CalChamber Responds to Introduction of SB 561 (Jackson); Bill Proposes to Add Significant Costs to Small Business Employers; Will Create Litigation Nightmare for California

SACRAMENTO, CA — The California Chamber of Commerce today issued the following statement in response to introduction of SB 561 (Jackson):

“The goal of the California Consumer Privacy Act (CCPA) should be compliance.  Yet, the goal of SB 561 (Jackson) appears to be lawsuits and attorney’s fees.  The bill removes the opportunity for small businesses to seek clarification from the Attorney General on how to ensure they are complying with the law and instead opens up significant new avenues of litigation that will primarily benefit trial attorneys.  Further, should a business inadvertently misstep because they do not have the benefit of clarifying regulations or direction from the Attorney General’s office, they will have no opportunity to resolve the issue before costly litigation ensues.  Compliance, not punishment, should be the goal of government to enforce laws and regulations.  Punishment may be an incentive to increase compliance, but—especially where a law is new and vague—eliminating a right to cure does not promote compliance. SB 561 (Jackson) will not only hurt and possibly bankrupt small businesses in the state, it will kill jobs and innovation.”

The California Chamber of Commerce (CalChamber) is the largest broad-based business advocate to government in California.  Membership represents one-quarter of the private sector jobs in California and includes firms of all sizes and companies from every industry within the state.  Leveraging our front-line knowledge of laws and regulations, we provide products and services to help businesses comply with both federal and state law.  CalChamber, a not-for-profit organization with roots dating to 1890, promotes international trade and investment in order to stimulate California’s economy and create jobs.  Please visit our website at www.calchamber.com

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