Jason, Jacob, and Jaz have prepared four brief posts on the California Invasion of Privacy Act (CIPA), an old law now applied to new technology. With damages of $5,000 per violation or treble damages, CIPA lawsuits cannot be ignored. If you have a website and want to protect your company from litigation costs, check out these posts and contact us with any questions.

The California Invasion of Privacy Act (CIPA) was enacted in 1967 to “protect the right of privacy by, among other things, requiring that all parties consent to a recording of their conversation.” Whether intentional or not, from these modest origins CIPA has become a giant—create substantial liability risk for thousands of companies every year.

But just how great is the risk? Section 637.2 states that “[a]ny person who has been injured by a violation of this chapter may bring an action against the person who committed the violation for the greater of the following amounts: (1) Five thousand dollars ($5,000) per violation” or “(2) [t]hree times the amount of actual damages, if any, sustained by the plaintiff.” Moreover, the same provision states that “[i]t is not a necessary prerequisite to an action pursuant to this section that the plaintiff has suffered, or be threatened with, actual damages.”

So, a website faces risk up to $5,000 per violation even when the user has sustained no damages. In practice, only a few cases that involve CIPA claims against a website have reached the stage where damages have been awarded, and they are hard to analogize. So, website owners are left in a tough position: if I am accused of violating CIPA, how should I proceed?

Crowell has counseled dozens of clients on this very question and can help you walk through the factors that may determine the best approach. If you are facing these questions and want to discuss, please reach out.

Photo of Jacob Canter Jacob Canter

Jacob Canter is an attorney in the San Francisco office of Crowell & Moring. He is a member of the Litigation and Privacy & Cybersecurity groups. Jacob’s areas of emphasis include technology-related litigation, involving competition, cybersecurity and digital crimes, copyright, trademark, and patent…

Jacob Canter is an attorney in the San Francisco office of Crowell & Moring. He is a member of the Litigation and Privacy & Cybersecurity groups. Jacob’s areas of emphasis include technology-related litigation, involving competition, cybersecurity and digital crimes, copyright, trademark, and patent, as well as general complex commercial matters.

Jacob graduated from the University California, Berkeley School of Law in 2018, where he launched Berkeley’s election law outreach program and pro bono project. He joins the firm after a year of practice at an international law firm in Washington, D.C., and a year clerking in the Southern District of New York for the Hon. Lorna G. Schofield. Jacob was exposed to and provided support in a variety of complex substantive and procedural legal topics during the clerkship, including trade secrets, insurance/reinsurance, contracts, class actions, privacy, intellectual property, and arbitrability.

Photo of Jazmine Buckley Jazmine Buckley

Jazmine (Jaz) Buckley is an associate in Crowell & Moring’s Los Angeles office. In her litigation practice, Jaz assists companies facing complex commercial disputes in both federal and state courts and advises companies on best practices in light of potential high-stakes litigation. In

Jazmine (Jaz) Buckley is an associate in Crowell & Moring’s Los Angeles office. In her litigation practice, Jaz assists companies facing complex commercial disputes in both federal and state courts and advises companies on best practices in light of potential high-stakes litigation. In Jaz’s antitrust practice, she provides counsel on a wide range of issues and agency actions.

Jaz received her J.D. from the University of California, Los Angeles School of Law, where she was a member of UCLA Law Review and National Black Law Journal. Additionally, Jaz served as a judicial law clerk to both Magistrate Judge Gray M. Borden (N.D. Ala.) and District Court Judge Sunshine S. Sykes (C.D. Cal.).