1798.125. Consumers’ Right of No Retaliation Following Opt Out or Exercise of Other Rights

1798.125.  Consumers’ Right of No Retaliation Following Opt Out or Exercise of Other Rights

(a)(1)  A business shall not discriminate against a consumer because the consumer exercised any of the consumer’s rights under this title, including, but not limited to, by:

(A)  Denying goods or services to the consumer.

(B)  Charging different prices or rates for goods or services, including through the use of discounts or other benefits or imposing penalties.

(C)  Providing a different level or quality of goods or services to the consumer.

(D)  Suggesting that the consumer will receive a different price or rate for goods or services or a different level or quality of goods or services.

(E)  Retaliating against an employee, applicant for employment, or independent contractor, as defined in subparagraph (A) of paragraph (2) of subdivision (m) of Section 1798.145, for exercising their rights under this title.

(2)  Nothing in this subdivision prohibits a business, pursuant to subdivision (b), from charging a consumer a different price or rate, or from providing a different level or quality of goods or services to the consumer, if that difference is reasonably related to the value provided to the business by the consumer’s data.

(3)  This subdivision does not prohibit a business from offering loyalty, rewards, premium features, discounts, or club card programs consistent with this title.

(b)(1)  A business may offer financial incentives, including payments to consumers as compensation, for the collection of personal information, the sale or sharing of personal information, or the retention of personal information. A business may also offer a different price, rate, level, or quality of goods or services to the consumer if that price or difference is reasonably related to the value provided to the business by the consumer’s data.

(2)  A business that offers any financial incentives pursuant to this subdivision, shall notify consumers of the financial incentives pursuant to Section 1798.130.

(3)  A business may enter a consumer into a financial incentive program only if the consumer gives the business prior opt-in consent pursuant to Section 1798.130 that clearly describes the material terms of the financial incentive program, and which may be revoked by the consumer at any time. If a consumer refuses to provide opt-in consent, then the business shall wait for at least 12 months before next requesting that the consumer provide opt-in consent, or as prescribed by regulations adopted pursuant to Section 1798.185.

(4)  A business shall not use financial incentive practices that are unjust, unreasonable, coercive, or usurious in nature.

(Amended November 3, 2020, by initiative Proposition 24, Sec. 11. Effective December 16, 2020. Operative January 1, 2023, pursuant to Sec. 31 of Proposition 24.)