SB-82 • 2026

Contracts: consumer goods and services: dispute resolution provisions.

Labor

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Umberg
Last action: 2025-10-06
Official status: Chaptered by Secretary of State. Chapter 350, Statutes of 2025.
Effective date: Not listed

Plain English Breakdown

The official source material does not provide specific details on enforcement mechanisms or penalties for non-compliance.

Consumer Contracts: Dispute Resolution Rules

This legislation sets rules to limit dispute resolution terms in consumer contracts and ensures that any such terms are interpreted in a way that protects consumers.

What This Bill Does

Limits dispute resolution terms in consumer use agreements to only cover the good, service, money, or credit provided.
Makes it illegal for a company to ask a customer to give up their right to make statements about the company's employees or services.
Requires that any rules protecting consumers be interpreted in a way that benefits them.

Who It Names or Affects

Consumers who enter into contracts for goods or services
Companies that offer consumer use agreements

Terms To Know

Consumer Use Agreement: A contract between a company and a customer for the sale, lease, or provision of goods or services.
Dispute Resolution Terms: The parts of a contract that explain how disagreements between the buyer and seller will be handled.

Limits and Unknowns

Does not specify what happens if companies try to include prohibited terms in their contracts.
It is unclear how this law will be enforced or who will enforce it.
The exact effective date of the bill has not been provided.

Bill History

2025-10-06 California Legislative Information
Chaptered by Secretary of State. Chapter 350, Statutes of 2025.
2025-10-06 California Legislative Information
Approved by the Governor.
2025-09-16 California Legislative Information
Enrolled and presented to the Governor at 3 p.m.
2025-09-08 California Legislative Information
In Senate. Ordered to engrossing and enrolling.
2025-09-08 California Legislative Information
Read third time. Passed. (Ayes 55. Noes 18. Page 2984.) Ordered to the Senate.
2025-07-03 California Legislative Information
Read second time. Ordered to third reading.
2025-07-02 California Legislative Information
From committee: Do pass. (Ayes 8. Noes 3.) (July 1).
2025-06-09 California Legislative Information
Referred to Com. on JUD.
2025-06-03 California Legislative Information
In Assembly. Read first time. Held at Desk.
2025-06-02 California Legislative Information
Read third time. Passed. (Ayes 28. Noes 10. Page 1389.) Ordered to the Assembly.
2025-05-23 California Legislative Information
Read second time. Ordered to third reading.
2025-05-23 California Legislative Information
From committee: Do pass. (Ayes 5. Noes 1. Page 1191.) (May 23).
2025-05-16 California Legislative Information
Set for hearing May 23.
2025-05-05 California Legislative Information
May 5 hearing: Placed on APPR. suspense file.
2025-04-25 California Legislative Information
Set for hearing May 5.
2025-04-23 California Legislative Information
From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 2. Page 833.) (April 22). Re-referred to Com. on APPR.
2025-04-10 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on JUD.
2025-04-10 California Legislative Information
Set for hearing April 22.
2025-03-28 California Legislative Information
April 8 set for first hearing canceled at the request of author.
2025-03-24 California Legislative Information
Set for hearing April 8.
2025-03-17 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on JUD.
2025-03-12 California Legislative Information
Re-referred to Coms. on JUD. and APPR.
2025-02-27 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS.
2025-01-29 California Legislative Information
Referred to Com. on RLS.
2025-01-21 California Legislative Information
From printer. May be acted upon on or after February 17.
2025-01-17 California Legislative Information
Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 82, Umberg.
Contracts: consumer goods and services: dispute resolution provisions.
Existing law regulates the formation and enforcement of contracts, including imposing certain restrictions on the terms of a contract for the sale or lease of consumer goods or services. In this regard, existing law prohibits a provision waiving the consumer’s right to make any statement regarding the seller, lessor, or its employees or agents, or concerning the goods or services. Existing law also prohibits a consumer service contract from limiting a consumer’s ability to file a complaint with a licensing board that regulates the consumer service provider or to participate in the board’s investigation into the consumer service provider, as specified.
This bill would, for a consumer use agreement, limit the dispute resolution terms and conditions to the use, payment, or provision of the good, service, money, or credit provided by the consumer use agreement. The bill would make a waiver of these provisions void and unenforceable, as provided, and would require that the provisions be liberally construed for the purpose of protecting consumers. The bill would provide that the duties and obligations it imposes are cumulative with, and do not limit or expand, duties and obligations imposed under any other
law, and do not limit any rights or remedies under any other law. The bill would define terms for purposes of these provisions.

Current Bill Text

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