On February 14, 2023, Senate Bill 478 (Dodd and Skinner) was introduced to address certain unfair business practices. SB 478 would amend Civil Code Section 1770, which deals with advertisements and the Consumers Legal Remedies Act (CLRA).
Section 1 of the bill sets forth two legislative findings and declarations including that the CLRA is intended to prohibit “drip pricing” and that this practice is otherwise prohibited by existing statutes.
Section 2 of the bill would amend Civil Code Section 1770 to include “advertising, displaying, or offering a price for a good or service that does not include all mandatory fees or charges other than taxes imposed by a government” as the 29th listed unfair or deceptive act or practice under the CLRA.
The CLRA makes it a violation of the law for certain unfair methods of competition and certain unfair or deceptive acts or practices undertaken by a person in a transaction intended to result sale or lease of goods or services to a consumer. Current law specifies 28 different acts or practices subject to the CLRA and allows a consumer to bring a civil action against a person who violates the CLRA.
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