AB 731

This bill modifies the criteria by which a newspaper may receive compensation

for the publication of a legal notice. The bill also makes several technical changes

to the structure of the provisions that govern the qualification of newspapers able to

receive compensation or a fee for publishing a legal notice. These changes include

moving the definitions for bona fide paid circulation and newspaper into the

definitions section of the chapter that governs the publication of legal notices.

Currently, when a legal notice is required to be published, the notice must be

published in a newspaper likely to give notice in the area or to the person affected

by the notice. A newspaper that publishes a legal notice may not receive

compensation for publishing the notice unless the newspaper is a qualified

newspaper. To be a qualified newspaper, the newspaper must have a bona fide paid

circulation, satisfy certain requirements related to continuity of publication, and file

a certificate with the county clerk stating its place of publication and that it qualifies

under current law. Under current law and under the bill, a “bona fide paid

circulation” means a paid circulation of a newspaper in which the publisher sells 50

percent or more of the circulation of the newspaper and the publisher has actual

subscribers at each publication of not less than 1,000 copies in first and second class

cities or 300 copies in third and fourth class cities, villages, or towns. In addition,

to be a qualified newspaper, the newspaper must have been published regularly and

continuously in the area for at least two of the five years immediately preceding the

date of publication of the notice (durational requirement).

This bill broadens the scope of qualified newspapers to include both of the

following: 1) a newspaper that has had a bona fide paid circulation, is a successor to

a newspaper that satisfies the durational requirement, and has resumed publication

following succession within 30 days; and 2) a newspaper that has had a bona fide paid

circulation, has merged or consolidated with one or more newspapers, and one of the

newspapers has been continuously published at regular intervals of at least once

each week for at least 50 issues each year for at least one year prior to the publication

of the notice.

Also under this bill, if no newspaper in a city, village, or town satisfies the bona

fide paid circulation and durational requirements under current law and created

under the bill, a newspaper that is published regularly and continuously in the city,

village, or town and that meets the other qualifications for receiving a fee may be

awarded or entitled to a fee for publishing a legal notice if publication in the

newspaper is likely to give notice in the area or to the affected person.

Finally, the bill modifies the definition for newspaper. Under current law, a

newspaper is defined, in part, as “a publication that is published at regular intervals

and at least once a week, containing reports of happenings of recent occurrence of a

varied character, such as political, social, moral and religious subjects, designed to

inform the general reader.” Under the bill, the publication must contain, on average,