On September 24, 2024, Governor Gavin Newsom signed into law California Senate Bill 1286 (“SB 1286”). SB 1286 will extend existing consumer debt collection protections in California to small businesses and to the collection activities of business debt. In particular, SB 1286 is designed to expand existing prohibitions against debt collectors under the Rosenthal Fair Debt Collection Practices Act (“RFDCPA”) and, with SB 1286’s enactment, debt collectors will now also be prohibited from engaging in unfair or deceptive acts or practices when collecting covered commercial debts.
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