The California Invasion of Privacy Act (CIPA) from 1967 is being used in lawsuits targeting businesses over alleged privacy violations related to digital website tools like chatbots, website analytics, ad tracking, and social media plugins.
Plaintiffs argue that modern technologies like cookies, IP address collection, session replays, and chatbots violate CIPA by acting as modern-day forms of wiretapping and surveillance devices.
To avoid such claims, businesses are advised to update their privacy policies, provide clear notice and obtain consent for tracking technologies, review chat tools for data handling disclosures, and carefully vet third-party vendors for compliance.
This wave of privacy litigation under CIPA signifies a broader trend impacting the ad tech ecosystem, urging businesses to prioritize privacy, transparency, and proactive measures to mitigate legal risks.