Legal Alert: Asking for a California Customer's ZIP Code May Cost You
On February 10, 2011, the California Supreme Court issued an opinion holding that any business that asks for a customer’s ZIP code in the process of completing a credit card transaction, and records that information, has violated the Song-Beverly Credit Card Act of 1971. In the case before the court, the plaintiff alleged, and the defendant did not dispute, that the ZIP code was used by the defendant to obtain the customer’s address (having already collected her card number and name from the credit card itself). This information was then used to market the defendant’s products and may also have been sold to other retailers.
Read the full alert.