Tenancy: digitally altered images: disclosure., the official text

An act to amend Section 10140.8 of, and to add Section 10175.4 to, the Business and Professions Code, and to add Section 1940.11 to the Civil Code, relating to tenancy.

LEGISLATIVE COUNSEL'S DIGEST

Existing law generally regulates the hiring of real property.
The Real Estate Law generally provides for the licensure and regulation of real estate brokers and salespersons. The law requires a real estate broker or salesperson, or person acting on their behalf, who includes a digitally altered image, as defined, in an advertisement or other promotional material for the sale of real property to include a disclosure, as specified. If the advertisement or promotional material is posted on an internet website, the law requires the same image without digital alteration to be included, as specified. The law defines “sell,” “sale,” or “sold” for these purposes as a transaction for the transfer of real property from a seller to a buyer, and includes, among other things, a leasehold exceeding one year’s duration. A willful violation of the Real Estate Law is a crime.
This bill would require a person who includes a digitally altered image, as defined, in an advertisement or other promotional material for the rental of real property to include a disclosure, as specified. The bill would require the unaltered image to be included, as specified, unless the image, architectural rendering, or artistic rendering was not originally created through the use of a capture device, as defined. The bill would specify that a violation of these provisions by a person licensed under the Real Estate Law is a violation of that law. By imposing new requirements on real estate licensees, the violation of which is a crime, this bill would impose a state-mandated local program. The bill would specify that the provisions that apply to an advertisement or other promotional material for the sale of real property described above do not apply to an advertisement or other promotional material for a leasehold exceeding one year’s duration.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.

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

SECTION 1.
Section 10140.8 of the Business and Professions Code is amended to read:
10140.8.
(a) (1) A real estate broker or salesperson, or person acting on their behalf, who includes a digitally altered image in an advertisement or other promotional material for the sale of real property shall include in the advertisement or promotional material a statement disclosing that the image has been altered and a link to a publicly accessible internet website, URL, or QR code that includes, and clearly identifies, the original, unaltered image. The statement shall be reasonably conspicuous and located on or adjacent to the image and shall include language indicating that the unaltered images can be accessed on the linked internet website, URL, or QR code.
(2) If an advertisement or promotional material described in paragraph (1) is posted on an internet website over which the real estate broker or salesperson, or person acting on their behalf, has control, they shall include the unaltered version of the images from which the digitally altered images were created in the posting. A person subject to this paragraph may comply with this requirement by including a link to a publicly accessible internet website that includes, and clearly identifies, the original, unaltered image. If the real estate broker or salesperson, or person acting on their behalf, complies with this requirement by including a link to the unaltered images, the statement required by paragraph (1) shall include language indicating the unaltered images can be accessed on the linked internet website, URL, or QR code.
(b) (1) For purposes of this section, “digitally altered image” means an image, created by or at the direction of the real estate broker or salesperson, or person acting on their behalf, that has been altered through the use of photo editing software or artificial intelligence to add, remove, or change elements in the image, including, but not limited to, fixtures, furniture, appliances, flooring, walls, paint color, hardscape, landscape, facade, floor plans, and elements outside of, or visible from, the property, including, but not limited to, streetlights, utility poles, views through windows, and neighboring properties.
(2) “Digitally altered image” does not include an image where only lighting, sharpening, white balance, color correction, angle, straightening, cropping, exposure, or other common photo editing adjustments are made that do not change the representation of the real property.
(c) This section does not apply to an advertisement or other promotional material for a leasehold exceeding one year’s duration.

SEC. 2.
Section 10175.4 is added to the Business and Professions Code, to read:
10175.4.
A violation of Section 1940.11 of the Civil Code by a licensee shall be deemed a violation of this part.

SEC. 3.
Section 1940.11 is added to the Civil Code, to read:
1940.11.
(a) For purposes of this section:
(1) “Capture device” has the same meaning as defined in Section 22757.1 of the Business and Professions Code.
(2) (A) “Digitally altered image” means an image created by or at the direction of a person that has been altered through the use of photo editing software or artificial intelligence to add, remove, or change elements in the image, including, but not limited to, fixtures, furniture, appliances, flooring, walls, paint color, hardscape, landscape, facade, floor plans, and elements outside of, or visible from, the property, including, but not limited to, streetlights, utility poles, views through windows, and neighboring properties.
(B) “Digitally altered image” does not include an image where only lighting, sharpening, white balance, color correction, angle, straightening, cropping, exposure, or other common photo editing adjustments are made that do not change the representation of the real property.
(b) (1) A person who includes a digitally altered image in an advertisement or other promotional material for rental of real property shall include in the advertisement or promotional material a disclosure that the image has been altered. The disclosure shall be reasonably conspicuous and located on or adjacent to the image.
(2) (A) An advertisement or promotional material described in paragraph (1) shall include the unaltered version of the images from which the digitally altered images were created in the posting. A person subject to this paragraph may comply with this requirement by including a link to a publicly accessible internet website that includes, and clearly identifies, the original, unaltered image. If the person complies with this requirement by including a link to the unaltered images, the disclosure required by paragraph (1) shall include language indicating the unaltered images can be accessed on the linked internet website, URL, or QR code.
(B) Subparagraph (A) does not apply to an image, architectural rendering, or artistic rendering that was not originally created through the use of a capture device.

SEC. 4.
No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.