In section Startups & Technology

California Imposes Fines on Influencers for Undisclosed Political Ads

California influencers who accept payment for political endorsements now face stiff financial penalties for failing to disclose their partnerships. Governor Gavin Newsom signed Assembly Bill 1130 into law this week, closing a loophole that previously left state disclosure requirements for online creators without any mechanism for enforcement or punishment.

California Imposes Fines on Influencers for Undisclosed Political Ads

The legislation authorizes regulators to levy fines of up to $5,000 per violation. In cases of persistent non-compliance, authorities may refer offenders to law enforcement for potential misdemeanor charges. The move follows a pattern of opaque campaign spending, most notably during the recent gubernatorial primary, when billionaire Tom Steyer engaged dozens of influencers who failed to identify their posts as paid campaign material.

Democratic Assemblyman Marc Berman, the bill's sponsor, pursued the legislation after identifying significant enforcement gaps in existing statutes. The measure is part of a broader package of election security bills intended to mitigate interference risks. While Texas maintains similar disclosure requirements, California’s new framework represents the most aggressive effort to codify accountability for digital creators in the political arena.

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