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HOUSE DOCKET, NO. 1978 FILED ON: 1/19/2023
HOUSE . . . . . . . . . . . . . . . No. 1575
The Commonwealth of Massachusetts
_________________
PRESENTED BY:
Bradley H. Jones, Jr.
_________________
To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act relative to profits from crime.
_______________
PETITION OF:
NAME:DISTRICT/ADDRESS :DATE ADDED:Bradley H. Jones, Jr.20th Middlesex1/17/2023Nicholas A. Boldyga3rd Hampden1/26/2023F. Jay Barrows1st Bristol1/26/2023Angelo L. D'Emilia8th Plymouth1/29/2023Paul K. Frost7th Worcester1/31/2023Kimberly N. Ferguson1st Worcester1/31/2023 1 of 7
HOUSE DOCKET, NO. 1978 FILED ON: 1/19/2023
HOUSE . . . . . . . . . . . . . . . No. 1575
By Representative Jones of North Reading, a petition (accompanied by bill, House, No. 1575) of
Bradley H. Jones, Jr. and others for legislation to authorize the Division of Victim Compensation
and Assistance to monitor profits from criminal activities of incarcerated persons. The Judiciary.
[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE HOUSE, NO. 1686 OF 2021-2022.]
The Commonwealth of Massachusetts
_______________
In the One Hundred and Ninety-Third General Court
(2023-2024)
_______________
An Act relative to profits from crime.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 SECTION 1. The General Laws, as appearing in the 2020 Official Edition, are hereby
2amended by inserting after chapter 258E the following new chapter:-
3 “CHAPTER 258F
4 Section 1. (a) The following words as used in this section shall have the following
5meanings, unless the context otherwise requires:
6 "Contracting party", any person, firm, corporation, partnership, association or other
7private legal entity which contracts for, pays, or agrees to pay a defendant consideration which it
8knows or reasonably should know may constitute proceeds from a crime. 2 of 7
9 “Conviction”, a finding or verdict guilty or of not guilty by reason of insanity, a plea of
10guilty or a finding of sufficient facts to warrant a finding of guilty whether or not final judgment
11or sentence is imposed, or an adjudication of delinquency or of youthful offender status as
12defined in section 52 of chapter 119.
13 "Crime", any violation of Massachusetts law that is punishable by imprisonment in state
14prison and any federal offense committed in the commonwealth that is punishable by death or
15imprisonment for a term of more than one year. Crime shall also include any offense committed
16by a juvenile which would be a crime if the juvenile were an adult.
17 "Defendant", a person who has been charged with or convicted of a crime, or has
18voluntarily admitted the commission of a crime.
19 "Division", the division of victim compensation and assistance within the department of
20the attorney general.
21 "Proceeds of the crime", any assets, material objects, monies, and property obtained
22through the use of unique knowledge or notoriety acquired by means and in consequence of the
23commission of a crime from whatever source received by or owing to a defendant or his
24representative, whether earned, accrued, or paid before or after the disposition of criminal
25charges against the defendant.
26 "Victim", any natural person who suffers direct or threatened physical, emotional, or
27financial harm as the result of the commission of a crime, or the estate, legal guardian, and other
28family members of such person if the person is a minor, incompetent or deceased. 3 of 7
29 (b) Any contracting party which contracts for, pays or agrees to pay a defendant or his
30representative consideration which it knows or reasonably should know may constitute proceeds
31of a crime shall, within 30 days of the agreement, submit to the division a copy of its contract or
32a summary of the terms of any oral agreement.
33 (c) Until such time as the division makes its determinations under subsection (g), the
34contracting party shall file a bond, executed by the contracting party and by a surety company
35authorized to do business within the commonwealth, with the division equal in amount to any
36proceeds of the crime which by the terms of the contract would otherwise be owing to a
37defendant or his representative. Said bond shall be payable to the commonwealth, for the benefit
38of any victim aggrieved by the activity of the defendant or contracting party.
39 (d) If the provisions of subsections (b) or (c) are violated, the division may petition the
40superior court for an order of enforcement. Such action shall be brought in the county in which
41the contracting party resides or has his principle place of business, or in Suffolk county if the
42contracting party does not reside or have a principal place of business in the commonwealth.
43Upon a finding that a contracting party has violated either subsections (b) or (c) the court shall,
44in addition to any other relief, impose on the contracting party a civil penalty of the value of the
45contract or agreement. If the court finds such violation to have been knowing or willful, it shall
46impose a civil penalty up to three, but not less than two, times the value of the contract or
47agreement. To the extent monies or other consideration received by the division as a result of
48such order exceed the value of the contract or agreement, they shall be deposited into the victim
49compensation fund maintained by the treasurer in accordance with section 4(c). Any remaining
50monies or consideration shall be held by the division pending the determinations required by
51subsection (g). 4 of 7
52 (e) The division, upon receipt of a contract or other agreement to pay a defendant, shall
53take reasonable steps to notify all known victims of the crime about the existence of a contract or
54agreement. Notifications shall be made by certified mail to the victim's last known address. The
55division shall also provide legal notice in a newspaper of general circulation in the county in
56which the crime was committed to publicize the existence of proceeds related to the crime. Such
57notice shall be made by the division once every six months for one year from the date of receipt
58of the contract or agreement. The division may provide for such additional notice as it deems
59necessary. Failure to notify the victim shall not result in liability beyond the amount of any
60consideration in escrow at the time any judgment arising out of such liability is executed upon.
61 (f) Notwithstanding any other provision of the General Laws with respect to the timely
62bringing of an action, any victim shall have the right to bring a civil action to recover money
63damages from a defendant or his legal representative within three years of the last mandatory
64published public notice provided for in subsection (e).
65 (g) Within 30 days from the receipt of a contract or agreement, or upon its own initiative
66if no contract or agreement is submitted, the division shall determine whether the terms of the
67contract or agreement include proceeds as defined in subsection (a), and, if so, whether such
68proceeds arise from activity that is substantially related to a crime. An activity is substantially
69related to a crime if it principally derives from the unique knowledge or notoriety acquired by
70means and in consequence of the commission of a crime for which the defendant has been
71charged or convicted, or which the defendant has voluntarily admitted. Activity that is
72tangentially related to a crime, or that contains only a passing reference to a crime, shall not be
73determined to be substantially related. 5 of 7
74 (h) In order to make the determinations required by subsection (g) the division shall be
75authorized to issue written civil investigative demands which may be served by certified mail,
76and which shall be returned within 15 days from the date of service. Whenever a person fails to
77comply with a civil investigative demand served on him pursuant to this section, the division
78may petition the superior court for an order of enforcement. Such action shall be brought in the
79county in which the party resides or has his principal place of business, or in Suffolk county if
80the party does not reside or have a principal place of business in the commonwealth. Failure to
81comply with an order entered under this section shall be punished as a contempt of court. All
82information collected by the division pursuant to this section shall be kept in accordance with the
83provisions of chapters 4, 66, and 66A.
84 (i) Upon making the determinations required by subsection (g), the division may continue
85to hold the bond filed in accordance with subsection (c), or may require the contracting party to
86file a new bond equal to the amount determined by the division to constitute proceeds arising
87from activity that is substantially related to a crime. The bond held by the division shall be used
88to satisfy, in part or in full, any civil judgment obtained by a victim against the defendant arising
89from the crime.
90 (j) Within 15 days of the determination required by subsection (g), the division shall
91notify the contracting party of its determinations by certified mail.
92 (k) Within 15 days of the date of mailing of the notice of the division’s determination, a
93contracting party aggrieved by the division’s determination may appeal to the attorney general,
94by serving on the attorney general a written notice to that effect. Thereupon the attorney general
95shall immediately cause the division or his designee to hold a public hearing on the division’s 6 of 7
96action appealed from. The division shall notify the contracting party by certified mail of the
97determination upon appeal within 10 days of the closing of the hearing. Such notice shall include
98information regarding the contracting party’s right to a petition for judicial review of the
99determination of the division.
100 (l) Within 30 days of the date of mailing of the notice of the division’s determination, the
101contracting party may file a complaint for judicial review in the superior court in the county in
102which the contracting party resides or has his principle place of business, or in Suffolk County if
103the contracting party does not reside or have a principal place of business in the commonwealth.
104Proceedings upon any such complaint shall be in accordance with chapter 30A. If no petition is
105filed within the time specified, the decision of the division shall be final.
106 (m) The bond required in subsections (c) and (i) shall not be used to satisfy any civil
107judgment for a victim until the defendant has been fully and finally convicted of the crime for
108which he has been charged or until the defendant has voluntarily admitted the commission of the
109crime.
110 (n) The division shall return to the contracting party the bond required in subsections (c)
111and (i) if the defendant is fully and finally prosecuted and is not convicted of the crime, or has
112not voluntarily admitted the commission of the crime.
113 (o) After all civil claims instituted by victims against the defendant have been satisfied,
114or if no claims have been filed after three years after the last mandatory published public notice
115provided for in subsection (e), one half of the value of the bond required in subsections (c) and
116(i) shall be returned to the contracting party. The remaining portion of the bond shall be 7 of 7
117deposited into the victim compensation fund maintained by the department of the attorney
118general in accordance with section 4C of chapter 258C.
119 (p) The division, acting on behalf of any victim, shall have the right to apply for any and
120all provisional remedies, available under civil practice law and rules, including, but not limited
121to, attachment, injunction, receivership and notice of pendency.
122 (q) Any action taken by a defendant, or his representative, whether by way of execution
123of a power of attorney, creation of corporate entities or otherwise, to defeat the purpose of this
124section shall be null and void.”
125 SECTION 2. Section 2A of chapter 260 of the General Laws, as so appearing, is hereby
126amended by inserting after the first sentence the following sentence:- “Actions for torts against a
127criminal defendant by the victim as defined by section 1 of chapter 258D shall be tolled during
128any period of incarceration, parole or probation of the defendant for the crime committed against
129the victim.”