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SB 690 would curb repeat 'shakedown' privacy lawsuits by shifting enforcement of pen‑register provision to AG
Summary
SB 690 would move enforcement of the pen‑register provision of the California Invasion of Privacy Act to the attorney general and provide limited retroactive relief to small businesses; proponents criticized serial plaintiffs and industry said the change protects small entities, while privacy advocates warned about weakening core privacy protections.
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Senator Caballero presented SB 690 as a targeted response to a recent surge of lawsuits asserting statutory damages under the pen‑register section of the California Invasion of Privacy Act. Proponents including news organizations and small‑business groups said serial plaintiffs and a small number of law firms have filed thousands of demand letters and suits seeking statutory penalties that can reach $5,000 per alleged session or cookie.
"These lawsuits have been brought by the same 4 law firms...For most of us, we use websites that come from templates," sponsor testimony said, describing harms to small businesses and publishers. Jeff Glasser of the LA Times said his organization faced a putative class action that threatened large damages despite providing opt‑out tools under CCPA. Supporters urged shifting civil enforcement of the pen‑register provision to the attorney general and applying a limited two‑year retroactive bar to known claims.
Opponents including privacy groups, civil‑rights organizations and community advocates urged caution about retroactivity and the risk of materially weakening statutory privacy protections; Speaker Dolores Huerta testified her concern that broad exemptions could leave vulnerable populations exposed. The committee accepted amended language and approved the bill to move forward, while members pledged further consultation about retroactivity and scope.
