California has recently seen a surge in organized retail theft, a criminal activity severely impacting businesses, communities, and the state's economy. The growing scale of this issue prompted state lawmakers to take action. Senator Aisha Wahab's SB 982, known as the Organized Retail Theft Sunset Removal Bill, seeks to tackle this problem head-on by making organized retail theft a permanent crime.
Signed into law on August 16, 2024, SB 982 represents a significant shift in California's approach to tackling theft. In this post, we will delve into the specifics of SB 982, its implications for law enforcement, businesses, and consumers, and its broader effects on public safety and the state's legal framework.

What is Organized Retail Theft?

Organized retail theft refers to the coordinated efforts of multiple individuals who collaborate to steal merchandise with the intent to sell, exchange, or return the stolen items for profit. This type of crime is typically perpetrated by criminal organizations that operate on a larger scale, often targeting brick-and-mortar stores and online marketplaces.
Under California law, AB 1779 was initially criminalized with a sunset clause set to expire on January 1, 2026. This meant that, unless extended, the provisions would no longer be in effect after that date. SB 982 was introduced to remove this sunset clause, ensuring that organized retail theft remains a permanent criminal offense.

The Legislative Journey of SB 982

Senator Aisha Wahab, a key figure in California's legislative landscape, introduced SB 982 during the 2023-2024 legislative session. The bill quickly gained support as lawmakers recognized the escalating threat of organized retail theft to businesses and consumers.

SB 982 was part of a broader legislative initiative to enhance public safety and tackle retail theft. It was a key element of the Safer California package, which works with Governor Gavin Newsom's Retail Theft initiative. This initiative focused on increasing penalties for retail theft while equipping law enforcement with the tools needed to address this growing issue.

Provisions Outlined in SB 982

SB 982 revises Section 490.4 of the Penal Code, making criminalizing organized retail theft a permanent measure in California. The law describes the actions that qualify as organized retail theft, encompassing a broad spectrum of illegal activities related to theft from retail establishments. The law targets various roles in organized theft, ensuring the entire criminal operation can be addressed. These activities include:

Theft with Intent to Resell, Return, or Exchange Goods
People can be charged with organized retail theft if they steal merchandise with the intention of reselling, returning, or exchanging the items for monetary gain or value. This provision aims to prevent the illicit circulation of stolen goods and discourage theft for resale purposes.

Receiving Stolen Merchandise
The law also criminalizes the act of receiving, purchasing, or possessing stolen merchandise, especially when the individual knows or reasonably believes the goods were stolen. This extends the scope of the offense to include those who commit the theft and those who participate in the criminal transaction by handling stolen property.

Acting as an Agent for Others
SB 982 targets individuals who act on behalf of others, stealing goods from retailers or online platforms as part of a coordinated scheme. Even those who do not directly steal but participate in the criminal plan by working as agents for others can be prosecuted under this law.

Recruiting, Organizing, or Managing Theft Operations
The law further includes individuals who recruit, organize, supervise, manage, or finance the operation of an organized retail theft scheme. This provision ensures that those who facilitate or orchestrate theft operations, rather than just physically committing the theft, are held accountable for their involvement.
By defining organized retail theft in such comprehensive terms, SB 982 ensures that the legal framework covers the full spectrum of involvement in these criminal activities, from the actual theft of goods to the organization and management of theft rings. 

Consequences for Organized Retail Theft

A critical feature of SB 982 is its clear and structured approach to the consequences for organized retail theft. The bill distinguishes between different levels of the offense based on the frequency and scope of the theft, with the severity of the repercussions varying accordingly:

Theft Occurring on Multiple Occasion
If the theft happens on two or more separate occasions within a 12-month period, and the total value of the stolen merchandise exceeds $950, the individual can face imprisonment in a county jail for up to one year or may be subject to sentencing under subdivision (h) of Section 1170 of the Penal Code.

Theft on a Single Occasion
If an individual commits organized retail theft on a single occasion, and the total value of the stolen merchandise does not exceed the $950 threshold outlined by the law, they can still face legal repercussions. In such cases, the offender may be sentenced to up to one year in county jail, reflecting the seriousness of the crime even in instances of a single occurrence.

Recruitment and Management
Individuals who take on the role of recruiting, organizing, or managing others involved in organized retail theft are equally subject to legal action under SB 982. This includes those who may not directly commit theft themselves but facilitate or coordinate the operation, and they could also face imprisonment as a result of their involvement in organizing criminal activities.

Impact on Law Enforcement and Businesses

The enactment of SB 982 marks a significant shift in how organized retail theft will be addressed by law enforcement agencies throughout California. Prior to this bill, the criminalization of organized retail theft was set to expire in 2026, due to a sunset clause. With SB 982 now passed, the law is extended indefinitely, allowing law enforcement to continue focusing on prosecuting organized theft without concerns about a future expiration date.
For businesses, particularly those in the retail sector, SB 982 represents a major step forward in combating theft. Retailers have long struggled with increasing losses from organized theft rings, and this new law provides law enforcement with a solid legal foundation to take swift and effective action against offenders. Moreover, it offers businesses much-needed clarity on the legal tools available to safeguard their inventory and protect their employees from criminal activity.

Broader Impact on Public Safety

SB 982 extends far beyond addressing organized retail theft, playing a key role in California's broader efforts to combat criminal activity and hold those involved in organized crime accountable. By making organized retail theft a permanent crime, the bill sends a clear and decisive message that California is dedicated to curbing organized crime and ensuring that perpetrators of theft operations face appropriate legal consequences.

No Financial Reimbursement for Local Agencies

A notable aspect of SB 982 is that it explicitly states that local agencies will not receive reimbursement for the costs incurred as a result of implementing the law. This provision means that local governments and law enforcement agencies will not receive extra funding to cover the expenses related to enforcing the bill. While this could create some financial strain for local agencies, the anticipated long-term benefits of reducing organized theft and enhancing public safety are expected to outweigh these costs.

SB 982 and the Future of Retail Theft Legislation

The passage of SB 982 marks a pivotal moment in California's ongoing efforts to combat organized retail theft on a permanent basis. However, the battle against retail theft is not over. As organized crime continues to evolve, lawmakers will need to remain vigilant and adapt to new tactics criminals may use to exploit potential loopholes in the law. SB 982 is just one piece of a broader initiative to ensure California stays a safe environment for businesses, consumers, and communities.
This legislation may serve as a model for other states facing similar challenges. California's proactive stance on organized retail theft could inspire other states to adopt similar laws, contributing to a nationwide effort to tackle the growing issue of retail theft.
As the legal landscape evolves, businesses must navigate complex laws like SB 982. Seeking for a criminal defense lawyer like Bulldog Law can help ensure compliance and protect against the growing threat of organized retail theft. SB 982 is a key step in making California safer, sending a clear message that organized crime will not be tolerated in the state.