1986 Report of the CA Entertainment Commission

7/28/2019 1986 Report of the CA Entertainment Commission

1/45

The HonorableGeorgeDeukmejian

Governor

of

C a l i f o r n i a

S t a t e C a p i t o l

Sacramento , CA 95814

The Honorable David

A .

R o b e r t i

P r e s i d e n tP r o TemDore


s ac ramen t o ,

CA

95814

The

H o n o rab l eWillie Brown,

J r .

Speaker

of t h e A s s e m b l y


Sacramento ,

CA

95814

DearGovernorDeukmejianand Messrs. Roberti and Brown:

E n c l o s e d f o r f i l i n g ,p u r s u a n t o Labor Code Sec tion 1

t h e o f t h e

m

T h i s repor as prepared a n d i s submittedpursuant t o t h e

l e g i s l a t i v e man

e of

t h e s t a t u t e s of 1982, Chapter 682, Labo

Code Sec t ions

1 7 0 1

through

1 7 0 4 ,

i n c l u s i v e .

If you haveanyquest ions ,p leaseadvise t h e undersigned.

Very t ru ly you rs ,

t

Ca lif or nia En te rt ain me nt Commis

enc.

cc : D a r r y l W hite

S e c r e t a r y of t h eSen a t e

HonorableRichardFloyd

Chairman


2/45

2

Honorable B i l l Greene

Chairman

Senate Industrial

Relations Committee

Honorable

J o h n

Vasconcel

Chairman

A s s e m b l y Ways andMeans

Committee

Honorable M a x i n e Waters

A s s e m b l y Ways and Means

Subcommitteeo n S t a t e

Government


3/45

C A L I F O R N I A

ENTERTAINMENT COMMISSION

T h i s r e p o r t 1s s u b m i t t e d by t h eC a l i f o r n i aE n t e r t a i n m e

Commission ( h e r e i n a f t e r e f e r r e d o a s

t h e

C o m m i s s i o n ) t o

L e g i s l a t u r e a n d

t h e

G o v e r n o r p u r s u a n t o C a l i f o r n i a

Labor

S e c t i o n s * 1 7 0 1 t o

1704**.

T h e s e e c t i o n sm a n d a t e h eC o m m l s s l o

t o r e co m me nd

a

m o d e l

b i l l

r e g a r d i n g

t h e

l i c e n s i n g

o f

a g e

r e p r e s e n t a t i v e s

of

a r t i s t s

i n

t h ee n t e r t a i n m e n t n d u s t r y

g e n e r a la n d

t h e

r e c o r d i n g n d u s t r y

3 n

p a r t i c u l a r .

L a b o rC o d eS e c t i o n

1701 ,

w h i c he s t a b l i s h e d h eC o m m i s s i o

p r o v i d e s

a s

f o l l ow s :

T h e r e i s h e r e b yc r e a t e d

i n

S t a t e g o v e r n m e n t

t h e

C a l i f o r n i aE n t e r t a l n m e n tC o m m i s s i o n

c o n s i s t i n g

of 1 0

m e m b e r s .T h r e em e m b e r s

of

t h e

c o m m i s s i o ns h a l l be a p p o l n t e d b y h e

I___I_

* R e f e r e n c e

t o

S e c t l o n

1s

t o t h e

C a l i f o r n i aL a b o r

Code,

u

o t h e r w i s e

n o t e d .


4/45

G ove r no r , h r e e

members

b y

t h e S p e a k e r of

t h e

Assembly, a n d h r e e

members by

t h eS e n a t e

R u l e s

Committee.Each ppoint ing owerhal l

a p p o i n t

a

l l c e n s e d a l e n ta g e n t ,

a

personal

manager

of

a t e a s t h r e e a r t i s t s , a n da n

a r t i s t . T h e LaborCommiss ioner s h a l l

a l s o

be

a member

of

t h e

commission.

Labor Code Sect lon 1 7 0 2 d i r e c t s h e Commiss ion

t o

rePO

f o l l o w s :

1 7 0 2 .

T h e c om m i s s i on ha l l t udy t h e laws a n d

p r a c t i c e s of

t h i s

s t a t e , h e S t a t e

of

N e w

Y or k ,a ndo t he re n t e r t a l nm e n tc a p i t a l s of t h e

U n i t e d S t a t e s e l a t i n g o t he l i c e n s i n g of

a g e n t sa n d e p r e s e n t a t i v e s

o f

a r t i s t s i n t h e

e n t e r t a i n m e n t n d u s t r y ng e n e r a l ,a n d h e

r e c o r d i n g n d u s t r y np a r t l c u l a r ,

s o

a s

t o

enable hecommiss ion

t o

recommend t o t h e

L e g i s l a t u r e a model blll r e g a r d i n g h i s

l c e n s i n g .


5/45

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6/45

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7/45

b ) Any a c t i o n

of t h e

Commissioner

would

r e q u i r eh e

a t t e n d a n c e

o f

a t l e a s t two a r t i s t s , two personalmanagers

t a l e n t a g e n t s , a n dwould req uir e hev o t e of a major i ty of

Commission.

c )

The Chair

would

not b e

a

v o t i n g member except t o b

t i e .

P u r s u a n t os t a t u t o r ym a n d a t e , t h e

C o m m i s s i o n

s t u d i e d h

laws

a n dp r a c t i c e s

o f

C a l i fo rn i a a n d

of

New York and other

entertainment c a p i t a l s

o f

t h eU n i t e dS t a t e s . I n t h ec o u r s e

i t s

d e l i b e r a t i o n s , l t analyzed

i n

m i n u t ed e t a i l h eT a l e n t

Agencies

Act o f

C a l i f o r n i a .

I t i s t h e j u d g m e n t

of

a m a j o r i t y of the Commission tha

TalentAgenciesAct

of

C a l i f o r n i a

i s

a

s o u n d

and workable

a n d

t h a t t h e recommendationscontalned i n t h i s r e p o r t w ~ l

e n a c t e d

by

t h eC a l i f o r n i aL e g l s l a t u r e , r a n s f o r m h a ts t a t u t e

i n t o

a

m o d e l s t a t u t e

of i t s

k i n d

i n

t h eU n i t e dSta te s .

T h e recommendations of t h e C o m m i s s i o n submitted i n t h i

r e p a r tw e re , i n a l lc a s e s ,s u p p o r t e d by t h em a j o r i t y of t h

members

of

t h e Commission.

A few

recommendationswere pprove


8/45

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9/45

R e g u l a t o r yc o n t r o l so v e re a c h

o f

t h e s ec a t e g o r l e s o f

employmen tagenc ie swer ee s tab l i shed , nc lud ing i c ens ing

r e q u i r e m e n t sa n do t h e r e s t r i c t l o n so n h eope r a t ions o f

s u c h a g e n c i e s .

I n 1 9 4 3 , t h e

a r t i s t manager was ad de d o he Employ

Agenc ie s

Act

( 1 9 4 3 ,

S t a t s .

1326,

Ch .

3 2 9 ) .

The a r t l s t ma

was d e f i n e d a s :

A pe rs on who enga ges l n t h eo c c u p a t l o n o f

a d v i s i n g ,c o u n s e l i n g ,o rd i r e c t i n ga r t i s t s

i n

t h e developmentor dvancement of t h e i r

p r o f e s s i o n a lca re er s and who pr oc ur es ,o f f e r s ,

p r o m i s e so ra t t e m p t s opr oc ur e employment or

engagements of a n a r t i s t

o n l y

i n connec t ion

w i t h

a nd a s a p a r t of

t h e d u t i e s

and

o b l i g a t i o n s

of

suchpersonunder a c o n t r a c t

w i t h s u c h

a r t i s t

by

w h i c h

s u c h pe r son

c o n t r a c t s o e n d e rs e r v i c e so f h en a t u r e

abovement ioned o

s u c h

a r t i s t .

I n 1 9 5 9 , h o s ep r o v i s i o n s

o f

t h e EmploymentAgencies

A


10/45

These f our cat egor i es of agent s- - empl oyment agent ,

empl oyment agent , mot i on pi ct ur e empl oyment agent and

ar t i s t s ' manager - - exi s t ed unt i l 1967. I n t he year , t h

Cal i f or ni a Legi sl at ur e r epeal ed t he Empl oyment Agenci e

abol i shed t he cat egor i es

of

t heat r i cal empl oyment agen

mot i on pi ct ur e empl oyment agent , t r ansf er r ed t he pr ovi

r el at i ng t o empl oyment agenci es t o t he Busi ness and Pr

Code and pl aced such agenci es under t he j ur i sdi ct i on o

Depar t ment of Pr of ess i onal and Vocat i onal St andar ds (

t he Depart ment of Consumer Af f ai r s) . Regul at i on of ar

manager r emai ned i n t he Labor Code i n t he Ar t i st s ' Man

and, f or pur poses of adm ni s t r at i on, under

the

j ur i s dl

t he Labor Comm ssi oner .

I n 1978, t he Act was r enamed t he Tal ent Agenci es A

St at s . Ch. 1382) and t hat r emai ns t he name of t he st at

( The Tal ent Agenci es Act will her ei naf t er be ref er r ed

Act . )

A l s o

by t he same enact ment , ar t i st s' manager s b

t al ent agent s , and t he def i ni t i on of an ar t i st s ' ma

t al ent agent ,

was

changed t o r ead as

follows:

A t al ent agency

is

her eby def i ned t o be a


11/45

engagements or

an

a r t i s to ra r t i s t s .T a l e n t

agencies may, i n a d d i t i o n ,c o u n s e l

o r

d i r e c t

a r t i s t s ln thedevelopment of t h e i r

p r o f e s s i o n a lc a r e e r s .

I n

1 9 8 2 ,

AB 997

( S t a t s .

C h .

682) made severa l

s i g n i f i c a n t h a n g e s

i n

t h eA c t .F i r s t ,

i t e x c l u d e d

t h

of

r e c o r d i n gc on t r a c t s rom he i c e ns u re e qu i r e me n t su n d e r h

Act .Sect lon

1 7 0 0 . 4

was amended by

t h e

a d d i t i o no f h e o l

under l lned anguage :

1 7 0 0 . 4 . a) A

t a l e n ta g e n c y

i s

he re byde f i ne d

t o be a pe rsonorcorporakion w h o engages i n

t heo c c u p a t i o n

o f

procur ing , o r a t t e m p t l n g t o

procure employment

o r

engagements f o r an

a r t i s t o r a r t i s t s , e x c e p t h a t h e a c t i v i t i e s

o fp r o c u r i n q ,o f f e r i n s ,o rP romi s i ns o

p r o c u r e e c o r d i n sc o n t r a c t s

f o r

a n a r t i s t

or

a r t i s t s s h a l l

n o t of

i t s e l f s u b i e c t

a

person

o rc o r p o r a t i o n o e q u l a t l o na n d i c e n s i n q

under

t h i s

c ha p t e r .Ta le n t genc les may, i n

a d d i t i o n ,c ouns e l

or

d i r e c t

a r t i s t s

i n h e


12/45

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14/45

ISSUES

The p r i n c i p a l i s sues a d d re s s e d by t h e Commission

follows:

1.

U n d e r w h a t c o n d i t i o n s o r c i rcumstances , i f a n

p e r s o n a lm a n a g e r

o r

a n y o n eo t h e r h a n

a

l i c e n s e d a l e

a l l o w e d t o p r o c u r e ,o f f e r ,p r o m i s eo ra t t e m p t op r o c u r e

e m p l o y m e n to r n g a g e m e n t s h e r e a f t e r h i sp h r a s e ,w h i c h

i n

t h e t a t u t o r yd e f i n i t i o n of t a l e n t g e n c y w i l l

t o p r o c u r ee m p l o y m e n t ) f o r an a r t i s t w l t h o u t b e i n g

a t a l e n t a g e n t ?

2 .

W hat c h a n g e s , f n y l h o u l d b e made i n h ep r

t h e Act e x e m p t i n g r o m

t h e Act a

p e r s o n who p r o c u r e s

c o n t r a c t s o r a n a r t i s t ?

3 S h o u l d h e r i m l n a l a n c t i o n so f h e

Act,

r e

9 9 7 , b e r e i n s t a t e da n d , ~f s o , i nw h a t o r m ?

4 . S h o u l d h e u n s e tp r o v i s i o n s a d d e d t o t h e Ac

b e

d e l e t e d ?

5 . S h o u l d t h e e n t i r e

A c t

b e r e p e a l e d n d / o r h o u l d h


15/45

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16/45

t al ent agency i n t he negot i at i ons

f

an

empl oyment cont r act .

Recommendat i ons

The Comm ss i on r ecommends t hat , wi t h m nor exc

change be made i n t he pr esent l anguageof Sect i on

17

A c t

r egar di ng t hi s i s sue.

Di scuss i on

s

not ed above, a t al ent agent i s def i ned i n Sec

o f t he Act as ol l ows:

1700.4.

a ) A

t al ent agency i s her eby def i n

t o

be a per son or cor porat i on

who

engages i

t he occupat i on o f pr ocur i ng, of f er i ng,

pr om sl ng or at t empt i ng t o pr ocur e empl oyme

or engagement s f or an ar t i s t or a r t i s t s ,

exc ept t hat t he ac t i vi t i es f pr ocur i ng,

of f er i ng or pr om si ng t o pr ocur e r ecor di ng


17/45

d l r e c t a r t i s t s i n

t h e

d e v e l o p m e n to f h e l r

p r o f e s s l o n a l c a r e e r s .

S e c t l o n 1 7 0 0 .5 p r o v i d e s i n p e r t l n e n tp a r t , a s follow

1 7 0 0 . 5 .

No

p e r s o n h a l le n g a g e no rc a r r y

t h e o c c u p a t i o n o f a t a l e n ta g e n c yw i t h o u t

f i r s t p r o c u r i n g a l i c e n s e h e r e f o r e

from

t h

L a b o rC o m m i s s l o n e r . u c h l i c e n s e s h a l l b e

p o s t e d n

a

c o n s p i c u o u sp l a c e

i n

t h e

o f f i c e

t h e l i c e n s e s .

T h em a j o r ,a n dp h i l o s o p h i c a l l y t h e m o s t

d i f f i c u l

b e f o r e t h e C o m m i s s i o n , t h e d i s c u s s l o no fw h i c h consum

s u b s t a n t i a l p o r t i o n o f t h e t ime o fm o s t

o f

t h e m e e t i

C o m m i s s i o n , was

t h i s

f i r s t i s s u e : When, i f ev e r , ma

m a n a g e r

o r ,

f o r h a tm a t t e r ,a n y o n eo t h e r h a n a l i c e

A g e n t ,p r o c u r ee m p l o y m e n t o ra na r t i s tw i t h o u to b t a i n i n g

t a l e n t a g e n t ' s

l i c e n s e

f r o m

t h e

L a b o rC o m m i s s i o n e r ?

No

c l e a r e g i s l a t i v e

i n t e n t

c a n b e d i s c e r n e d o


18/45

The Tal ent Agenci es Act of

1978,

or i gi nal l y i nt r o

2 5 3 5 , woul d have r equi r ed a separ at e per sonal manager

al l per sonal manager s , whet her or not t hey pr ocur ed e

f or an ar t i st at any t i me. However , t hat por t i on of

r el at i ng t o per sonal manager s was del et ed.

The cont r over sy over t l s i ssue

S

l ong st andi ng

ent er t ai nment i ndust r y.

The pos i t i on

of

t he t al ent agent s i s t hat anyone

t he same f unct i on as hey i n pr ocur i ng empl oyment f or

shoul d be subl ect t o t he same st at ut or y and r egul at or

obl i gat i ons as t hey ar e- - not hi ng mor e and not hi ng l ess

obl i gat i ons i nc l ude r egul at i on of cont r act t er ms and

Labor Comm ss i oner and t he r equi r ement s

o f

f r anchi se a

wi t h uni ons r epr esent i ng t he ar t l s t s . Tal ent agent s

f i nd t hemsel ves i n compet i t i on wi t h per sonal manager s

i n seek i ng empl oyment f or c l i ent s . I n t he opi ni on

of

agent s , t he i ssue i s si mpl y one

of

f ai r nes s: al l

who

empl oyment f or an ar t i st

h o u l d

be l i censed or none s

1 censed.


19/45

a c t l v l t l e s whlchcould

b e

co n s t r u edasprocuring emplo

S u c h a c t i v i t y

i s

o n l y a mi n o ran d n c i d en t a lp a r t

of

s e r v i c e s o h ea r t i s t . The essence of t h e i r e r v i c e ,w

c o u n s e l i n g h e a r t i s t i n t h e development o f h i s / h e rp r o

c a r e e r , i s n o t

t h e

k i n d

of

a c t i v i t y w h i c hcan eas ib lyor

l e g l t i m a t e l ybe made t h e s u b ~ e c t f l i c en su r e . They a

f

t h e ya r er e q u l r e d ob e i c e n s e d , h e y w i l l no t o n

r e q u i r e d opro cu re employment f o r h e i r c l i en t s , w h i c

t h ee s s e n c e of t h e i rs e r v i c e oc l i e n t s , b u t t h e i r e e s

l en g t h

of

t h ec o n t r a c t s , an do t h e ra sp ec t s of t h e i rs e r

b e c o n t r o l l e d

by

the LaborCommlssioner nd

t h e u n io n

f o rp e r s o n a lm a n a g e r sa r e n t r i n s i c a l l yd i f f e r e n t from

procur ingemploymentand ef lectnotonly hevalue o

I n t a n g i b l es e r v i c e

b u t

t h e g r e a t e r r i s k w h i c h i s assum

personalmanager i n t h ee v e n t u a la r t i s t i cs u c c e s s o f t

c l i e n t s .

The Commissionattemptedover many h o u r s and b y d

e x p l o r a t i o n and a n a l y s i s o f a l t e r n a t i v e s

t o

f i n d a com

of

compromise

on

w h i c h

ananswer o

t h i s

f i r s t s s u e c o

fo rmula t ed , b u t w i t h o u t

success .


20/45

T h e p e r s o n a lm a n a g e r oe n g a g e n c a s u a l

c o n v e r s a t i o n s c o n c e r n l n g t h e s u i t a b l l l t y o

a n a r t i s t f o r

a

r o l e o r p a r t , u b j e c t ,

h o w e v e r , t o t h e o t h e r e s t r i c t i o n s o f

1700.44(d) a b o v e . ( A t presen t , even a casu

c o n v e r s a t l o n w h i c h l e a d d l r e c t l y o r

i n d i r e c t l y t o em ploym ent: c a n

be

c o n s t r u e d

a

i l l e g a lu n l i c e n s e da c t i v i t y . )

T h e t a l e n t a g e n t or t h e a r t i s t ,

w i t h

o r

w i t h o u t

t h e

c o n s e n t of t h e t a l e n ta g e n t ,

t o

c a l l a

p e r s o n a lm a n a g e r n t o t h e n e g o t i a t i o

of a n m p l o y m e n t o n t r a c t . ( A t p r e s e n t ,

a

p e r s o n a lm a n a g e rc a n b eco me i n v o l v e d

i n the

n e g o t i a t l o n s

o f

a ne m p l o y m e n tc o n t r a c to n l ya t

t h e request

of

a d u l y i c e n s e da n d r a n c h i s e d

t a l e n t a g e n t - - s e eS e c t i o n 1 7 0 0 . 4 , a b o v e . ) ;

T h e p e r s o n a lm a n a g e r oa c t nc o n j u n c t i o n

w i t h h e a l e n t a g e n t i n t h e n e g o t i a t i o n

o f

e m p l o y m e n tc o n t r a c tw h e t h e ro rn o t e q u e s t e d

t o d o s o b y t h e t a l e n t

agent .


21/45

Anyone

who

d o e sn o tc h a r g e a f e eo rc o m m i s s i o n

o r o t h e r o r m o f c o m p e n s a t i o n o rp r o c u r i n g

e m p l o y m e n t o r n r t i s t ; a n d

,

Anyone who i s a b o n a i d ee m p l o y e r of t h e

a r t i s t who d o e sn o t e p r e s e n t

t h e

a r t i s t

i n

p r o c u r i n g m p l o y m e n t ,

As

n o t e d , all of t h e s e a l t e r n a t i v e s

were

r e j e c t e d by

C o m m i s s i o n .

T h u s ,

l n s e a r c h i n g o r t h e p e r m i s s i b l e

l imi ts

t o a c t

l n

w h i c h a n n l i c e n s e d e r s o n a lm a n a g e r r n y o n e o u l d n g a g e

i n

p r o c u r i n ge m p l o y m e n t

f o r

a n

a r t i s t

w i t h o u t

b e i n g

l i c e

t a l e n ta g e n t ,

t h e

C o m m i s s i o nc o n c l u d e d h a t h e r e i s n o

a c t i v i t y , h a t t h e r e a r en o

s u c h

permissible l imi t s , and

p r o h i b i t i o n s o t h e Act o v e r t h e a c t i v i t i e s of a n y o n ep r o

e m p l o y m e n t f o r a n a r t i s t w i t h o u t b e i n g i c e n s e d as a t a l

m u s t r e m a i n , a s t h e y r e o d a y , o t a l .E x c e p t i o n s

i n t h

o f

i n c i d e n t a l ,o c c a s r o n a lo r n f r e q u e n ta c t i v i t i e s e l a t i n g

a n y way t op r o c u r i n ge m p l o y m e n t

f o r

a n a r t i s t c a n n o t

be


22/45


23/45

,

U

m

P

o

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mm

o 5

O

W

m

m

m

m

r

3

m

r

t

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oP

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24/45

T h ea c t i v i t i e so fp r o c u r i n g ,o f f e r i n g ,o r

p r o m i s i n g o p r o c u r e e c o r d i n g c o n t r a c t s o r

a n a r t i s t o r

a r t i s t s

s h a l l n o t

o f

i t s e l f

s u b j e c t

a

p e r s o n o rc o r p o r a t l o n o e g u l a t i o n

a n d

licensing

u n d e r t h i s c h a p t e r .

A

r e c o r d i n gc o n t r a c t

i s

n o t ,

n

e s s e n c e ,

a

c o n t r a

e m p l o y m e n t . I t i s a c o n t r a c t op r o d u c e a p er m an e nt n

r e p a y a b l e h o w c a s eo f h e a l e n t so f

t h e

a r t i s t . I n

r e c o r d l n g n d u s t r y , many s u c c e s s f u l a r t l s t s e t a i n p e r s o

m a n a g e r s

t o

a c ta s h e i r n t e r m e d i a r i e s ,a n d h en e g o t i a t i o n

r e c o r d i n g c o n t r a c t

i s

c o m m o n l yd o n e by

a

p e r s o n a lm a n a

t a l e n t

a g e n t .P e r s o n a lm a n a g e r s r e q u e n t l y o n t r i b u t e i n a n c i

s u p p o r t o r t h e l i v i n ga n d business expenses o f e n t e r t a

T h ey may a c t a s a c o n d u i tb e t w e e n

t h e

a r t i s t a n d t h e e

c o m p a n y ,o f f e r i n gs u g g e s t l o n sa b o u t h e

use

of

t h e a r t

l e v e l o f e f f o r t w h i c h t h e r e c o r d i n g o m p a n y i s e x p e n d

b e h a l fo f

t h e

a r t i s t . T h e p e r s o n a lm a n a g e r

may

b e c o m

i n r a v e la r r a n g e m e n t so nb e h a l f of

t h e

a r t i s t , o m e t i m

a c c o m p a n y i n g h ea r t l s t oo v e r s e ea r r a n g e m e n t s o rp l a n e sa n d

h o t e l s .

H o w e v e r , t h e p r o b l e m s of a t t e m p t i n g o

l i c ense

o r


25/45

The ma-~ority f the Commission

c o n c l u d e d

that the

would

be best served by resolving these ambiguities o

of p r e s e r v i n g the exemption of t h i s activity from the

requirements of l i c e n s u r e .


26/45

v

m

n

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1

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o

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2

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-

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=

J

a

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3

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r

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r

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=

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r3

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27/45

H

P

r

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cn

m

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r

P P

3

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P

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-

c

r 5P

r

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L

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r

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r 3

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n

3

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0

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m

m

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c

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=

C

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3

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9

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3

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28/45

The Comm ss i on t hen onsl der ed t he f ol l owi ng:

Any pr ov i s l on

o f

any l a w or pr ovi s i on i n t he

S t a t e of Cal i f or ni a t t he cont r ar y

not wl t hst andi ng, any per son who vi ol at es any

pr ovi s i ons

of

t hi s chapt er

1 s

gui l t y

of

a

m sdemeanor puni shabl e

by

a f i ne not t o xce

$1, 000 f or t he f i r s t of f ens e,

$5, 000

f or t h

second of f ense and

10,000

f ox t he t hi r d and

each succeedi ng of f ense, or by i mpr i sonment

f o r a per i od of not more t han si x mont hs, or

bot h, except t hat vi ol at i on

o f

Sect i on 1700.

of

t hi s Ac t shal l be ons i der ed an i nf r ac t i o

puni shabl e onl y by a f i ne i n t he above

amount s.

Upon

f ur t her del i ber at i on, t he Comm ss i on ook no

t h i s pr oposed addi t i on. I nst ead i t concl uded t hat t h

woul d be bet t er ser ved

by

havl ng

no

cr i m nal sanct i on

t o t he Ac t .


29/45

Act and puni shi ng br eaches. These r emedi es i ncl ude ac

br eaches of cont r act , f r aud and m sr epr esent at i on, b

f i duc i ar y dut y, i nt er f er enc ewi t h bus i ness oppor t un

def amat i on, i nf l l c t i on of er not l onal di st r ess and t he

Per haps t he mos t e f f ec t i veeapon f or assur i ng compl

t he Ac t 1s t he power of t he Labor Comm ssi oner , at

Pet i t i on

t o

Det er m ne Cont r overs y, t o f i nd t hat pe

manager or anyone has act ed

as

an unl i censed t al ent

havl ng

s o

f ound, dec l ar e t hecont r act vol d f r om t he

or der t he r es t l t ut i on t o t her t i s t

o f

al l f ees pai d

ar t i s t and t he f or f ei t ur e f al l expenses advanced t

These c i v i l and adm ni s t r at i ve r emedi es cont i nu

avai l abl e.


30/45

I s su e

4

S h o u l d

t h esu n se tprovis ions added

t o

the Act

A B 9 9 7

bed e l e t ed ?

Conclusion

The s u n s e t p r o v l s i o n s

of

t h e Act should be d e l

Recommendations

eted .

T h e f o l l o w i n gsec t i o no f h e Act shouldbede le t ed :

1700.4(b). T h i s s e c t i o n

s h a l l

remain i n

e f f e c t

o n l y

u n t i l

January

1,

1985,and

as

of

t h a td a t e

i s

r epea led ,u n l e s s a l a t e re n a c t e d

s t a t u t e , w h i c h i s chap te redbeforeJanuary 1,

1985 ,d e l e t e so rex tends

t h a t

d a t e .

1 7 0 0 . 4 4 : T h i s

se ct io n ha l l rernaln i n e f f e c t

o n l y

u n t i l

January 1, 1985, a n d a s of t h a t

d a t e

i s

r epea led ,un less a l a t e re n a c t e d


31/45

r

+

3

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s t r i p s ,v i de o a pe so ro t h e r e p r o d u c t i o n s

of

t h ea p p l i c a n t ;

4 )

f o r costumes or he

a p p l i c a n t ; o r

5 )

any harge

of

a l i ken a t u r e

made, ora t t empted obe made t o h e

a pp l i c a n t

Reason: Re gi s t ra t i on ee

is

n o t

pre s e n t l yd e f l n e d

A c t a n d m u s t

bedef inedbecause

i t

i s l a t e rp ropos e d tha

c o l l e c t i o n o f a r e g i s t r a t i on f e e be p roh ib i t ed . The p ro

a g a i n s t h er e g i s t r a t i o n f e ehas beenadded

t o

Sec t ion 1

2 Add t o tha tpa ragraphofSec t ion

1700.4(a)

whichdef

a r t i s t s h e

word

models as

f o l l o w s :

The word a r t i s t s a s usedh e r e i n e f e r s o

a c t o r sa n da c t r e s s e s e nde r i ngs e rv i c e s

on

t h e

l e g i t i m a t e s tage and i n theproduc t ion of

m o t i o np i c t u re s ; a d i oa r t i s t s ;mus i c a l

a r t i s t s ;m u s l c a lo r g a n i z a t i o n s ;d i r e c t o r s

o f

l e g i t i m a t es t a g e , m o t i o n pl c t ur e and radio

p r o d u c t i o n s ;mus i c a ld i r e c t o r s ;w r i t e r s ;

c inematographers ; omposers ; y r i c i st s ;

a r r a n g e r s ;

m o d e l s

andotherenter ta lnment


36/45

s i g n l f i c a n t p a r to f

t h e

e n t e r t a i n m e n t n d u s t r y ,m o d e l ss h o u l d

i n c l u d e d w i t h i n h e d e f i n i t i o n

of

a r t i s t .

3 .

Add t o S e c t i o n 1 7 0 0 . 6 ( d ) h e e q u i r e m e n t o r l n g e r p r i n t i n

a s

a p a r t

of

t h ea p p l i c a t i o n o r a l i c e n s e a s a t a l e n ta g e

makeotherminorchanges

a s

f o l l o w s :

T h e a p p l i c a t l o n

must

beaccompanied

b y

two

s e t so f f i n g e r p r i n t s a n d a f f i d a v i t s o f a t

l e a s t

two r e p u t a b l e e s i d e n t s of

t h e c i t y o r

c o u n t y n

w h i c h the

b u s i n e s s of

t h e

t a l e n t

agency

i s

t obeconduc ted

who

haveknown, or

b e e na s s o c i a t e d

w i t h ,

t h e a p p l i c a n t o r

two

y e a r s , h a t h ea p p l i c a n t i s a person of good

m o r a lc h a r a c t e r

o r l i n t h e

c a s e

of a

c o r p o r a t i o n ,h a s a r e p u t a t i o n

f o r

f a i r

dea 1 n g .

R e a s o n :F i n g e r p r i n t s r en e c e s s a r y n d

s h o u l d

b e e q u i

a par to fbackground hecking

f o r

t a l e n ta g e n t s .T h eo t h e r

c h a n g e sa r e o rc l a r i f i c a t i o no n l y .


37/45

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39/45

( c )

T h e o n d l t l o n su n d e rw h i c h h e l i c e n s

was i s s u e dh a v ec h a n g e do r

no

l o n g e r

e x i s t

( d lL i c e n s e ehas made

a n y

m a t e r i a l

m i s r e p r e s e n t a t i o n

or

f a l s e s t a t e m e n t n

h i

a p p l l c a t l o n

f o r

a l i c e n s e .

R e a s o n :

To g i v ea d d e dp r o t e c t i o n o h e

a r t i s t

m i s r e p r e s e n t a t i o n o r f a l s l t y by t h e a p p l i c a n t .

8 . Change ec t ion 1 7 0 0 . 2 4 a s follows:

Every

p c ~ s a n e n g a g c d i n t ~ e e e e ~ ~ ~ t ~

t a l e n t a g e n c y s h a l l f i l e w i t h h e L a b o r

Commiss ioner a sc he du le o f f e e s t ob ec h a r g e

a n dc o l l e c t e d n h ec o n d u c t

of

such

o c c u p a t i o n ,a n ds h a l la l s ok e e p

a

copyof

s c h e d u l e p o s t e d n a c o n s p i c u o u sp l a c e i n

o f f i c e

of

s u c h t a l e n t agency.Changes

i n

s c h e d u l e may b e m ad e r om i me t o

t lme,

b u

f e eo rc h a n g eo f e es h a l lb e c o m ee f f e c t i v e

u n t i l

s e v e n d a y s a f t e r h e d a t e

of

f i l i n g

t h e r e o f

w i t h

t h e

abor

Co mmi s s i o n e ra n du n t i l

p o s t e d for n o t

l e s s

t h a ns e v e nd a y s i n a


40/45

cl ar l f l cat i on.

9. D e l e t e

Sec t i on

1 7 0 0 . 2 5

a s unnecessar y and

b

t he f ol l owi ng new s ec t i on:

A

l l censee who r ecei ves any payment (o

of an ar t i s t ) s h a l l i mmedi at el y deposi

i n a

trust

f u n d

account mai nt ai ned

b y

bank

or

o t h e r

r ecogni zed depos i t or y.

S a i d

f u n d

l es s l i censee' s

commission,

b e

di sbur sed t o

t h e

ar t i s t wi t hi n 15 da

af t er r ecei pt .

A

separ at e r ecor d

s h a l l

be mai nt ai ned o

moni es r ecei ved subj ect t o t hi s sect i on

s a i d record

shall f ur t her i ndi cat e t he

di s pos i t i on t her eof .

Reason:

To pr ovi de addi t i onal pr ot ect i on t o

o w l n g

to

an ar t i s t

whlch

are

pa id

t o t he t al ent


41/45

10.

Delete the

following language f r o m Sect io

Every talent agency s h a l l keep record

approved

by theLaborCommissioner ,

i

s h a l l

e en te red : (1) the name

a n d ad

each

a r t l s t employing such t a l e n t agen

t h e

amount o f fee received rom uch

a

(3) t h e employments s e c u r e d

by

such a

d u r i n g the term of t h e co nt ra c t betwee

a r t i s t and the a lentagency ,and the

of

compensation

received by

t h e

a r t i s t

pursuant

t h e r e t o ;

and

4 )

other

i n f o r m

w h i c h the Labor Commissioner requires,

No

t a l e n ta g e n c y ,

its

agen to r

employe

shall make a n y false e n t r y in any s u c h

r e c o r d s .

Reason:

T h e de l e t e d

l anguage

is r e d u n d a n t ,

b u r d e n s o m e .

11.

Change S e c t i o n

1700.30 a s follows:

NO talent agency s h a l l

s e l l ,

t r a n s f e r ,

away to

nv

p e r s o n o t h e r than a d i r e c t


42/45

t o p a r t l c i p a t e

i n

t h e p r o f i t s o f t h e t a l e n t

a g e n c y

without the

w r i t t e n C o n S e n t Of t h e

L a b o rC o m m i s s i o n e r .

R e a s o n :T h e r o p o s e d x c e p t i o n s r e e q u i r e d o v o i d

n e c e s s i t y of h a v i n g t h e

Labor

C o m m i s s i o n e r a c t a s

a n

a p p r o

a u t h o r i t yo n u c hm a t t e r s

a s

s t o c k issues , b o n u s e s , o m p e n s

p l a n s

a n d

t e s t a m e n t a r y n s t r u m e n t s .

The

L a b o rC o m m i s s i o n e r

n o r e g u l a t o r y u r i s d i c t i o n a s t o such mat te rs .

1 2 . C h a n g eS e c t i o n

1700 . 33

t o e a d a s follows:

N O t a l e n t a g e n c y s h a l l send or

cause

t o be

s e n t , any neman e r m ina r as an e rn~ ~ 0yee t e a~ ~

~ a u s e - a f - i ~ ~ - f a m c ~ - t e - ~ n y - ~ e u s e - e r - p ~ e e e - e

a m a s e m c n t - f a r - i m m e r a ~ - p ~ r p ~ ~ e s ~ - t ~ - p ~ a e e

r e s a r t c d t ~ f a r t h c p u ~ ~ e s e ~ ~ f ~ r e ~ t

a r t i s t

t o a n y p l ace w h e r e h eh e a l t h , s a f e t v

or wel fa re o f t h e a r t l s t c o u l d b e a d v e r s e l y

a f f e c t e d , t h e c h a r a c t e r o f

w h i c h

p l a c e s h e

t a l e n t a g e n c y c o u l d h a v e a s c e r t a i n e d u p o n

r e a s o n a b l e n q u i r y .

R e a s o n : To br oaden t h ep r o t e c t i o n s o f t h e a r t i s t ln t


43/45

1 3 . Add toS e c t i o n1 7 0 0 . 4 0 t h e f o l l o w i n g i r s t e n t e n c e :

N O t a l e n t a g e n t s h a l l c o l l e c t a r e g i s t r a t i o n

f e e .

Reason: To p r o h i b i t

t h e

c o l l e c t i o n

o f a

r e g i s t r a t i o n e e

w h i c h

i s

unnecessa ry ,burdensome and o f t e ns u b j e c t t o abuse .

14. Ch a n g e h e h i r dp a r a g r a p ho fS e c t i o n

1 7 0 0 . 4 4

as fo l low

N O a c t i o no rp r o c e e d i n g

may

be p r o e t e u t c d

b r o u q h tu n d e r h i s h a p t e r w i t h r e s p e c t t o

a n y v i o l a t i o n o c c u r r i n go ra l l e g e d o have

o c c u r r e dmo r e h a no n ey e a rp r i o r t o

commencement o f t h ea c t i o no rp r o c e e d i n g .

Reason:

A

language hange

t o

c l a r i f y h e commencement o f

s t a t u t o r y p e r i o d w i t h i n w h i c h

a n

a c t i o n f o r a l l e g e d v i o l a t i o n

*

t h e

Act

m u s t

b e

i n s t i t u t e d .

15.

ChangeSection 700.45 by add ing t h e f o l l o w i n gu n d e r l i n e d

w ords t o u b s e c t i o n s

( a )

a nd ( b ) t h e r e o f :


44/45

ar bi t r at l on of

any O

cont r ac t or as to i t s

nt r over sy under t he

exi s t ence, val i di t y,

const r uct i on, per f or mance, non- per f or mance,

br each, oper at i on, cont i nuance, or

t er m nat l on, shal l be val i d:

( a ) I f t he pr ovl si on i s cont ai ned i n a

cont r act bet ween a t al ent agency and a per son

f or whom such t al ent agency under he cont r act

under t akes t o endeavor t o secur e empl oyment ,

or

(b)

I f

t he pr ovi si on

i s

i nser t ed i n t he

cont r act pur suant t o any

rule,

r egul at i on, or

contract of a bona f i de l abor uni on r egul at i ng

t he r el at i ons of i t s member s t o a t al ent

agency, @

( c ) I f t he cont r act pr ovi des

f o r

r easonabl e

not i ce t o t he Labor Comm ssi oner of t he t i me

and pl ace of al l ar bi t r at l on hear i ngs and,

a ) I f t he cont r act pr ovi des t hat t he Labor

Comm ssi oner or hi s aut hor l zed repr esent at i ve

has t he r i ght t o at t end al l ar bi t r at i on

hear i ngs.


45/45

b

b

W

L

I

nw

5

M

I

D

1986 Report of the CA Entertainment Commission

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