California Preventing Algorithmic Collusion Act of 2025.
- Prohibits businesses from using pricing algorithms that incorporate competitor data to set prices or commercial terms.
- Requires businesses with $5M+ revenue to disclose when prices are set by algorithms before purchase or employment.
- Authorizes the Attorney General to investigate pricing algorithms and impose penalties up to $10,000 per day for violations.
- Mandates corporate officers to certify algorithm information accuracy to regulators under penalty of $1,500 fine.
Senator Hurtado's California Preventing Algorithmic Collusion Act establishes new oversight of pricing algorithms, prohibiting their use when incorporating competitor data and mandating disclosures about algorithmic pricing practices. The legislation requires companies to report pricing algorithm information to the Attorney General upon request and bars the distribution of algorithms that enable price coordination across related markets.
Under the act, businesses with annual revenues exceeding $5 million must disclose to customers and employees when prices or commercial terms are determined by algorithms. These disclosures must specify if the algorithm sets different prices for similar customers or services, and identify any third-party developers of the pricing system. Corporate officers must certify the accuracy of algorithm-related reports to regulators, with false certifications subject to civil penalties of up to $1,500.
The Attorney General and district attorneys can pursue civil enforcement actions for violations, with penalties ranging from $10,000 per day to the total value of algorithm-priced sales. Additional remedies include corporate charter revocation, dissolution of violating entities, and injunctive relief covering all related products and services. The law voids any contracts that violate its provisions while preserving existing antitrust authorities.
This bill was recently introduced. Email the authors to let them know what you think about it.
Introduced By
 Anna CaballeroD Senator | Committee Member |  Not Contacted | |
 Roger NielloR Senator | Committee Member | Not Contacted | |
 Benjamin AllenD Senator | Committee Member | Not Contacted | |
 Eloise ReyesD Senator | Committee Member | Not Contacted | |
 Scott WienerD Senator | Committee Member | Not Contacted |
- Prohibits businesses from using pricing algorithms that incorporate competitor data to set prices or commercial terms.
- Requires businesses with $5M+ revenue to disclose when prices are set by algorithms before purchase or employment.
- Authorizes the Attorney General to investigate pricing algorithms and impose penalties up to $10,000 per day for violations.
- Mandates corporate officers to certify algorithm information accuracy to regulators under penalty of $1,500 fine.
This bill was recently introduced. Email the authors to let them know what you think about it.
Introduced By
Senator Hurtado's California Preventing Algorithmic Collusion Act establishes new oversight of pricing algorithms, prohibiting their use when incorporating competitor data and mandating disclosures about algorithmic pricing practices. The legislation requires companies to report pricing algorithm information to the Attorney General upon request and bars the distribution of algorithms that enable price coordination across related markets.
Under the act, businesses with annual revenues exceeding $5 million must disclose to customers and employees when prices or commercial terms are determined by algorithms. These disclosures must specify if the algorithm sets different prices for similar customers or services, and identify any third-party developers of the pricing system. Corporate officers must certify the accuracy of algorithm-related reports to regulators, with false certifications subject to civil penalties of up to $1,500.
The Attorney General and district attorneys can pursue civil enforcement actions for violations, with penalties ranging from $10,000 per day to the total value of algorithm-priced sales. Additional remedies include corporate charter revocation, dissolution of violating entities, and injunctive relief covering all related products and services. The law voids any contracts that violate its provisions while preserving existing antitrust authorities.
Anna CaballeroD Senator | Committee Member | Not Contacted | |
Roger NielloR Senator | Committee Member | Not Contacted | |
Benjamin AllenD Senator | Committee Member | Not Contacted | |
Eloise ReyesD Senator | Committee Member | Not Contacted | |
Scott WienerD Senator | Committee Member | Not Contacted |