Consumer Protection

Requires financial institutions to pay 2% annual interest on hazard insurance proceeds held for property repairs. Prohibits banks from charging fees that would reduce insurance proceeds interest below 2% annually. Takes effect immediately to protect wildfire victims rebuilding their homes. Allows banks to deposit insurance proceeds in interest-bearing accounts at federal institutions.

Requires businesses to notify California residents of data breaches within 30 days of discovery. Mandates notification to the Attorney General within 15 days when breaches affect over 500 residents. Establishes specific format requirements for data breach notices including plain language and clear headings. Requires free identity theft prevention services for 12 months if social security or license numbers are exposed.

Expands annual financial protection reporting to include activities of the Office of the Ombuds. Requires the Commissioner to publish the comprehensive report on the department's website. Maintains existing requirements to report on consumer complaints, enforcement actions, and fintech activities.

Expands how storage facility owners can prove delivery of email lien notices to tenants with unpaid charges. Requires storage facilities to obtain written consent before sending lien notices by email. Allows proof of delivery through email opens, downloads, or replies rather than just website logins. Mandates mailed notices if electronic delivery cannot be verified.

Exempts the Contractors State License Board from liability for legal fees in actions against contractor deposits. Requires contractors to maintain bonds through approved surety insurers or specific deposits with the registrar. Establishes a three-year deadline for filing claims against contractor deposits. Sets a six-month window to file wage-related claims after discovering payment issues.

Updates required consumer complaint notices at money transmission locations with new contact information. Requires notices to be posted in English and the primary language used by the business. Authorizes alternative notice formats for money transmission services operating through websites or apps. Removes an outdated 2007 reporting requirement for deferred deposit transactions.

Restructures the Consumer Privacy Fund by creating three new subfunds to manage fines and grants for privacy enforcement. Requires state agencies to submit legislative reports electronically rather than in printed form. Establishes the Climate Catalyst Revolving Fund to provide financing for climate-related projects through 2031. Expands eligibility for the California HOPE Trust Account to include adults whose parents died from COVID-19.

Requires web browsers to include easy-to-find settings for opting out of personal data sharing. Mandates browser companies to clearly explain how their opt-out settings work and what data they protect. Authorizes the California Privacy Protection Agency to create and enforce implementation rules.

Requires pornographic websites to verify consent from all individuals depicted in sexually explicit content before upload. Mandates users to certify all depicted individuals are adults who consented to being shown and uploaded. Imposes fines up to $75,000 per violation for websites that fail to protect against non-consensual content. Requires websites to verify user email addresses and maintain consent records for seven years.

Expands regulations on attorney advertising to prohibit misleading claims about skills and experience. Authorizes civil lawsuits with penalties up to $100,000 for deceptive legal advertisements. Requires attorney ads to clearly display the lawyer's name and office location. Mandates withdrawal of violating advertisements within 72 hours of State Bar notification.

Requires insurance brokers to explore moving FAIR Plan policies to standard insurance companies before renewal. Mandates the FAIR Plan to provide annual notices informing policyholders about alternative coverage options. Requires notices to be printed in 14-point bold font on a separate page from other documents.

Removes the public availability exception for sensitive personal information under California privacy laws. Requires businesses to protect all sensitive personal information regardless of its public status. Expands privacy protections by treating all sensitive personal information consistently under state law. Takes effect immediately upon enactment with no delayed implementation period.

Extends price gouging protections from 30 to 60 days after declaring a state of emergency. Increases fines to $25,000 for businesses that raise prices more than 10% during emergencies. Expands rental price controls to all residential and commercial properties during emergencies. Prohibits landlords from evicting tenants to charge higher rents during emergency periods.

Increases maximum fines for corporate antitrust violations from $1 million to $6 million. Extends prison terms for individual violators to up to 5 years and raises individual fines to $1 million. Establishes new civil penalties of up to $1 million per violation based on severity and circumstances. Allows penalties to be combined with other state law remedies for enhanced enforcement.

Establishes new privacy standards requiring insurance companies to protect and limit use of consumer data. Requires insurers to obtain consumer consent before sharing personal data for non-insurance purposes. Mandates clear privacy notices explaining how consumer data is collected, used and shared. Authorizes penalties up to $1 million for privacy violations and creates criminal penalties for data theft.

Makes technical changes to privacy laws regarding health data collection and location tracking.

Updates insurance terminology and licensing requirements to modernize state insurance regulations. Expands blanket insurance coverage to include volunteers for educational and sports organizations. Strengthens background check requirements for insurance licensees to include unlicensed professional conduct. Extends investment authority for the State Compensation Insurance Fund indefinitely.

Requires state licensing boards to expedite applications from certified descendants of American slaves. Takes effect only after Senate Bill 518 establishes the Bureau for Descendants of American Slavery. Automatically expires four years after implementation or by January 1, 2032, whichever comes first.

Establishes stricter penalties for price gouging during emergencies with fines up to $10,000 and jail time. Requires housing platforms to remove listings that violate price gouging laws within 30 days of an emergency. Expands price gouging protections to all counties within 25 miles of declared emergency areas. Authorizes search warrants to investigate price gouging violations during emergencies.

Increases minimum penalties for unlicensed contractor violations from $200 to $1,500 starting July 2026. Authorizes the Contractors State License Board to adjust penalty amounts for inflation every five years. Doubles the Board's maximum reserve fund from 6 to 12 months of annual expenditures. Establishes new minimum penalties of $500 for general contractor violations and $1,500 for serious infractions.

Strengthens metal theft prevention by requiring detailed transaction records and expanding prohibited items list. Requires junk dealers to document time, amount paid, and employee name for each metal transaction. Expands list of regulated items to include street lights, traffic signals, and smart city technology. Increases maximum criminal fines from $1,000 to $5,000 for illegal metal transactions.

Allows bars and restaurants to serve alcohol until 4 a.m. on weekends and holidays in designated hospitality zones. Requires cities to create safety and transportation plans before extending alcohol service hours. Limits extended-hours permits to one license per 6,000 residents and charges a $2,500 annual fee. Expires in 2031 unless renewed by the Legislature after reviewing public safety impact reports.

Requires professional licensing boards to collect applicants' language preferences on applications by July 2026. Mandates boards to assess if 5% or more of applicants need interpreter services by July 2027. Establishes annual reporting requirements to track language needs in professional licensing through 2033.

Authorizes state agencies to waive licensing requirements for professionals impacted by declared emergencies. Requires contractors performing disaster debris removal to have specific licenses and hazardous material training. Prohibits real estate agents from making below-market offers to property owners in disaster areas. Mandates the Real Estate Commissioner to monitor and report fraudulent practices during emergencies.

Expands tax preparer exemptions to include licensed accountants, law firms, and financial institutions. Requires supervised employees to have their tax returns signed by exempt professionals. Applies new exemption rules to tax returns filed for years starting January 1, 2025.