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This statutory amendment resulted from California Senate Bill No. California employers may want to update their templates and checklists of California compliance items and use this new language to limit potential concerns with the release of unknown claims under Section The act requires covered employers to provide paid sick leave to many of their Michigan-based employees.


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Many of these suits raise questions about how far the statute's prohibitions on collecting ZIP code information reach. For instance, suits have been filed against gas stations in California, alleging that requiring cardholders to enter their ZIP codes when paying at the pump violates the Song-Beverly Act. At least one California suit also has challenged a similar requirement by a retailer using self-service kiosks.

California Constitution, art. I, § 1

These cases may implicate scenarios where a retailer is being contractually required to obtain personal information to process credit card transactions. Another question is the extent to which a valid cause of action exists against online retailers under the Song-Beverly Credit Card Act and other state statutes.

A federal court in California has held that the Song-Beverly Act was not intended to apply to non-brick-and-mortar businesses. Saulic v. Symantec Corp. Recognizing that the scope of Pineda and the Song-Beverly Act may be overbroad, a bill has been introduced in the California legislature that would limit the ZIP code collection ban to those transactions where the customer physically hands a credit card to a store clerk and the card is electronically read at the point of sale.

California Supreme Court Expands Retailers' Liability Under Credit Card Privacy Laws

Also, the sponsors of the bill want to include language to ensure that Pineda only applies prospectively. By Leah Hamilton. Qualified Solicitor. Dec 24, This article is not a substitute for professional legal advice. This article does not create an attorney-client relationship, nor is it a solicitation to offer legal advice. Privacy Policy Template.

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