AMENDED IN SENATE AUGUST 21, 2026

AMENDED IN SENATE AUGUST 13, 2026

AMENDED IN ASSEMBLY APRIL 16, 2026

CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION

96

Introduced by Assembly Members Bryan, Bonta, Elhawary, Gipson, Jackson, McKinnor, and Sharp-Collins

(Coauthors: Assembly Members Connolly, Kalra, Stefani, and Zbur)

February 20, 2026

An act to add Section 1714.44 to the Civil Code, and to amend Section 2010 of the Public Contract Code, relating to slavery.

Vote: majority   Appropriation: no   Fiscal committee: yes   Local program: yes

LEGISLATIVE COUNSEL’S DIGEST

Existing law requires every retail seller and manufacturer doing business in this state and having annual worldwide gross receipts that exceed $100,000,000 to disclose, as specified, its efforts to eradicate slavery and human trafficking from its direct supply chain for tangible goods offered for sale.

Existing law also requires a person that submits a bid or proposal to, or otherwise proposes to enter into or renew a contract with, a state agency with respect to any contract in the amount of $100,000 or more to certify, under penalty of perjury, at the time the bid or proposal is submitted or the contract is renewed that they have complied with the Unruh Civil Rights Act and the California Fair Employment and Housing Act, and that any policy that they have adopted against any sovereign nation or peoples recognized by the government of the United States is not used as a pretext for discrimination in violation of the Unruh Civil Rights Act or the California Fair Employment and Housing Act.

This bill bill, upon appropriation by the Legislature, would require any business or enterprise that is doing business in the state that was in existence or whose predecessor company was in existence on or before December 31, 1964 and has annual worldwide gross receipts that exceed $100,000,000 to complete an affidavit, under penalty of perjury, verifying that it has searched through any and all records in its and its related entities’, as defined, possession, control, and knowledge for records that the in-state covered entity or its related entities bought or sold persons subjected to slavery, used persons subjected to slavery as collateral, provided loans to purchase persons subjected to slavery, insured such transactions or the persons subjected to slavery, or provided related or other services to aid or otherwise facilitate those transactions. The bill would set forth the contents of the affidavit, the timeline and manner of submission, and reporting requirements. The

This bill would require the Civil Rights Department to create a public, digital platform by January 3, 2028, within one year after an appropriation is made, that would make available affidavits and reports records made pursuant to the bill and disaggregated data, as described. The bill would additionally require the above-described business or entity, that submits a bid or proposal to, or otherwise proposes to enter into or renew a contract with, a state agency, as described above, to additionally certify, under penalty of perjury, that they have submitted the affidavit in compliance with the above-described provisions. By requiring an affidavit and to certify under penalty of perjury regarding compliance with the above-described affidavit requirements, and thus expanding the crime of perjury, the bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

The people of the State of California do enact as follows:

SECTION 1.

Section 1714.44 is added to the Civil Code, to read:

1714.44.

(a) The Legislature finds and declares all of the following:

(1) Numerous American businesses across various industries, including, but not limited to, insurance, banking, tobacco, cotton, sugar, railroads, and shipping, reaped substantial profits by exploiting the uncompensated labor of enslaved persons. Consequently, these businesses and the individuals managing them directly profited from the labor of enslaved persons or directly benefited from insurance policies that insured enslaved persons. This intertwining of economic interests highlights the extent to which the exploitation of enslaved persons permeated the foundation of various American industries. However, very few American industries and the underlying businesses and individuals have adequately acknowledged their connection to the enslavement era.

(2) Many California residents are descendants of enslaved persons and their ancestors were defined as property, dehumanized, separated from their families, coerced into performing labor without appropriate compensation or benefits, and were assaulted and abused. Enslaved persons were treated as chattels in every sense of the word, including being used as collateral for insurance policies, loans, and other transactions, and in some instances, their ancestors’ owners were compensated for damages by insurers.

(3) Insurance policies from the enslavement era, which have been discovered in the archives of several insurance companies, document insurance coverage to slaveholders for damage to or the death of enslaved persons. In some cases, existing insurance firms or their predecessor firms issued these policies. These insurance policies, loan documents, and other documents and records provide evidence of ill-gotten profits from slavery. Slaveholders and those involved in the slave trade, in turn, profited from the uncompensated labor of enslaved persons, even if such profits have long since been redistributed to shareholders. Industries that profited in this manner may include, but not be limited to, capitalized insurers, financial service providers, textile companies, tobacco companies, railroad companies, shipping companies, the sugar industry, and entities in other industries whose successors in interest remain in existence today.

(4) The citizens of California, which include descendants of enslaved persons, are entitled to complete transparency regarding any involvement or profits acquired through slavery by companies seeking to conduct business within California. This disclosure is essential to ensure that the community is informed about the historical connections and practices of the companies operating within its jurisdiction, fostering a culture of accountability and responsible business practices. This provision is a call to the companies who participated in slaveholding and the slave trade to acknowledge and address the enduring impacts of the enslavement era on our society, and to promote responsible corporate citizenship.

(5) It is essential for corporations to recognize their historical connections to the enslavement era and take responsibility for any past actions that have contributed to the perpetuation of unfairness and harm. By actively engaging in redress efforts, corporations demonstrate their commitment to fostering a more just and fair society. Remedying the harms resulting from the enslavement era is not only a moral imperative but also a crucial step towards ensuring a cohesive and inclusive community. This provision serves to facilitate corporate transparency and accountability, and to encourage the implementation of concrete measures aimed at alleviating the long-lasting adverse effects of the slave trade on descendants of enslaved persons.

(6) The full disclosure of the facts and acknowledgment of the depth and scope of the participation in slaveholding and the slave trade and public hearings with respect thereto furthers the public interest by recognizing the dignity of enslaved persons and descendants and promotes healing in the California community for enslaved persons, descendants, and those who participated in slaveholding or the slave trade.

(7) The purpose of this section is to do all of the following:

(A) Promote the investigation of any participation in slaveholding or the slave trade by companies or contractors engaging in business with California.

(B) Establish a system whereby full and accurate disclosure of company or contractor records related to participation in slaveholding or the slave trade are made publicly available, and which provides an opportunity for public notice.

(C) Establish a governance structure to collect affidavits and enforce the provisions of this section.

(b) For purposes of this section, the following definitions apply:

(4) “Department” means the Civil Rights Department.

(5) “Doing business in the state” shall have the same meaning as set forth in Section 23101 of the Revenue and Taxation Code.

(6) “Financial company” includes, but is not limited to, any bank in which the state deposits public funds and investment managers.

(8) “Related entities” means both of the following:

(A) The in-state covered entity’s parent entities or subsidiaries that do business in the state.

(B) A predecessor in interest, regardless of whether that predecessor did business in the state.

(c) (1) Every in-state covered entity having annual worldwide gross receipts that exceed one hundred million dollars ($100,000,000) shall complete an affidavit, under penalty of perjury, verifying that it has searched through any and all records in its and its related entities’ possession, control, and knowledge for records that the in-state covered entity or its related entities bought or sold persons subjected to slavery, used persons subjected to slavery as collateral, provided loans to purchase persons subjected to slavery, insured such transactions or the persons subjected to slavery, or provided related or other services to aid or otherwise facilitate those transactions.

(2) The affidavit shall include all of the following:

(A) The names of each slave and slaveholder described in the records.

(B) Evidence of transactions that benefited or otherwise profited from slavery in the United States. States financially or through the exchange of goods or services.

(C) To the extent applicable, records from 1849 forward indicating all of the following:

(i) Insurance policies related to slaveholding.

(ii) Evidence of purchase, sale, or lease of enslaved persons.

(iii) The use of enslaved persons as collateral for insurance policies, loans, or other transactions.

(iv) Evidence of the provision, or receipt, of loans to purchase enslaved persons.

(v) Insuring transactions for enslaved persons.

(vi) Any other company or contractor records evidencing participation in slaveholding or participation in the slave trade.

(E) A statement from the in-state covered entity verifying that it has exercised due diligence to search through any and all records in its and its related entities’ possession.

(3) The affidavit shall be submitted to the department pursuant to one of the following dates:

(A) For in-state covered entities doing business in the state as of January 1, 2027, by July 1, 2027. 2028, the affidavit is due by January 15, 2029 or by January 15 of the year following the development of the digital platform in accordance with subdivision (d), whichever is later.

(B) For in-state covered entities commencing business in the state following January 1, 2027, within 60 days of commencement of business within the state. 2028, the affidavit is due by January 15 of the second year following the establishment of the business or one year after an appropriation has been made in accordance with subdivision (g), whichever is later.

(4) An insurance company that submitted documentation to the Department of Insurance pursuant to Chapter 5 (commencing with Section 13810) of Division 3 of the Insurance Code may include that documentation as part of the submission required by paragraph (2).

(5) An in-state A covered entity shall submit an updated affidavit to the department upon the discovery of new reportable information.

(d) The department shall do all of the following:

(1) Provide by January 3, 2028, within two years after an appropriation has been made in accordance with subdivision (g), and by March 1 annually thereafter, a report to the Legislature, in compliance with Section 9795 of the Government Code, regarding affidavits received during the prior calendar year.

(2) Create, by January 3, 2028, within one year after an appropriation has been made, a public digital platform with all of the following information in an understandable and accessible manner:

(A) A database of all affidavits and reports records received, with the ability to view individual affidavits and reports. records.

(B) All reported information disaggregated based on a variety of data points, including, but not limited to, all of the following:

(i) Company type.

(ii) Multiyear review of data.

(iii) Company value.

(iv) Estimated value or revenue gained in the time period of the slavery-related transactions or business. business including, but not limited to, the value of the sale of enslaved people, value of insurance claims paid on behalf of lost or injured slaves, or estimated revenue gained through sale of goods produced through recorded slave labor.

(C) All reported information and data points in an electronic format for access and use by the public.

(3) Following creation of the database, make Make affidavits and reports records received available on the platform within 30 days by January 15 of the first reporting year available on the platform within one year, and subsequent affidavits and records received, within six months of receipt.

(4) Notwithstanding any law, ensure that all affidavits, reports, information, and data remain indefinitely on the digital platform.

(f) Nothing in this section shall be construed to limit any of the Attorney General’s enforcement powers under the Business and Professions Code or otherwise.

SEC. 2.

Section 2010 of the Public Contract Code is amended to read:

2010.

A person that submits a bid or proposal to, or otherwise proposes to enter into or renew a contract with, a state agency with respect to any contract in the amount of one hundred thousand dollars ($100,000) or more shall certify, under penalty of perjury, at the time the bid or proposal is submitted or the contract is renewed, all of the following:

(a) That they are in compliance with the Unruh Civil Rights Act (Section 51 of the Civil Code).

(b) That they are in compliance with the California Fair Employment and Housing Act (Chapter 7 (commencing with Section 12960) of Part 2.8 of Division 3 of Title 2 of the Government Code).

(c) (1) That any policy that they have against any sovereign nation or peoples recognized by the government of the United States, including, but not limited to, the nation and people of Israel, is not used to discriminate in violation of the Unruh Civil Rights Act (Section 51 of the Civil Code) or the California Fair Employment and Housing Act (Chapter 7 (commencing with Section 12960) of Part 2.8 of Division 3 of Title 2 of the Government Code).

(2) Any policy adopted by a person or actions taken thereunder that are reasonably necessary to comply with federal or state sanctions or laws affecting sovereign nations or their nationals shall not be construed as unlawful discrimination in violation of the Unruh Civil Rights Act (Section 51 of the Civil Code) or the California Fair Employment and Housing Act (Chapter 7 (commencing with Section 12960) of Part 2.8 of Division 3 of Title 2 of the Government Code).

(d) (1) That if they are an in-state a covered entity having annual worldwide gross receipts that exceed one hundred million dollars ($100,000,000), they have submitted an affidavit in compliance with Section 1714.44 of the Civil Code.

(2) For purposes of this subdivision, “in-state “covered entity” has the same meaning as defined in Section 1714.44 of the Civil Code.

SEC. 3.

No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.