A California bill aimed at curbing the explosion of lawsuits filed against businesses using common website tools such as cookies, pixels, and session replay software has stalled out in the 2025 legislative session, meaning businesses will remain vulnerable to the newest type of privacy litigation for at least the next year. Despite the state Senate unanimously approving Senate Bill 690 just a month ago, the bill’s author, Democratic state Sen. Anna Caballero, announced on July 2 that it would be made into a “two-year bill” — meaning it will not advance further this year but may be taken up again in 2026.
The California Invasion of Privacy Act (CIPA) was enacted in 1967 to combat traditional wiretapping and eavesdropping, primarily in the context of telephone communications. It was never designed to address the complexities of the digital age or regulate how businesses track user interactions on the internet.
However, in recent years, plaintiffs’ attorneys have increasingly applied CIPA to modern online contexts, using its language to target routine website technologies such as cookies, pixels, search bars/forms, chatbots, and session replay tools. These tools are widely used to provide analytics and stats on website traffic, improve website functionality, enhance customer experience, and target ads to website users when they leave a website in an effort to lure them back to that website.
Plaintiffs’ attorneys, however, argue that...
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