California’s New Law Imposes Stiff Penalties for False and Misleading Digital Advertising

California recently enacted AB 2426, an amendment to its false advertising laws aimed at addressing misleading claims about the sale of digital goods. Effective January 1, 2025, this law introduces new requirements for sellers who use terms like “buy” or “purchase” in their advertisements for digital goods, ensuring consumers are not misled into believing they are acquiring unrestricted or unqualified ownership rights.