California Senate Bill 585 (SB 585) seeks to achieve a balance between ensuring accessibility for individuals with disabilities and protecting small businesses from exploitative litigation. The draft bill proposes a “right to cure” period, allowing businesses with 50 or fewer employees 120 days to rectify alleged construction-related accessibility violations before facing statutory damages, attorney’s fees, or costs.
Background
Under existing California law, businesses found in violation of construction-related accessibility standards can be subject to minimum statutory damages starting at $4,000 per violation, along with attorney’s fees. This framework has led to a surge in lawsuits, particularly in California where statutory damages under the Unruh Civil Rights Act incentivize high levels of litigation. See Unruh Civil Rights Act Basics. Many of these lawsuits have targeted small businesses for minor infractions, resulting in significant financial burdens.
Provisions of SB 585
SB 585 introduces several key measures that would apply to business with 50 of fewer employees anytime in the past 3 years:
- Notice Requirement: Plaintiffs must serve a letter to the business detailing each alleged violation of accessibility standards before filing a lawsuit; and
- 120-Day Cure Period: Upon receiving the letter, businesses have 120 days to correct the specified violations before the plaintiff can file a lawsuit.
- Limitation on Liability: If the business remedies the violations within the cure period, it is not liable for statutory damages, plaintiff’s attorney’s fees, or costs related to those violations.
- Prevention of Circumvention: Plaintiffs cannot bypass these provisions by seeking general discrimination damages under the Americans with Disabilities Act (ADA) if the claim is based on physical accessibility standards under California law.