California Governor Gavin Newsom (D) signed an Insights Association-endorsed bill into law on September 30, 2026, finally cracking down on abusive litigation that has plagued some insights firms.
California S.B. 690 eliminates the private right of action for supposed violations of part of the California Invasion of Privacy Act (CIPA) regarding “pen registers” and “trap and trace” devices. Such suits can now only be brought by the California Attorney General, and the changes are retroactive, covering litigation over the past two years.
“Abusive litigation misapplying antiquated wiretap laws, not just in California, already resembles a lot of the TCPA litigation with which the insights industry was already painfully acquainted,” commented Howard Fienberg, Senior VP Advocacy for the Insights Association. “Instead of targeting the phone, these lawsuits go after almost anyone with any kind of online presence.”
IA supported the bill originally in 2025, and did so again through its amendment and revival this summer, and its passage.
Per this new law’s sponsor, Sen. Anna Caballero (D-14), CIPA was codified in 1967, “to prevent California residents from having their telephone calls recorded without a search warrant or express consent. An example under CIPA is when a customer service representative instructs a consumer that their call may be recorded for quality assurance purposes.”
Instead, a growing rash of CIPA lawsuits have arisen against companies for simple online data collection, especially cookies, online ad tracking, and online audience measurement, even involving simple IP addresses. As noted in our coalition letter to the governor on September 3, "At the Assembly Privacy Committee hearing, an attorney supporting the bill estimated that the total costs to businesses from this litigation, including settlements, likely exceeds $500,000,000 in just the past 2.5 years alone – merely for operating an internet website.”
Moreover, an increasing number of those suits have targeted insights companies for standard research practices that are already regulated by the California Consumer Privacy Act (CCPA).
IA has practical guidance for IA members on how to reduce their exposure to these kinds of lawsuits.
Most of the privacy litigation filed in California in the past four years is estimated to have included claims under these CIPA provisions (Sec. 638.51 of the California Penal Code).
Fienberg continued, “S.B. 690 is not the complete fix that we sought, but it is a great step in the right direction, and will help curtail significant lawsuit abuse against the insights industry.”
The Insights Association applauded Governor Newsom for recognizing this in his signing statement, in which he said, “additional work in this area is needed, as CIPA contains other decades-old statutes that are also susceptible to abuse by overly aggressive litigants. I urge the Legislature to take this on next year to ensure a fair balance between protecting private information and preventing rapacious litigation.”
Whie IA awaits further action in Sacramento, the association is backing federal legislation to counter the threat: the Halt Abusive Internet Lawsuits Act (HALT ACT).
In closing, Fienberg thanked the grassroots insights professionals in California who contacted legislators and the governor using the Insights Association Action Center.
“This is further demonstration of the power wielded when insights practitioners and leaders get involved, even if only for a few minutes,” he said.
This information is not intended and should not be construed as or substituted for legal advice. It is provided for informational purposes only. It is advisable to consult with private counsel on the precise scope and interpretation of any laws/regulation/legislation and their impact on your particular business.
About the Author
Based in Washington, DC, Howard is the Insights Association's lobbyist for the marketing research and data analytics industry, focusing primarily on consumer privacy and data security, the Telephone Consumer Protection Act (TCPA), tort reform, and the funding and integrity of the decennial Census and the American Community Survey (ACS).
Howard has more than two decades of public policy experience. Before the Insights Association, he worked in Congress as senior legislative staffer for then-Representatives Christopher Cox (CA-48) and Cliff Stearns (FL-06). He also served more than four years with a science policy think tank, working to improve the understanding of scientific and social research and methodology among journalists and policymakers.
Howard is also co-director of The Census Project, a 900+ member coalition in support of a fair and accurate Census and ACS.
He has also served previously on the Board of Directors for the National Institute for Lobbying and Ethics and and the Association of Government Relations Professionals.
Howard has an MA International Relations from the University of Essex in England and a BA Honors Political Studies from Trent University in Canada, and has obtained the Certified Association Executive (CAE), Professional Lobbying Certificate (PLC) and the Public Policy Certificate (PPC).
When not running advocacy for the Insights Association, Howard enjoys hockey, NFL football, sci-fi and horror movies, playing with his dog, and spending time with family and friends.