Lara Bill Protecting Against Identity Theft Clears Senate Committee

June 26, 2012

AB 1325 requires individuals to submit identification when filing for a Fictitious Business Name statement and clarifies penalties for falsifying documents

SACRAMENTO – AB 1325, a measure authored by Assembly Member Ricardo Lara (D-Bell Gardens) which seeks to protect Californians from identity theft, received bipartisan support in the Senate's Business, Professions, and Economic Development Committee today with an 8-0 vote. The bill requires applicants who are filing for a Fictitious Business Name (FBN) Statement with the county clerk's office to present identification when filing. Any person doing business for profit under a fictitious name must register a FBN Statement. While it is a crime to provide false information on an FBN statement, current law does not require for the identity of the applicant to be verified at the time of filing.

"LA County alone processes up to 150,000 FBN Statements. Without a process to check that the person filing the statement is actually who they say they are, it is too easy for criminals to fraudulently use someone else's identity. AB 1325 will finally put a stop to FBN identity theft and will give all Californians piece of mind," Lara.

AB 1325 was introduced in response to numerous complaints of identity theft received by the LA County Clerk's office and a recent LA Times article which highlighted the story of an 80 year-old woman whose address was fraudulently used as headquarters for an enterprise.

AB 1325 will be next be heard in the Senate Appropriations Committee.