California Governor Signs Senator Padilla Bill Updating Financial Protections for Youth Content Creators
SACRAMENTO – Today, Governor Gavin Newsom signed into law Senate Bill 764, the Child Content Creator Rights Act. The bill, authored by Senator Steve Padilla (D-San Diego), will ensure content creators under 18 earn fair financial benefits from the use of their image.
“California has a long legacy of protecting child performers from financial abuse,” said Senator Padilla. “It is critical we adapt these landmark protections to keep up with the natural evolution of entertainment. This law once again puts California at the forefront of protections for minors in one of our tent pole industries.”
According to Goldman Sachs Research, the influencer economy stood at roughly $250 billion in 2023 and is expected to nearly double that over the next five years to $480 billion. With the rise of social media platforms targeting short-form videos and the increased ease to monetize content, the barriers preventing aspiring content creators from entering the market have been removed, prompting a rise in those making content with the intent to monetize it.
Senate Bill 764 requires content creators that feature minors in at least 30% of their content to set aside 65% of a proportionate percentage of total gross earnings in a trust account the minor can access when they reach adulthood. The legislation mirrors the landmark financial protections that California established with the Coogan Act in the 1930’s that went on to become the national standard to best safeguard the economic future of actors under 18. However, Coogan protections only extend to child performers under contract. As parents do not need to draft contracts to record or post videos of their family, children in these posts are not guaranteed access to the profits generated by their likeness and participation.
“It is inspiring to see legislation that protects a new generation of child entertainers flourish in California,” said Chris McCarty, Founder of Quit Clicking Kids, an advocacy group instrumental in the passage of similar legislation in Illinois. “The financial protections extended to traditional child actors should be extended to the child stars of monetized social media accounts, and California is taking the first steps to set that into place with SB 764.”
SB 764 will become law on January 1st, 2025. To read more about SB 764, click here.
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Steve Padilla represents the 18th Senate District, which includes the communities of Chula Vista, the Coachella Valley, Imperial Beach, the Imperial Valley, National City, and San Diego. Prior to his election to the Senate in 2022, Senator Padilla was the first person of color ever elected to city office in Chula Vista, the first Latino Mayor, and the first openly LGBT person to serve or be elected to city office. Website of Senator Steve Padilla: https://sd18.senate.ca.gov/