Consumer Privacy

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California lawmakers have sent Senate Bill 690 to Governor Gavin Newsom, teeing up a narrowing of website-tracking litigation under the California Invasion of Privacy Act (CIPA), who has until September 30 to sign or veto the legislation. If signed, the bill would eliminate private lawsuits asserting website-based “pen register” and “trap and trace” claims under Section 638.51 of CIPA. For businesses that have received demand letters or are defending lawsuits premised on routine website technologies—such as cookies, pixels, analytics tools, or similar tracking technology—the bill would offer relief from certain types of claims asserted under CIPA. Additionally, the bill would apply retroactively to pending claims in actions commenced within two years before its operative date, which is expected to be January 1, 2027, if the bill becomes law. 

The Impetus

The legislation responds to a surge of CIPA claims built on a statute originally designed for telephone-era wiretapping, not modern website traffic. Because CIPA carries statutory damages that can reach at least $5,000 per violation without proof of actual harm, even ordinary commercial web practices have created substantial litigation leverage for plaintiffs to demand large sums from website owners. SB 690 targets that specific theory by removing the private right of action for Section 638.51 claims.

Continue Reading California SB690 – A Bill That Significantly Narrows Website Tracking Claims – Sent to Governor’s Desk
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The California Court of Appeal, Second Appellate District, has issued its tentative ruling in Variety Media, LLC v. Superior Court, the closely watched writ proceeding that asks whether the pen register provisions of the California Invasion of Privacy Act (“CIPA”) apply to common website tracking technologies. The tentative decision would grant Variety’s petition in part and direct the trial court to sustain Variety’s demurrer with leave to amend. The court’s reasoning cuts in both directions. The panel would hold that CIPA’s pen register statute reaches internet communications, rejecting the threshold defense that has anchored many motions to dismiss. But it would also hold that a pen register captures only metadata identifying the destination of an outgoing communication, and that a website visitor’s IP address identifies the source of a communication rather than its destination. Under that construction, the complaint before the court fails to state a claim.

Background

Penal Code section 638.51 prohibits installing or using a pen register without a court order or the user’s consent. Over the past three years, plaintiffs and pro se litigants have filed hundreds (if not thousands) of lawsuits, arbitration demands, and pre-suit letters alleging that cookies, pixels, analytics tools, and similar technologies are unlawful pen registers because they collect visitors’ IP addresses and device information. Trial courts have divided on whether the statute, enacted with telephone surveillance in mind, reaches these tools at all. No California appellate court has answered the question in a published decision.

Continue Reading California Court of Appeal Tentatively Holds That Collecting a Website Visitor’s IP Address Alone Does Not Constitute Pen Register Activity Under CIPA

On August 11, 2026, the Colorado Department of Law released a single set of proposed rules  substantially building out two 2026 statutes: the Automated Decision-Making Technology Act (“ADMT Act”) and the Conversational Artificial Intelligence Service Operator Requirements (the “Chatbot Safety Act”). Both laws take effect January 1, 2027, and the proposed rules would become effective the same day. The Rules are not yet final – for covered organizations and interested parties the weeks until September 4 are the time to submit comments to be considered for a redraft – and there is a specific ask to help shape the definition of covered ADMT.

The Automated Decision-Making Technology & Conversational Artificial Intelligence Services Rules (“Rules”) clarify open terms and add operational obligations, and they signal that Colorado’s revised AI framework may demand significantly more compliance infrastructure than the statutes alone suggest.

Continue Reading Colorado Releases Proposed Rules for Its AI and Chatbot Safety Laws: These Create More Operational Work than the Statutes Suggest
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Senior United States District Judge William H. Orrick, sitting in the Northern District of California, denied a motion to dismiss last week in an Automated License Plate Recognition (“ALPR”) matter, McGinty v. Reimagined Parking LLC, d/b/a Imperial Parking.[1] Judge Orrick held that the plaintiff plausibly alleged actionable harm based on his “right to know” about the use of ALPR systems in two garages. The order follows Bartholomew v. Parking Concepts, Inc.[2] and the guidance of Mata v. Digital Recognition Network, Inc.,[3] concluding that the California Supreme Court would likely recognize violation of a consumer’s “right to know” as actionable harm under California’s ALPR law if presented with the question.

The decision is significant because it marks the first time a federal judge adopted the state-court trajectory created in Bartholomew and Mata. Bartholomew treated the alleged failure to make required ALPR disclosures in an ALPR Privacy Policy as an actionable injury to a consumer’s right to know under the law. Though Mata did not deal with the failure to present an ALPR Privacy Policy, the decision in Mata did offer further guidance on how courts should analyze asserted ALPR harms.

Continue Reading Federal Court Follows Bartholomew Reasoning in Denying Motion to Dismiss ALPR Lawsuit
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On July 20, 2026, the California Court of Appeal, Fourth Appellate District issued a notable decision in Mata v. Digital Recognition Network, Inc.,[1] which addresses the standing requirements for private claims under California’s Automated License Plate Recognition (“ALPR”) law. At the heart of the decision lies the question whether a violation of the…

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Automated License Plate Reader (ALPR) technology is facing increasing legal scrutiny as courts, regulators and individuals attempt to examine and expose the various ways in which license plate data is captured, collected, shared and used. Recent disputes over ALPR technology have shifted away from issues of public safety and toward whether the private sector businesses and governmental organizations, among others, that utilize ALPR adequately disclose its use and sharing, as well as implement proper safeguards around this potentially sensitive, location-based personal information.

1. Private Sector’s Failure to Disclose Use of ALPR Technology Can Be Sufficient to Constitute Harm to Consumers

The private sector’s use of ALPR technology is facing challenges and possible legal exposure. In February of this year, California’s First Appellate District addressed the requirements imposed by the state’s ALPR Law in Bartholomew v. Parking Concepts, Inc., and in particular addressed what constitutes sufficient “harm” under the law to state a claim.1,2 In that matter, the plaintiff alleged that a parking garage owned and operated by Parking Concepts collected his license plate data without making a privacy policy regarding the collection publicly available. First, the Court determined that the parking garage camera system constituted a ALPR system under the law – that is, that it was “a searchable computerized database resulting from the operation of one or more mobile or fixed cameras combined with computer algorithms to read and convert images of registration plates and the characters they contain into computer-readable data.” But more importantly, the Court concluded that using ALPR technology without a publicly disclosed privacy policy stating when and how ALPR is collected and used violates an individual’s “right to know” of the activity, which is sufficient to allege harm under the law.

Continue Reading Automated License Plate Reader Technology Raises Concerns Over Private Sector Compliance and Government Overreach
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Legal500 featured an article by Seyfarth partners Kathleen McConnell and Lauren Gregory Leipold, and associate Daniel Riley, “AI Governance In (and Beyond) Privacy: Regulatory Tensions in Automated Decision‑Making, the Digital Authenticity Crisis, and Restrictions on Professional Use.”

The piece, published as a part of the Legal500 Country Comparative Guides, examines the rapidly…

Episode 14 is now live. In this episode of Consumer Counterpoint, we sit down with Chicago partner Jay Carle to discuss the launch of Seyfarth’s new D.A.T.A. Law practice group. Jay shares insights into the group’s multidisciplinary approach and how it’s designed to help clients stay ahead of emerging data and technology challenges.

Watch Episode…

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On Friday, October 17, 2025, U.S. District Court Judge Vince Chhabria issued a biting Order granting defendant Eating Recovery Center, LLC’s (“ERC”) motion for summary judgment on the plaintiff Jane Doe’s California Invasion of Privacy Act (CIPA) claims, a law enacted in 1967 to address the increasing use of wiretapping to eavesdrop on private phone…

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On July 24, 2025, the California Privacy Protection Agency (“CPPA”) unanimously voted to adopt a package of Proposed Regulations for the California Consumer Privacy Act (“CCPA”), marking a significant development in California privacy law. These cover Automated Decision-making Technology (“ADMT”), mandatory Cybersecurity Audits, Risk Assessments, and clarifications for the CCPA’s applicability to Insurance Companies. The package will move into its final review stage before formal enactment, once filed with the California Office of Administrative Law.

CCPA Steering Toward Operational Compliance

This is a clear signal that privacy compliance expectations in California are trending toward a more operational phase. The new rules are designed to give Californians greater control over how their personal information is used while pushing businesses toward higher levels of transparency and accountability, especially when automated decision-making and high-risk data processing is involved. For companies, this is more than just a theoretical update – it’s a clarion call to ensure these requirements are built into day-to-day governance, technology and process design, and vendor management practices.

Continue Reading California Privacy Protection Agency (CPPA) Finally Voted to Adopt Much Debated Update to CCPA Regulations: What Your Business Should Know