Retailers Meet Wave of Credit Card Suits Citing Decades-Old Law

Aug. 19, 2024, 9:02 AM UTC

A decades-old law protecting personal information during California credit card transactions is fueling a new wave of privacy litigation that could challenge how online retailers do business.

The Song-Beverly Credit Card Act, passed in California in 1971, limits retailers’ collection of personal information during in-person transactions unless its necessary to process the credit card transaction. More than a dozen lawsuits filed since April against major retailers Patagonia Inc., Macy’s Inc. and others, accuse them of violating the law by collecting data, including IP addresses, when those same credit card transactions occur online.

The wave of Song-Beverly cases is the latest ...

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