Wednesday, November 17, 2004
By a vote of 59% to 41%, the citizens of California approved a proposition that would limit the ability to bring claims under the state's unfair competition law. The proposition went into effect November 3, the day after it was approved. The state AG summarizes the proposal as follows:
- Limits individual's right to sue by allowing private enforcement of unfair business competition laws only if that individual was actually injured by, and suffered financial/property loss because of, an unfair business practice.
- Requires private representative claims to comply with procedural requirements applicable to class action lawsuits.
- Authorizes only the California Attorney General or local government prosecutors to sue on behalf of general public to enforce unfair business competition laws.
- Limits use of monetary penalties recovered by Attorney General or local government prosecutors to enforcement of consumer protection laws
For more details, follow this link to this website from the League of Women Voters.