violation of those provisions subject to a specified civil penalty not to exceed $10,000 and would authorize an action to enforce those provisions to be brought by a city attorney, district attorney, county counsel, or the Attorney General. The bill would make the bills provisions operative on July 1, 2024.

 Existing law makes it unlawful for any owner or operator of a motel, motor court, or like establishment to post or maintain outdoor advertising signs relating to room rates that has any untrue, misleading, false, or fraudulent representations, and specified other requirements on outdoor signs for those establishments. Existing law also prohibits an owner or operator of a hotel or motel from increasing the hotel or motels rates upon the proclamation of a state of emergency by the President of the United States or the Governor or upon the declaration of a local emergency, as specified. 

This bill would prohibit a place of short-term lodging, as defined, from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging. The bill would prohibit an internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered from advertising or offering a room rate, if specific travel dates are selected, that does not include all taxes and fees required stay at the short-term lodging. The bill would make a knowing violation of those provisions subject to a specified civil penalty not to exceed $10,000 and would authorize an action to enforce those provisions to be brought by a city attorney, district attorney, county counsel, or the Attorney General. The bill would make the bills provisions operative on July 1, 2024.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 17568.6 is added to the Business and Professions Code, immediately following Section 17568.5, to read:17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. (d) This section shall become operative on July 1, 2024.

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 17568.6 is added to the Business and Professions Code, immediately following Section 17568.5, to read:17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. (d) This section shall become operative on July 1, 2024.

SECTION 1. Section 17568.6 is added to the Business and Professions Code, immediately following Section 17568.5, to read:

### SECTION 1.

17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. (d) This section shall become operative on July 1, 2024.

17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. (d) This section shall become operative on July 1, 2024.

17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. (d) This section shall become operative on July 1, 2024.



17568.6. (a) (1) A place of short-term lodging shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.

(2) An internet website, application, or other similar centralized online platform whereby rental of a place of short-term lodging is advertised or offered, shall not advertise or offer a room rate, as defined in Section 17561, if specific travel dates are selected, that does not include all taxes and fees required to stay at the short-term lodging.

(b) For purposes of this section, short-term lodging means any hotel, motel, bed and breakfast inn, or other similar transient lodging establishment. Short-term lodging also includes a short-term rental, or a residential property that is rented to a visitor for fewer than 30 days through a centralized online platform whereby the rental is advertised or offered and payments for the rental are securely processed.

(c) (1) An entity that knowingly violates this section shall be subject to a civil penalty not exceeding ten thousand dollars ($10,000) for each violation.

(2) An action to enforce this section may be brought by a city attorney, district attorney, county counsel, or the Attorney General. 

(d) This section shall become operative on July 1, 2024.