If you have bought anything online, you are aware that the online retailer keeps information that you provide. For example, your name, your credit card, your address, your phone number. The question decided in California regarded the anti fraud statute. Can online retailers require you to provide this information?
The California Supreme Court held in Apple Inc. v. Superior Court of Los Angeles County, et al., (Feb 4, 2013) that Apple could require personal information from customers who make downloadable purchases on iTunes.
The plaintiffs alleged Apple violated the Song-Beverly Credit Card Act, section 1747.08(d), by requiring this information from customers.
The California Supreme Court rejected this claim because:
Unlike a brick-and-mortar retailer, an online retailer cannot visually inspect the credit card, the signature on the back of the card, or the customer’s photo identification.
Thus, section 1747.08(d) – the key anti fraud mechanism in the statutory scheme – has no practical application to online transactions involving electronically downloadable products. We cannot conclude that if the Legislature in 1990 had been prescient enough to anticipate online transactions involving electronically downloadable products, it would have intended section 1747.08(a)’s prohibitions to apply to such transactions despite the unavailability of section 1747.08(d)’s safeguards.