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SR-100-002 (6) Commission on the Status of Women (COSW)\Staff Reports\SB11andAB36.doc Council Meeting: September 11, 2001 Santa Monica, CA To: Mayor and City Council From: Santa Monica Commission on the Status of Women Subject: Request City Council Support of State Senate Bill 11 (SB11) and State Assembly Bill 36 (AB36) and Authorize Staff to Take Appropriate Action Introduction This report transmits a request from the Santa Monica Commission on the Status of Women (COSW) to secure City Council support of SB11 and AB36 including provisions that protect women’s health, and authorize staff to communicate the City’s position and take appropriate action. Background On August 8, the COSW voted to request a letter from the City Council to Governor Davis in support of two bills in the California State Legislature that they believe to be of importance to women in California. SB11, (Escutia-Kuehl), and its companion measure, AB36 (Steinberg), limit the use of “Secrecy Agreements” in cases where the public is at most risk of repeat harm, including cases involving defective products, environmental hazards, unfair insurance claims practices and financial fraud (Attachment I: SB11 and Attachment II: AB36). 1 Discussion The Commission is concerned that when corporations which manufacture products specifically marketed to women are allowed to keep consumer lawsuits against them secret, without disclosure of health risks, women may be unnecessarily harmed. Both bills propose to mitigate negative impacts by allowing public access to information regarding products that may be defective through manufacturing, design or a failure to adequately warn consumers of a hazard involved in use of the product where the defect may result in personal injury to one or more persons. Further, the bills place the burden on those demanding secrecy to show the Court that, among other things, there exists an overriding interest that overshadows the right of public access to the evidence of potential harm. Supporters of SB11 and AB36 include the Attorney General, Consumer Attorneys of California, Asbestos Workers International, California Labor Federation (AFL-CIO), Foundation of Taxpayer and Consumer Rights, California Nurses Association and the California District Attorneys Association. Opponents include American Insurance Association, Alliance Pharmaceutical Corporation, Association of California Insurance Companies, Clorox, Pfizer, Johnson & Johnson, and Intel. Budget/Financial Impact The recommendation of this report will have no budget or financial impact. 2 Recommendation The Commission recommends that the City Council support SB11 and AB36 and authorize staff to take appropriate action including sending a letter to Governor Davis requesting his signature on the measures. Prepared for the Commission by: Karen Ginsberg, Acting Director Susan Lai, Acting Manager Betty Macias, Senior Administrative Analyst Human Services Division Community and Cultural Services Department Attachment I: Senate Bill No. 11 Attachment II: Assembly Bill No. 36 3