The Passage of Proposition 64, Amending California's Unfair Competition Law

On November 2, 2004, California voters passed Proposition 64 which amends certain provisions of California’s Unfair Competition Law (“UCL”). The amendments apply to both unfair competition claims (Sec. 17200) and false advertising claims (Sec. 17500). Proposition 64 restricts who may bring UCL claims in two significant respects: (1) private persons may assert UCL claims only if they actually suffered injury in fact and lost money or property; and (2) lawsuits brought by private persons on behalf of others must satisfy all the standard requirements for certifying a class.