Bill > SB82

This bill adds a new section to California's Civil Code that establishes limitations on dispute resolution terms in consumer use agreements. Specifically, the bill defines a "consumer use agreement" as a contract between a person and a consumer for using, receiving, or enjoying a good, service, money, or credit, and restricts dispute resolution provisions to only addressing the use, payment, or provision of that specific good or service. The bill makes any waiver of these provisions automatically void and unenforceable, and mandates that the law should be interpreted broadly to protect consumers. Importantly, the new provisions do not replace or limit other existing consumer protection laws, but instead work alongside them to provide additional safeguards. The bill uses definitions of "consumer" and "person" from the Business and Professions Code to ensure consistency with existing legal terminology, and emphasizes that the new restrictions are designed to prevent overly broad or restrictive dispute resolution clauses that might unfairly limit a consumer's rights in contractual agreements.

Budget and Finance, Justice

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260SB82