Congress passed a new spending bill, the Consolidated Appropriations Act of 2021 (“Spending Bill”) this week that includes multiple provisions to address the ongoing economic impact of the COVID-19 crisis. President Trump is expected to sign the bill. This update summarizes changes applicable to our clients and suggests best practices going forward in 2021.

State officials announced today, Saturday, December 5, 2020 that the new Regional Stay Home Order will go into effect in the Regions of Southern California and San Joaquin Valley at 11:59 PM on Sunday, December 6. That means dealerships opening on Monday, December 7 will need to comply with the Order.

At a joint press conference today, December 4, 2020, Health Officers for the Counties of Alameda, Contra Costa, Marin, San Francisco, and Santa Clara as well as the City of Berkeley announced that they are adopting the Governor’s Regional Stay Home Order ahead of schedule. While the Bay Area region is estimated to reach the 15% Intensive Care Unit (ICU) capacity later in December than all other regions in the state, these specific Health Directors stated that they think now is the time to act.

Over the last 24 hours, state and local governments have issued new guidance for residents and businesses to prevent the continued spread of COVID-19 in the state. Here is an overview of the most recent guidance and its likely impact on dealership operations.

As COVID-19 cases continue to spike across the state, the regulatory landscape is once again changing as local and state authorities try to stem the tide. Look here for information about new requirements that may apply to your dealership.

Scali Rasmussen has been included in the Los Angeles Business Journal's 2020 list of "Most Admired Law Firms." The journal's Publisher and CEO Josh Schimmels says the list of LA's top firms to work for is comprised of "particularly outstanding law firms who are consciously working towards creating diverse, positive, and supportive environments to help drive the success of their attorneys."

Los Angeles County issued a temporary stay at home order on November 27, 2020 that will be effective Monday, November 30 and last through December 20. The order further limits business in the county and prohibits all gatherings of individuals from different households.

Among the most important features of the CCPA is that it vests most of the law’s enforcement with the California Attorney General’s Office. That means that private plaintiffs may not enforce most of the law’s provisions. This article looks at the tea leaves regarding the Attorney General’s enforcement to see what the future may hold.

As of November 6, 2020, it appears that California voters have approved Proposition 24, which will expand the reach and enforcement of the already groundbreaking California Consumer Privacy Act. With three-quarters of the anticipated votes counted, the measure is up by 1.5 million votes, a lead that is unlikely to be overtaken.

Scali Rasmussen Founder and Managing Partner, Christian Scali, is once again recognized as a nominee for the Los Angeles Business Journal's 2020 'Leaders in Law Awards.' The journal's Publisher and CEO, Josh Schimmels, states "the nominees have made great accomplishments within their organizations and communities and it is a privilege to recognize all the law professionals for their ongoing efforts and contributions in our Los Angeles market."

Earlier this year the Department of Defense rescinded its guidance effectively prohibiting the sale of GAP contracts to “covered” military borrowers. This is a victory for service members and their families, who will once again have access to financial products that protect them in the event of a total vehicle loss. This article covers the remaining requirements regarding the Military Lending Act and how dealers should design their compliance.

Data breaches continue to be among the biggest risks that businesses face today. This is due to both the prevalence of bad actors that seek to access and use consumer data for criminal purposes, as well as laws, such as the CCPA, that allow consumers to bring private actions against businesses for a data breach. One of the simplest steps a business can take to prevent a data breach is to limit access to sensitive data.

As we previously reported, last year, the California legislature passed AB 5, which codified the “ABC Test” under the Dynamex case to determine whether a worker qualifies as an independent contractor. Under the ABC Test, a worker is presumed to be an employee unless the employer can show that: A) the worker is free from the direction and control of the hiring entity, B) the worker performs work that is outside the hiring entity’s main business; and C) the worker normally performs work in an independent business or occupation that is in the same area as the work that the worker is performing for the hiring entity. AB 5 carved out some exceptions to application of the stringent ABC Test, under which the previous (and more lenient) test under the Borello case applies. Now, AB 2257, which took effect immediately, expands and clarifies AB 5’s previous provisions as follows...

On September 28, 2020, Governor Newsom signed AB 1731 as urgency legislation that took effect immediately. This bill, among other things, adds Section 1279.7 to the Unemployment Insurance Code to create an expedited process for employers to be approved for work-sharing programs. The bill states that, according to many economists, work sharing programs are much better options than laying off workers, as these programs keep workers in their jobs, let employers cut their hours, and provide for benefits that allow workers to backfill their lost wages.

Governor Newsom signed two new laws at the end of the legislative session this year that modify the California Consumer Privacy Act (CCPA). Most crucially for the majority of businesses in California, one of the laws extends the temporary employee and business-to-business (“B2B”) exemptions from the definition of “Consumer” in the CCPA. The second changes how businesses must treat health privacy.

Within 15 years, the nation's largest auto market would stop selling new passenger cars and trucks with internal combustion engines under an executive order signed last week by California Gov. Gavin Newsom. Scali Rasmussen Partner Monica Baumann explained to Automotive News that the move is the first step in what will be a long fight over the state's authority to set vehicle-emission standards.

Building on a longstanding practice of promoting diversity at law schools and law firms, Scali Rasmussen has made a substantial contribution to a newly established scholarship fund for students at Southwestern Law School identifying as African American and/or Black.

Today, September 23, 2020, Governor Gavin Newsom issued a new Executive Order directing the California Air Resources Board (CARB) to develop regulations that lead to all new passenger vehicles and light trucks sold in California being zero-emissions by 2035. It also requires that new medium- and heavy-duty trucks and buses sold and operated in the state be zero-emissions by 2045.

With the California Consumer Privacy Act in full force and effect, businesses in California and across the country are starting to wonder if the time to pass a national standard is now. However, with the 2020 election looming and little action from Washington, such a bill is unlikely to relieve California businesses in the near or even medium term future.

The U.S. Department of Labor (DOL) issued clarifications for provisions in the Families First Coronavirus Response Act (FFCRA) regulations pertaining to paid leave. They've also released new FAQs clarifying provisions in the FFCRA related to childcare issues. Meanwhile in California, Governor Newsom has signed legislation that expands Coronavirus paid sick leave coverage to employers who have not been covered under the FFCRA, and that intensifies notification requirements in response to a potential employee exposure to the COVID-19 virus. In one way or another, these changes affect almost every California employer.