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CA Data Privacy Bill Would Undo Apple's Win

By Cheryl Miller
March 29, 2013

Online retailers in California could be held liable for requiring anything more than a ZIP code from credit card and debit card customers to complete a transaction under proposed legislation unveiled on March 20.

Assembly Bill 844 (http://bit.ly/WGjNUo) is a direct response to the state Supreme Court's February ruling in Apple v. Superior Court (Krescent), No. S199384 (Ca. Sup. Ct., Feb. 4, 2013) (http://bit.ly/VysVKh), which held that long-standing state law shielding consumers' personal information did not apply to e-commerce. A slim four-justice majority said that while the statute was aimed at protecting consumer privacy, it did not foresee the potential for credit card fraud in online transactions.

'In today's high-tech world, the privacy of online consumers is continually susceptible to being violated,' the bill's author, Assemblyman Roger Dickinson (D-Sacramento) said in a prepared statement. 'The court's decision will further impair the privacy of online consumers.'

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