New Law for Consumers Rights
Consumers
cannot be forced to waive right to make critical or disparaging statements
about a business.
This
law prohibits a contract or proposed contract for the sale or lease of consumer
goods or services from including a provision waiving the consumer’s right to
make any statement regarding the seller or lesser or its employees or agents,
or concerning the goods or services. It imposes civil penalties upon any person
who violates the provisions of the law, of $2,500 for the initial violation and
$5,000 for each subsequent violation, as well as an additional penalty of
$10,000 if the violation was willful, intentional, or reckless in actions that
may be brought by the consumer, the Attorney General, or a district attorney or
city attorney. It does not prohibit or limit a person or business that hosts
online consumer reviews or comments from removing a statement that is otherwise
lawful to remove.
Assembly Bill 2365
codified as Civil Code 1670.8. Effective January 1, 2015.
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