Assembly Committee Concurred on AB540 to Clarify E‑Service Deadlines and Shield Sensitive Medical Records

Assemblymember Connolly urged the committee to concur on AB540, describing it as "a straightforward bill to address issues currently found in civil law and improve access for everyone involved." The bill addresses three discrete problems in California civil practice: confusion about deadlines after e‑service, uncertainty about whether SB 37 applies to attorney‑to‑attorney referrals, and the lack of a standard, voluntary 'first‑look' procedure to screen sensitive medical records for relevance and privacy.

The bill clarifies that e‑service of certain motions does not trigger additional time that would apply to other methods of service, resolving years of uncertainty around computing response deadlines for electronically served motions, Connolly said. She also said AB540 would make clear that attorneys who refer cases incidentally as part of regular practice — for example when a case falls outside their expertise or capacity — are not operating a certified referral service under SB 37.

Connolly described a voluntary 'first‑look' template included in the bill that would let parties review sensitive records for privacy and relevance before full production. She characterized the template as negotiable and already used informally among attorneys who trust one another. Mike Belote, testifying for the California Defense Counsel, said health care providers often produce entire medical files that include irrelevant and sensitive material and praised the template as a practical protection.

Committee members expressed support. Assemblymember Zabir thanked the author and said the bill struck the right balance between access to evidence and privacy protections. A motion "to concur" was called and the committee recorded 'aye' votes; the motion carried and AB540 was reported out of committee.

The bill drew support from both plaintiff and defense bar representatives at the hearing. The committee did not take amendments during this session; the next procedural step will depend on the bill's placement on subsequent floor or committee calendars.