AB 3262 Put on Hold

Aug 31,2020

In yet another dramatic twist in the ongoing saga of AB3262, the California legislature recently announced that the bill would no longer be “advancing in its present form” in order to meet the current legislative deadline. This statement follows heavy protests from businesses such as Etsy and Shopify, who have argued that AB3262 will only serve to stifle small business rather than improve the welfare of consumers. This argument has been made in large part due to the fact that there are already laws in existence designed to help protect consumers from faulty products, including electronics.

Surprising Announcements From Amazon

Perhaps adding “fuel to the fire” of controversy, Amazon had recently announced that they would support the passage of AB3262 if it applied to all businesses regardless of their size or capacity. That being said, their statement is now moot considering the bill has effectively been tabled for the foreseeable future.

The bill itself had undergone a number of changes and revisions recently. One of the latest changes involved expanding the scope of the bill to include any online merchants that generate a profit from advertising fees collected from merchants selling these electronics. This move was heavily criticized by business advocates, who argued that imposing such liability responsibilities on those in the business of advertising could prove to have disastrous ramifications on free commercial speech.

Looking to the Future

It is too soon to truly understand how, or even “if”, AB3262 will reappear. That being said, the intense interest – and scrutiny – generated by this bill will likely ensure that it stays in the collective consciousness of business owners and lawmakers for the foreseeable future. More updates will be provided as soon as they are available.

Rancho Mirage Product Recall Attorneys

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DISCLAIMER: The Walter Clark Legal Group blog is intended for general information purposes only and is not intended as legal or medical advice. References to laws are based on general legal practices and vary by location. Information reported comes from secondary news sources. We do handle these types of cases, but whether or not the individuals and/or loved ones involved in these accidents choose to be represented by a law firm is a personal choice we respect. Should you find any of the information incorrect, we welcome you to contact us with corrections.