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Assembly Bill 546 (Moore 1990)

Chapter 13, Statutes of 1990 - AB 546

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Assembly Bill 546 was introduced by Assembly member Gwen Moore on February 8, 1989.  (See Exhibit A, #1a)  Assembly Bill 546 was a single-section bill proposing only to add Civil Code section 1057.3.  (See Exhibit A, #1f)  It appears that Assembly member Moore carried the bill on her own initiative, and not for any particular party or entity.  (See Exhibit A, #5, document ARC-3, #6, page 1)

 

The Assembly and Senate Committees on Judiciary considered the policy issues raised by the bill.  (See Exhibit A, #3 and #6)  Four amendments were made to Assembly Bill 546.  (See Exhibit A, #1b through #1e and #2)  Subsequent to legislative approval, Assembly Bill 546 was forwarded to Governor George Deukmejian who signed the bill on March 8, 1990.  The Secretary of State recorded the bill on the following day as Chapter 13 of the Statutes of 1990.  (See Exhibit A, #1f and #2) 

 

The Office of Senate Floor Analyses provides a Third Reading Analysis addressing the bill as last amended on February 16, 1990, stating:

 

. . .provides that upon a failure of the underlying sales agreement, a residential real property buyer’s or seller’s bad faith refusal to release funds placed in escrow be subject to treble damages up to $1,000 and reasonable attorney’s fees.

(See Exhibit A, #8, page 1)