2023 California Code › Civil Code - CIV › DIVISION 4 - GENERAL PROVISIONS › PART 1 - RELIEF › TITLE 2 - COMPENSATORY RELIEF › CHAPTER 2 - Measure of Damages › ARTICLE 3 - Penal Damages › Section 3345.1.

3345.1. (a) This section shall apply only in a civil action brought by, or on behalf of, or for the benefit of, a person who is a minor or nonminor dependent and is a victim of commercial sexual exploitation committed by a person who is over 18 years of age or facilitated, aided, or abetted by a social media platform in violation of subdivision (g). For purposes of this section, the age of the victim, the status of the victim as a minor or nonminor dependent, and the age of the defendant is determined at the time of the defendant’s act of commercial sexual exploitation of the victim.
(b) In a civil action brought by, on behalf of, or for the benefit of a minor, or nonminor dependent, against a person who engaged in any act of commercial sexual exploitation of a minor or nonminor dependent, whenever a trier of fact is authorized by a statute, other than subdivision (c), to impose either a fine, or a civil penalty or other penalty, or any other remedy the purpose or effect of which is to punish or deter, and the amount of the fine, penalty, or other remedy is subject to the trier of fact’s discretion, the trier of fact shall consider all of the following factors, in addition to other appropriate factors, in determining the amount of fine, civil penalty, or other penalty, or other remedy to impose. If the trier of fact makes an affirmative finding in regard to one or more of the following factors, it may impose a fine, civil penalty, or other penalty, or other remedy in an amount up to three times greater than authorized by the statute, or, if the statute does not authorize a specific amount, up to three times greater than the amount the trier of fact would impose in the absence of that affirmative finding:
(1) Whether the defendant’s conduct was directed to more than one minor or nonminor dependent.
(2) Whether one or more minors or nonminor dependents suffered substantial physical, emotional, or economic damage resulting from the defendant’s conduct.
(3) Whether the defendant knew or reasonably should have known that the victim was a minor or nonminor dependent. It shall not be a defense to imposition of fines, penalties, or other remedies pursuant to this paragraph that the defendant was unaware of the victim’s age or status as a nonminor dependent at the time of the act.
(c) If the trier of fact is not authorized by statute to impose a civil penalty in an action described in subdivision (b), the court may award a civil penalty not exceeding fifty thousand dollars ($50,000), and not less than ten thousand dollars ($10,000), for each act of commercial sexual exploitation committed by the defendant upon making an affirmative finding in regard to one or more of the factors set forth in paragraphs (1) to (3), inclusive, of subdivision (b). This penalty may be imposed in addition to any other remedy available in law or in equity.
(d) Any penalty imposed pursuant to this section shall be paid to the victim of the act of sexual exploitation.
(e) It shall not be a defense to the imposition of fines or penalties pursuant to this section that the victim consented to the act of commercial sexual exploitation.
(f) If the victim is under 18 years of age, the court, in its discretion, may order that any penalty imposed pursuant to this section be held in trust for the victim and used exclusively for the benefit and well-being of the victim. When the victim reaches 18 years of age or is emancipated, the trust shall expire and any unspent remainder shall be the sole property of the victim.
(g) (1) A social media platform shall not knowingly facilitate, aid, or abet commercial sexual exploitation.
(2) For a violation of this subdivision, a court shall award statutory damages not exceeding four million dollars ($4,000,000) and not less than one million dollars ($1,000,000) for each act of commercial sexual exploitation facilitated, aided, or abetted by the social media platform.
(3) A social media platform shall not be deemed to be in violation of this subdivision if it demonstrates all of the following:
(A) The social media platform instituted and maintained a program of at least biannual audits of its designs, algorithms, practices, affordances, and features to detect designs, algorithms, practices, affordances, or features that have the potential to cause or contribute to violations of this subdivision.
(B) The social media platform took action, within 30 days of the completion of an audit described in subparagraph (A), designed to mitigate or eliminate the reasonably foreseeable risk that a design, algorithm, practice, affordance, or feature violates, or contributes to a violation of, this subdivision.
(C) The social media platform provided to each member of the social media platform’s board of directors a true and correct copy of each audit within 90 days of the audit being completed accompanied by a description of any action taken pursuant to subparagraph (B).
(4) Without in any way limiting the application of the term “knowingly” under paragraph (1), for purposes of this subdivision, a social media platform shall be deemed to have knowledge under paragraph (1) if all of the following are true:
(A) Material was reported to a social media platform using the mechanism required under subdivision (a) of Section 3273.66 for four consecutive months.
(B) The criteria set forth in paragraphs (1) to (3), inclusive, subdivision (a) of Section 3273.66 are established with respect to that reported material.
(C) The reported material was first displayed, stored, or hosted on the platform after January 1, 2025.
(5) As used in this subdivision, “facilitate, aid, or abet” means to deploy a system, design, feature, or affordance that is a substantial factor in causing minor users to be victims of commercial sexual exploitation.
(h) As used in this section:
(1) “Commercial sexual exploitation” means an act committed for the purpose of obtaining property, money, or anything else of value in exchange for, or as a result of, a sexual act of a minor or nonminor dependent, including, but not limited to, an act that would constitute a violation of any of the following:
(A) Sex trafficking of a minor in violation of subdivision (c) of Section 236.1 of the Penal Code.
(B) Pimping of a minor in violation of Section 266h of the Penal Code.
(C) Pandering of a minor in violation of subdivision (b) of Section 266i of the Penal Code.
(D) Procurement of a child under 16 years of age for lewd and lascivious acts in violation of Section 266j of the Penal Code.
(E) Solicitation of a child for a purpose that is either in violation of subparagraph (A) or pursuant to paragraph (3) of subdivision (b) of Section 647 of the Penal Code.
(F) An act of sexual exploitation described in subdivision (c) or (d) of Section 11165.1 of the Penal Code.
(2) “Nonminor dependent” has the same meaning as in subdivision (v) of Section 11400 of the Welfare and Institutions Code.
(3) (A) “Social media platform” has, except as provided in subparagraph (B), the same meaning as defined in Section 22675 of the Business and Professions Code.
(B) “Social media platform” does not include either of the following:
(i) A stand-alone direct messaging service that provides end-to-end encrypted communication or the portion of a multiservice platform that uses end-to-end encrypted communication.
(ii) An internet-based service or application owned or operated by a nonprofit organization exempt from federal income tax pursuant to Section 501(c)(3) of the Internal Revenue Code.
(i) A waiver of the provisions of this section is contrary to public policy and is void and unenforceable.
(Amended by Stats. 2023, Ch. 579, Sec. 3. (AB 1394) Effective January 1, 2024. Operative January 1, 2025, as prescribed by Stats. 2023, Ch. 579, Sec. 5.)