Category: Internet Law

E-commerce and DTC Businesses: What to Know About the INFORM Consumers Act

E-commerce and DTC Businesses: What to Know About the INFORM Consumers Act

Internet Law

E-commerce and direct-to-consumer (“DTC”) businesses should be aware of the requirements of the federal Integrity, Notification, and Fairness in Online Retail Marketplaces for Consumers Act enacted by Congress in 2023. The Act is called the INFORM Consumers Act. Many e-commerce and DTC businesses already comply with the Act, either because the required information is supplied […]

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Esports Contracts and Name-Image-Likeness (“NIL”) Rights

Esports Contracts and Name-Image-Likeness (“NIL”) Rights

Internet Law

When considering entering into any Esports contractual agreement, one legal issue that should be carefully reviewed and negotiated concerns name, image, and likeness (“NIL”) rights. Often, the contract templates that are offered to esports athletes include “breezy” language stating that the promoter will be allowed to “use” the event photographs, video, statements, etc. However, caution […]

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California Adds “Neural Data” to Consumer Privacy Protection Act

California Adds “Neural Data” to Consumer Privacy Protection Act

Internet Law

In consumer privacy protection news, the California Governor has signed into law a statute that added “neural data” to the definition of “sensitive personal information” in California’s consumer privacy protection statute. See Barron’s media report here. The new law is an amendment to existing statutes and is known as Senate Bill 1223. What is “sensitive […]

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Online Personal Data Privacy: Fight Over Universal Opt-Out Mechanisms

Online Personal Data Privacy: Fight Over Universal Opt-Out Mechanisms

Internet Law

Almost half of the States in the U.S. have enacted some version of an online personal or consumer data privacy statute. The statutes all use a similar framework that requires data collectors and processors to provide notices, obtain consent, and comply with mandates and prohibitions. For example, all of the online data privacy statutes require […]

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9th Circuit Partially Invalidates California’s Age-Appropriate Design Code Act

9th Circuit Partially Invalidates California’s Age-Appropriate Design Code Act

Internet Law

The Ninth Circuit Court of Appeals — located in San Francisco — partially struck down California’s Age-Appropriate Design Code Act (“CAADCA”). See Cal. Civ. Code §§ 1798.99.28 et seq. The CAADCA was passed in 2022 by the California State Assembly. The CAADCA was enacted to protect the online privacy of children — persons under the […]

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SaaS and Trade Secrets

SaaS and Trade Secrets

Internet Law

Software-as-a-Service (“SaaS”) companies are generally acutely aware of the need to protect their intellectual properties (“IP”), like patents, copyrights, and trademarks, when preparing their service contracts. SaaS companies must be just as acutely aware of protecting IP that is covered by trade secret law. A good example of the dangers is the recent lawsuit filed […]

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Regulating AI: California “AI Killswitch” Legislation

Regulating AI: California “AI Killswitch” Legislation

Internet Law

Artificial intelligence (“AI”) software programs are generating enormous legal concerns around the world. The European Union has recently promulgated significant regulations intended to reduce various risks related to AI programs. Small-to-large AI programs are used for a large number of services and are embedded in devices that might be surprising to consumers. Examples include: The […]

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9th Circuit: California Social Media Content Moderation Reporting Law Violates Free Speech

9th Circuit: California Social Media Content Moderation Reporting Law Violates Free Speech

Internet Law

The Ninth Circuit Court of Appeals has held that California’s social media content reporting law violates free speech and is, therefore, unconstitutional. X Corp v Bonta, Case No. 24-271 (9th Cir. 2024). See the news report here. In 2023, the California State Assembly passed a law — Assembly Bill 587 — that required social media […]

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E-Commerce Asset Purchase Sales — Tips for Avoiding Successor Liability Problems

E-Commerce Asset Purchase Sales — Tips for Avoiding Successor Liability Problems

Internet Law

Generally, a buyer of an e-commerce business wants to buy the target company free and clear of any liabilities that the target might have (other than those that the buyer is expressly and voluntarily willing to assume). The term “liabilities” includes any debt or legal liability that most people would think of, including mortgage debt […]

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Update on AI and Copyrights: California Federal Court Allows Case To Continue

Update on AI and Copyrights: California Federal Court Allows Case To Continue

Internet Law

There is a great deal of litigation pending, starting with respect to AI-generated images and texts and whether such images and texts infringe upon copyrights held by original creators and holders of those copyrights. The most-watched case is pending in the federal court in the Northern District of California, and it is called Andersen v. […]

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