Software makers across California have been hit with frivolous lawsuits claiming their retail packages were "too large" for the disks and printed instruction booklets inside. These lawsuits have been filed by private attorneys who demand up to $1 million. Cosmetic and soap manufacturers have also been hit with dozens of similar lawsuits.

"These lawsuits are an abuse of the legal system and only help to generate income for private attorneys," said John H. Sullivan, president of the Civil Justice Association of California which proposed the legislation. "Frivolous lawsuits waste taxpayers' money and drive up costs for consumers."

"Assembly Bill 1394 ensures consumers are protected against fraudulent packaging while preventing private attorneys from filing frivolous lawsuits purely for their own economic gain," added Sullivan. "The Governor and Legislature should be commended for acting quickly to solve this problem."

According to Sullivan, private lawyers have been using the state Unfair Competition Act to file a full-blown lawsuit by simply claiming a package's size is "unfair." These cases are filed without the identification of even a single consumer claiming to have been mislead or defrauded!

Assembly Bill 1394 amends the current law to reflect common sense guidelines which district attorneys have been using to determine when packaging should be challenged as misleading.