As of November 6, 2020, it appears that California voters have approved Proposition 24, which will expand the reach and enforcement of the already groundbreaking California Consumer Privacy Act. With three-quarters of the anticipated votes counted, the measure is up by 1.5 million votes, a lead that is unlikely to be overtaken.

Scali Rasmussen Founder and Managing Partner, Christian Scali, is once again recognized as a nominee for the Los Angeles Business Journal's 2020 'Leaders in Law Awards.' The journal's Publisher and CEO, Josh Schimmels, states "the nominees have made great accomplishments within their organizations and communities and it is a privilege to recognize all the law professionals for their ongoing efforts and contributions in our Los Angeles market."

Earlier this year the Department of Defense rescinded its guidance effectively prohibiting the sale of GAP contracts to “covered” military borrowers. This is a victory for service members and their families, who will once again have access to financial products that protect them in the event of a total vehicle loss. This article covers the remaining requirements regarding the Military Lending Act and how dealers should design their compliance.

Data breaches continue to be among the biggest risks that businesses face today. This is due to both the prevalence of bad actors that seek to access and use consumer data for criminal purposes, as well as laws, such as the CCPA, that allow consumers to bring private actions against businesses for a data breach. One of the simplest steps a business can take to prevent a data breach is to limit access to sensitive data.

As we previously reported, last year, the California legislature passed AB 5, which codified the “ABC Test” under the Dynamex case to determine whether a worker qualifies as an independent contractor. Under the ABC Test, a worker is presumed to be an employee unless the employer can show that: A) the worker is free from the direction and control of the hiring entity, B) the worker performs work that is outside the hiring entity’s main business; and C) the worker normally performs work in an independent business or occupation that is in the same area as the work that the worker is performing for the hiring entity. AB 5 carved out some exceptions to application of the stringent ABC Test, under which the previous (and more lenient) test under the Borello case applies. Now, AB 2257, which took effect immediately, expands and clarifies AB 5’s previous provisions as follows...

On September 28, 2020, Governor Newsom signed AB 1731 as urgency legislation that took effect immediately. This bill, among other things, adds Section 1279.7 to the Unemployment Insurance Code to create an expedited process for employers to be approved for work-sharing programs. The bill states that, according to many economists, work sharing programs are much better options than laying off workers, as these programs keep workers in their jobs, let employers cut their hours, and provide for benefits that allow workers to backfill their lost wages.

Governor Newsom signed two new laws at the end of the legislative session this year that modify the California Consumer Privacy Act (CCPA). Most crucially for the majority of businesses in California, one of the laws extends the temporary employee and business-to-business (“B2B”) exemptions from the definition of “Consumer” in the CCPA. The second changes how businesses must treat health privacy.

Within 15 years, the nation's largest auto market would stop selling new passenger cars and trucks with internal combustion engines under an executive order signed last week by California Gov. Gavin Newsom. Scali Rasmussen Partner Monica Baumann explained to Automotive News that the move is the first step in what will be a long fight over the state's authority to set vehicle-emission standards.

Building on a longstanding practice of promoting diversity at law schools and law firms, Scali Rasmussen has made a substantial contribution to a newly established scholarship fund for students at Southwestern Law School identifying as African American and/or Black.

Today, September 23, 2020, Governor Gavin Newsom issued a new Executive Order directing the California Air Resources Board (CARB) to develop regulations that lead to all new passenger vehicles and light trucks sold in California being zero-emissions by 2035. It also requires that new medium- and heavy-duty trucks and buses sold and operated in the state be zero-emissions by 2045.

With the California Consumer Privacy Act in full force and effect, businesses in California and across the country are starting to wonder if the time to pass a national standard is now. However, with the 2020 election looming and little action from Washington, such a bill is unlikely to relieve California businesses in the near or even medium term future.

The U.S. Department of Labor (DOL) issued clarifications for provisions in the Families First Coronavirus Response Act (FFCRA) regulations pertaining to paid leave. They've also released new FAQs clarifying provisions in the FFCRA related to childcare issues. Meanwhile in California, Governor Newsom has signed legislation that expands Coronavirus paid sick leave coverage to employers who have not been covered under the FFCRA, and that intensifies notification requirements in response to a potential employee exposure to the COVID-19 virus. In one way or another, these changes affect almost every California employer.

Law firm Scali Rasmussen announced today that Joseph P. Sbuttoni has joined the Firm’s Labor and Employment Law group and will be officed out of the firm’s San Diego office. “Joe has a highly specialized practice in the automotive space,” said Managing Partner, Christian Scali. “He adds tremendous value to the Firm’s clients.”

With required symptom checks and potential outbreaks among employees and customers, the Coronavirus has raised new questions regarding privacy for businesses across California.

California Labor Code Section 226 specifies numerous wage statement disclosures that employers must provide to employees each pay date. One question that has lingered is whether Section 226’s requirements apply to employees who perform some work in California but also a significant amount of work outside California. This issue has arisen in the context of a couple of cases involving airline workers who spent time both within and outside California: Ward v. United Airlines, Inc. and Oman v. Delta Airlines, Inc.

In anticipation of return to school issues that are bound to arise with so many schools currently implementing distance learning, on August 27, 2020, the Department of Labor (“DOL”) released new FAQs clarifying provisions in the Families First Coronavirus Response Act (FFCRA) related to childcare issues. The FFCRA provides that employees may receive paid leave if they need to miss work in order to care for a child whose school or place of care is closed, or childcare provider is unavailable, for Coronavirus reasons. The clarifications provided by these new FAQs are as follows...

Although the California Attorney General has only had the authority to enforce the California Consumer Privacy Act (CCPA) since July 1, 2020, it could be overhauled by a new privacy law that qualified for the 2020 November ballot in California.

Title 1 of the CARES Act is referred to as the “Keeping American Workers Paid and Employed Act.” The “Keeping American Workers Paid and Employed Act” establishes an SBA Loan program called the “Paycheck Protection Program” (PPP) and process for forgiveness of the loan if certain compensation and employment metrics are met. It also expands access to Economic Injury Disaster Loans (EIDL) and provides a subsidy to help businesses repay SBA loans (with the exception of the PPP loans). Below are many of the frequently asked questions about the Paycheck Protection Program portions of the CARES Act...

Last month the California Attorney General announced that the Office of Administrative Law has approved the final California Consumer Privacy Act (CCPA) regulations. The final draft, submitted to OALL in late June of this year, is substantially the same as the final version, with minor tweaks that impact brick-and-mortar retailers. If your business has been waiting until final regulations to comply with the law, now is the time.

Today California’s groundbreaking consumer privacy law, known as the CCPA, is in full effect and the implementing regulations are nearly finalized. Now is therefore a good time to take a step back and consider whether your dealership is complying with the law in a way that makes good business sense.