BILL REQ. #:  S-4212.1 

Read first time 01/13/2006.   Referred to Committee on Judiciary.

     AN ACT Relating to organized retail theft; amending RCW 9A.56.010; reenacting and amending RCW 9A.82.010 and 9.94A.515; adding new sections to chapter 9A.56 RCW; and prescribing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   A new section is added to chapter 9A.56 RCW to read as follows:
     (1) A person is guilty of theft with the intent to resell if he or she commits theft of property with a value of at least two hundred fifty dollars from a mercantile establishment with the intent to resell the property for monetary or other gain.
     (2) The person is guilty of theft with the intent to resell in the first degree if the property has a value of one thousand five hundred dollars or more. Theft with the intent to resell in the first degree is a class B felony.
     (3) The person is guilty of theft with the intent to resell in the second degree if the property has a value of at least two hundred fifty dollars, but less than one thousand five hundred dollars. Theft with the intent to resell in the second degree is a class C felony.
     (4) For purposes of this section, a series of thefts committed by the same person from one or more mercantile establishments over a period of one hundred eighty days may be aggregated in one count and the sum of the value of all the property shall be the value considered in determining the degree of the theft with the intent to resell involved. Thefts committed by the same person in different counties that have been aggregated in one county may be prosecuted in any county in which one of the thefts occurred.

NEW SECTION.  Sec. 2   A new section is added to chapter 9A.56 RCW to read as follows:
     (1) A person is guilty of organized retail theft if he or she:
     (a) Commits theft of property with a value of at least two hundred fifty dollars from a mercantile establishment with an accomplice; or
     (b) Possesses stolen property, as defined in RCW 9A.56.140, with a value of at least two hundred fifty dollars from a mercantile establishment with an accomplice.
     (2) A person is guilty of organized retail theft in the first degree if the property stolen or possessed has a value of one thousand five hundred dollars or more. Organized retail theft in the first degree is a class B felony.
     (3) A person is guilty of organized retail theft in the second degree if the property stolen or possessed has a value of at least two hundred fifty dollars, but less than one thousand five hundred dollars. Organized retail theft in the second degree is a class C felony.
     (4) For purposes of this section, a series of thefts committed by the same person from one or more mercantile establishments over a period of one hundred eighty days may be aggregated in one count and the sum of the value of all the property shall be the value considered in determining the degree of the organized retail theft involved. Thefts committed by the same person in different counties that have been aggregated in one county may be prosecuted in any county in which one of the thefts occurred.

NEW SECTION.  Sec. 3   A new section is added to chapter 9A.56 RCW to read as follows:
     (1) A person commits retail theft with extenuating circumstances if he or she commits theft of property from a mercantile establishment with one of the following extenuating circumstances:
     (a) To facilitate the theft, the person leaves the mercantile establishment through a designated emergency exit;
     (b) The person was, at the time of the theft, in possession of an item, article, implement, or device designed to overcome security systems including, but not limited to, lined bags or tag removers; or
     (c) The person committed theft at three or more separate and distinct mercantile establishments within a one hundred eighty-day period.
     (2) A person is guilty of retail theft with extenuating circumstances in the first degree if the theft involved constitutes theft in the first degree. Retail theft with extenuating circumstances in the first degree is a class B felony.
     (3) A person is guilty of retail theft with extenuating circumstances in the second degree if the theft involved constitutes theft in the second degree. Retail theft with extenuating circumstances in the second degree is a class C felony.
     (4) A person is guilty of retail theft with extenuating circumstances in the third degree if the theft involved constitutes theft in the third degree. Retail theft with extenuating circumstances in the third degree is a class C felony.

Sec. 4   RCW 9A.56.010 and 2002 c 97 s 1 are each amended to read as follows:
     The following definitions are applicable in this chapter unless the context otherwise requires:
     (1) "Access device" means any card, plate, code, account number, or other means of account access that can be used alone or in conjunction with another access device to obtain money, goods, services, or anything else of value, or that can be used to initiate a transfer of funds, other than a transfer originated solely by paper instrument;
     (2) "Appropriate lost or misdelivered property or services" means obtaining or exerting control over the property or services of another which the actor knows to have been lost or mislaid, or to have been delivered under a mistake as to identity of the recipient or as to the nature or amount of the property;
     (3) "Beverage crate" means a plastic or metal box-like container used by a manufacturer or distributor in the transportation or distribution of individually packaged beverages to retail outlets, and affixed with language stating "property of . . . . .," "owned by . . . . .," or other markings or words identifying ownership;
     (4) "By color or aid of deception" means that the deception operated to bring about the obtaining of the property or services; it is not necessary that deception be the sole means of obtaining the property or services;
     (5) "Deception" occurs when an actor knowingly:
     (a) Creates or confirms another's false impression which the actor knows to be false; or
     (b) Fails to correct another's impression which the actor previously has created or confirmed; or
     (c) Prevents another from acquiring information material to the disposition of the property involved; or
     (d) Transfers or encumbers property without disclosing a lien, adverse claim, or other legal impediment to the enjoyment of the property, whether that impediment is or is not valid, or is or is not a matter of official record; or
     (e) Promises performance which the actor does not intend to perform or knows will not be performed.
     (6) "Deprive" in addition to its common meaning means to make unauthorized use or an unauthorized copy of records, information, data, trade secrets, or computer programs;
     (7) "Merchandise pallet" means a wood or plastic carrier designed and manufactured as an item on which products can be placed before or during transport to retail outlets, manufacturers, or contractors, and affixed with language stating "property of . . .," "owned by . . .," or other markings or words identifying ownership;
     (8) "Obtain control over" in addition to its common meaning, means:
     (a) In relation to property, to bring about a transfer or purported transfer to the obtainer or another of a legally recognized interest in the property; or
     (b) In relation to labor or service, to secure performance thereof for the benefits of the obtainer or another;
     (9) "Owner" means a person, other than the actor, who has possession of or any other interest in the property or services involved, and without whose consent the actor has no authority to exert control over the property or services;
     (10) "Parking area" means a parking lot or other property provided by retailers for use by a customer for parking an automobile or other vehicle;
     (11) "Receive" includes, but is not limited to, acquiring title, possession, control, or a security interest, or any other interest in the property;
     (12) "Services" includes, but is not limited to, labor, professional services, transportation services, electronic computer services, the supplying of hotel accommodations, restaurant services, entertainment, the supplying of equipment for use, and the supplying of commodities of a public utility nature such as gas, electricity, steam, and water;
     (13) "Shopping cart" means a basket mounted on wheels or similar container generally used in a retail establishment by a customer for the purpose of transporting goods of any kind;
     (14) "Stolen" means obtained by theft, robbery, or extortion;
     (15) "Subscription television service" means cable or encrypted video and related audio and data services intended for viewing on a home television by authorized members of the public only, who have agreed to pay a fee for the service. Subscription services include but are not limited to those video services presently delivered by coaxial cable, fiber optic cable, terrestrial microwave, television broadcast, and satellite transmission;
     (16) "Telecommunication device" means (a) any type of instrument, device, machine, or equipment that is capable of transmitting or receiving telephonic or electronic communications; or (b) any part of such an instrument, device, machine, or equipment, or any computer circuit, computer chip, electronic mechanism, or other component, that is capable of facilitating the transmission or reception of telephonic or electronic communications;
     (17) "Telecommunication service" includes any service other than subscription television service provided for a charge or compensation to facilitate the transmission, transfer, or reception of a telephonic communication or an electronic communication;
     (18) Value. (a) "Value" means the market value of the property or services at the time and in the approximate area of the criminal act.
     (b) Whether or not they have been issued or delivered, written instruments, except those having a readily ascertained market value, shall be evaluated as follows:
     (i) The value of an instrument constituting an evidence of debt, such as a check, draft, or promissory note, shall be deemed the amount due or collectible thereon or thereby, that figure ordinarily being the face amount of the indebtedness less any portion thereof which has been satisfied;
     (ii) The value of a ticket or equivalent instrument which evidences a right to receive transportation, entertainment, or other service shall be deemed the price stated thereon, if any; and if no price is stated thereon, the value shall be deemed the price of such ticket or equivalent instrument which the issuer charged the general public;
     (iii) The value of any other instrument that creates, releases, discharges, or otherwise affects any valuable legal right, privilege, or obligation shall be deemed the greatest amount of economic loss which the owner of the instrument might reasonably suffer by virtue of the loss of the instrument.
     (c) Except as provided in sections 1(4) and 2(4) of this act, whenever any series of transactions which constitute theft, would, when considered separately, constitute theft in the third degree because of value, and said series of transactions are a part of a criminal episode or a common scheme or plan, then the transactions may be aggregated in one count and the sum of the value of all said transactions shall be the value considered in determining the degree of theft involved.
     For purposes of this subsection, "criminal episode" means a series of thefts committed by the same person from one or more mercantile establishments on three or more occasions within a five-day period.
     (d) Whenever any person is charged with possessing stolen property and such person has unlawfully in his possession at the same time the stolen property of more than one person, then the stolen property possessed may be aggregated in one count and the sum of the value of all said stolen property shall be the value considered in determining the degree of theft involved. Thefts committed by the same person in different counties that have been aggregated in one county may be prosecuted in any county in which one of the thefts occurred.
     (e) Property or services having value that cannot be ascertained pursuant to the standards set forth above shall be deemed to be of a value not exceeding two hundred and fifty dollars;
     (19) "Wrongfully obtains" or "exerts unauthorized control" means:
     (a) To take the property or services of another;
     (b) Having any property or services in one's possession, custody or control as bailee, factor, lessee, pledgee, renter, servant, attorney, agent, employee, trustee, executor, administrator, guardian, or officer of any person, estate, association, or corporation, or as a public officer, or person authorized by agreement or competent authority to take or hold such possession, custody, or control, to secrete, withhold, or appropriate the same to his or her own use or to the use of any person other than the true owner or person entitled thereto; or
     (c) Having any property or services in one's possession, custody, or control as partner, to secrete, withhold, or appropriate the same to his or her use or to the use of any person other than the true owner or person entitled thereto, where the use is unauthorized by the partnership agreement.

Sec. 5   RCW 9A.82.010 and 2003 c 119 s 6, 2003 c 113 s 3, and 2003 c 53 s 85 are each reenacted and amended to read as follows:
     Unless the context requires the contrary, the definitions in this section apply throughout this chapter.
     (1)(a) "Beneficial interest" means:
     (i) The interest of a person as a beneficiary under a trust established under Title 11 RCW in which the trustee for the trust holds legal or record title to real property;
     (ii) The interest of a person as a beneficiary under any other trust arrangement under which a trustee holds legal or record title to real property for the benefit of the beneficiary; or
     (iii) The interest of a person under any other form of express fiduciary arrangement under which one person holds legal or record title to real property for the benefit of the other person.
     (b) "Beneficial interest" does not include the interest of a stockholder in a corporation or the interest of a partner in a general partnership or limited partnership.
     (c) A beneficial interest is considered to be located where the real property owned by the trustee is located.
     (2) "Control" means the possession of a sufficient interest to permit substantial direction over the affairs of an enterprise.
     (3) "Creditor" means a person making an extension of credit or a person claiming by, under, or through a person making an extension of credit.
     (4) "Criminal profiteering" means any act, including any anticipatory or completed offense, committed for financial gain, that is chargeable or indictable under the laws of the state in which the act occurred and, if the act occurred in a state other than this state, would be chargeable or indictable under the laws of this state had the act occurred in this state and punishable as a felony and by imprisonment for more than one year, regardless of whether the act is charged or indicted, as any of the following:
     (a) Murder, as defined in RCW 9A.32.030 and 9A.32.050;
     (b) Robbery, as defined in RCW 9A.56.200 and 9A.56.210;
     (c) Kidnapping, as defined in RCW 9A.40.020 and 9A.40.030;
     (d) Forgery, as defined in RCW 9A.60.020 and 9A.60.030;
     (e) Theft, as defined in RCW 9A.56.030, 9A.56.040, 9A.56.060, 9A.56.080, and 9A.56.083;
     (f) Unlawful sale of subscription television services, as defined in RCW 9A.56.230;
     (g) Theft of telecommunication services or unlawful manufacture of a telecommunication device, as defined in RCW 9A.56.262 and 9A.56.264;
     (h) Child selling or child buying, as defined in RCW 9A.64.030;
     (i) Bribery, as defined in RCW 9A.68.010, 9A.68.020, 9A.68.040, and 9A.68.050;
     (j) Gambling, as defined in RCW 9.46.220 and 9.46.215 and 9.46.217;
     (k) Extortion, as defined in RCW 9A.56.120 and 9A.56.130;
     (l) Unlawful production of payment instruments, unlawful possession of payment instruments, unlawful possession of a personal identification device, unlawful possession of fictitious identification, or unlawful possession of instruments of financial fraud, as defined in RCW 9A.56.320;
     (m) Extortionate extension of credit, as defined in RCW 9A.82.020;
     (n) Advancing money for use in an extortionate extension of credit, as defined in RCW 9A.82.030;
     (o) Collection of an extortionate extension of credit, as defined in RCW 9A.82.040;
     (p) Collection of an unlawful debt, as defined in RCW 9A.82.045;
     (q) Delivery or manufacture of controlled substances or possession with intent to deliver or manufacture controlled substances under chapter 69.50 RCW;
     (r) Trafficking in stolen property, as defined in RCW 9A.82.050;
     (s) Leading organized crime, as defined in RCW 9A.82.060;
     (t) Money laundering, as defined in RCW 9A.83.020;
     (u) Obstructing criminal investigations or prosecutions in violation of RCW 9A.72.090, 9A.72.100, 9A.72.110, 9A.72.120, 9A.72.130, 9A.76.070, or 9A.76.180;
     (v) Fraud in the purchase or sale of securities, as defined in RCW 21.20.010;
     (w) Promoting pornography, as defined in RCW 9.68.140;
     (x) Sexual exploitation of children, as defined in RCW 9.68A.040, 9.68A.050, and 9.68A.060;
     (y) Promoting prostitution, as defined in RCW 9A.88.070 and 9A.88.080;
     (z) Arson, as defined in RCW 9A.48.020 and 9A.48.030;
     (aa) Assault, as defined in RCW 9A.36.011 and 9A.36.021;
     (bb) Assault of a child, as defined in RCW 9A.36.120 and 9A.36.130;
     (cc) A pattern of equity skimming, as defined in RCW 61.34.020;
     (dd) Commercial telephone solicitation in violation of RCW 19.158.040(1);
     (ee) Trafficking in insurance claims, as defined in RCW 48.30A.015;
     (ff) Unlawful practice of law, as defined in RCW 2.48.180;
     (gg) Commercial bribery, as defined in RCW 9A.68.060;
     (hh) Health care false claims, as defined in RCW 48.80.030;
     (ii) Unlicensed practice of a profession or business, as defined in RCW 18.130.190(7);
     (jj) Improperly obtaining financial information, as defined in RCW 9.35.010;
     (kk) Identity theft, as defined in RCW 9.35.020;
     (ll) Unlawful shipment of cigarettes in violation of RCW 70.155.105(6) (a) or (b); ((or))
     (mm) Unlawful shipment of cigarettes in violation of RCW 82.24.110(2);
     (nn) Theft with the intent to resell, as defined in section 1 of this act; or
     (oo) Organized retail theft, as defined in section 2 of this act.
     (5) "Dealer in property" means a person who buys and sells property as a business.
     (6) "Debtor" means a person to whom an extension of credit is made or a person who guarantees the repayment of an extension of credit or in any manner undertakes to indemnify the creditor against loss resulting from the failure of a person to whom an extension is made to repay the same.
     (7) "Documentary material" means any book, paper, document, writing, drawing, graph, chart, photograph, phonograph record, magnetic tape, computer printout, other data compilation from which information can be obtained or from which information can be translated into usable form, or other tangible item.
     (8) "Enterprise" includes any individual, sole proprietorship, partnership, corporation, business trust, or other profit or nonprofit legal entity, and includes any union, association, or group of individuals associated in fact although not a legal entity, and both illicit and licit enterprises and governmental and nongovernmental entities.
     (9) "Extortionate extension of credit" means an extension of credit with respect to which it is the understanding of the creditor and the debtor at the time the extension is made that delay in making repayment or failure to make repayment could result in the use of violence or other criminal means to cause harm to the person, reputation, or property of any person.
     (10) "Extortionate means" means the use, or an express or implicit threat of use, of violence or other criminal means to cause harm to the person, reputation, or property of any person.
     (11) "Financial institution" means any bank, trust company, savings and loan association, savings bank, mutual savings bank, credit union, or loan company under the jurisdiction of the state or an agency of the United States.
     (12) "Pattern of criminal profiteering activity" means engaging in at least three acts of criminal profiteering, one of which occurred after July 1, 1985, and the last of which occurred within five years, excluding any period of imprisonment, after the commission of the earliest act of criminal profiteering. In order to constitute a pattern, the three acts must have the same or similar intent, results, accomplices, principals, victims, or methods of commission, or be otherwise interrelated by distinguishing characteristics including a nexus to the same enterprise, and must not be isolated events. However, in any civil proceedings brought pursuant to RCW 9A.82.100 by any person other than the attorney general or county prosecuting attorney in which one or more acts of fraud in the purchase or sale of securities are asserted as acts of criminal profiteering activity, it is a condition to civil liability under RCW 9A.82.100 that the defendant has been convicted in a criminal proceeding of fraud in the purchase or sale of securities under RCW 21.20.400 or under the laws of another state or of the United States requiring the same elements of proof, but such conviction need not relate to any act or acts asserted as acts of criminal profiteering activity in such civil action under RCW 9A.82.100.
     (13) "Real property" means any real property or interest in real property, including but not limited to a land sale contract, lease, or mortgage of real property.
     (14) "Records" means any book, paper, writing, record, computer program, or other material.
     (15) "Repayment of an extension of credit" means the repayment, satisfaction, or discharge in whole or in part of a debt or claim, acknowledged or disputed, valid or invalid, resulting from or in connection with that extension of credit.
     (16) "Stolen property" means property that has been obtained by theft, robbery, or extortion.
     (17) "To collect an extension of credit" means to induce in any way a person to make repayment thereof.
     (18) "To extend credit" means to make or renew a loan or to enter into an agreement, tacit or express, whereby the repayment or satisfaction of a debt or claim, whether acknowledged or disputed, valid or invalid, and however arising, may or shall be deferred.
     (19) "Traffic" means to sell, transfer, distribute, dispense, or otherwise dispose of stolen property to another person, or to buy, receive, possess, or obtain control of stolen property, with intent to sell, transfer, distribute, dispense, or otherwise dispose of the property to another person.
     (20)(a) "Trustee" means:
     (i) A person acting as a trustee under a trust established under Title 11 RCW in which the trustee holds legal or record title to real property;
     (ii) A person who holds legal or record title to real property in which another person has a beneficial interest; or
     (iii) A successor trustee to a person who is a trustee under (a)(i) or (ii) of this subsection.
     (b) "Trustee" does not mean a person appointed or acting as:
     (i) A personal representative under Title 11 RCW;
     (ii) A trustee of any testamentary trust;
     (iii) A trustee of any indenture of trust under which a bond is issued; or
     (iv) A trustee under a deed of trust.
     (21) "Unlawful debt" means any money or other thing of value constituting principal or interest of a debt that is legally unenforceable in the state in full or in part because the debt was incurred or contracted:
     (a) In violation of any one of the following:
     (i) Chapter 67.16 RCW relating to horse racing;
     (ii) Chapter 9.46 RCW relating to gambling;
     (b) In a gambling activity in violation of federal law; or
     (c) In connection with the business of lending money or a thing of value at a rate that is at least twice the permitted rate under the applicable state or federal law relating to usury.

Sec. 6   RCW 9.94A.515 and 2005 c 458 s 2 and 2005 c 183 s 9 are each reenacted and amended to read as follows: