California Legislature Approves Senator Padilla Bill Updating Financial Protections for Youth Content Creators
SACRAMENTO – Today, the California State Legislature passed Senate Bill 764, the Child Content Creator Rights Act. The bill, authored by Senator Steve Padilla (D-San Diego), would ensure content creators under 18 earn fair financial benefits from the use of their image.
“California is the epicenter of the global entertainment industry,” said Senator Padilla. “The standards we set here become the blueprint for the nation and indeed, the world. We need to update our hard-fought labor protections and safeguard the financial future of these 21st century performers.”
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.
The measure is supported by youth advocates as well as the California business community.
“It is incredibly heartening to see politicians across the aisle join together to protect child safety online,” said Chris McCarty, Founder of Quit Clicking Kids, an advocacy group instrumental in the passage of similar legislation in Illinois. “If we can’t make child safety a priority, then we face a political problem much bigger than any individual bill.”
“For 85 years, Coogan accounts have protected child actors against exploitation,” said Ronak Daylami, policy advocate with the California Chamber of Commerce. “In the years since, family vloggers and content creators have seen significant success based on their increased popularity on social media and online platforms, often for content involving children. CalChamber supports SB 764 because it provides needed protections for children who are filmed and posted on social media without access to the profits that were generated by their likeness and participation. We are grateful for Senator Padilla's leadership and his partnership with us in addressing this important issue.”
SB 764 passed the Senate today by a bipartisan vote of 37 to 0 and passed the Assembly on Monday by a bipartisan vote of 77-0. To read more about SB 764, click here.
###
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/