California Assembly Bill AB723

California 2025-2026 Regular Session

• Introduced: 2/14/25
• Refer: 3/3/25
• Report Pass: 4/2/25
• Refer: 4/7/25
• Refer: 4/30/25
• Report Pass: 5/23/25
• Engrossed: 6/3/25
• Refer: 6/4/25
• Refer: 6/18/25
• Report Pass: 7/2/25
• Refer: 7/2/25
• Report Pass: 7/7/25
• Refer: 7/7/25
• Report Pass: 7/16/25
• Refer: 7/16/25
• Refer: 8/18/25
• Report Pass: 8/29/25
• Enrolled: 9/10/25
• Chaptered: 10/10/25
• Passed: 10/10/25

Caption

Real estate: digitally altered images: disclosure.

Impact

If enacted, AB 723 will modify existing regulations concerning the marketing practices of real estate professionals in California under the Business and Professions Code. The bill mandates new compliance responsibilities for brokers, including the requirement to display both the altered and unaltered images in any form of promotional material, particularly on digital platforms. Violations of these requirements will be considered a crime, thus modifying the legal landscape concerning real estate transactions and advertising.

Summary

Assembly Bill No. 723, known as the Real Estate: Digitally Altered Images: Disclosure Act, aims to enhance transparency in real estate advertising by mandating that real estate brokers or salespersons disclose when an image used in promotional material has been digitally altered. This legislation requires that a statement indicating the alteration be included alongside the image, along with a link or QR code directing potential buyers to the original unaltered image. The intent behind this bill is to protect consumers from misleading advertising practices in the real estate market and to ensure that prospective buyers have access to accurate representations of properties.

Sentiment

The sentiment surrounding AB 723 appears generally supportive among consumer advocacy groups, who view it as a necessary step towards consumer protection and fair advertising practices in the real estate industry. However, there may be concerns regarding the implementation burden on real estate professionals, particularly smaller brokers who may find compliance challenging. There is a balancing act between consumer protection and the operational realities of real estate marketing.

Contention

Debates surrounding the bill could center on the degree of responsibility placed on brokers for image alterations, particularly with advancements in photo editing and artificial intelligence. Critics might argue that such regulations could be overly burdensome, especially for small businesses that rely heavily on digital marketing. Furthermore, there are questions about how 'digital alteration' is defined, what constitutes sufficient disclosure, and the potential legal ramifications for non-compliance.