From the Capitol · September 1, 2026
The markets, they bat last and bat a thousand.
Governor Gavin Newsom — on utility stock reaction and the need for structural wildfire liability reform
California Assembly Kills Wildfire Liability Plan — KCRA, September 1, 2026
2025–2026 Regular Session · Adjournment
Sine die — and the governor's bill-signing season begins
The Legislature worked past midnight on August 31 before adjourning, sending hundreds of bills to Governor Newsom's desk. He signed a first batch that night — including AB 1760 (dentistry), AB 2503 (pupil heat illness guidelines), and SB 952 (State Water Project renewable energy) — but the vast majority await action by September 30. Speaker Robert Rivas pledged fall hearings to continue developing wildfire policy after SB 492's collapse.
California Lawmakers Conclude Another Legislative Session — CapRadio, September 3, 2026
Technology regulation · 2025–2026 session
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AI-related bills passed · 24 await governor's signature
California's AI legislative wave lands on the governor's desk
Lawmakers passed 26 AI-related measures in the final week alone — among them AB 1709 (addictive social feeds for under-16), SB 928 (CSU instructors must be human, not AI), AB 2564 (surveillance pricing ban), and SB 1119 (chatbot child safety updates). Two were already signed; the remaining 24 must be signed or vetoed by September 30.
California Legislature Nears Adjournment After Passing AI Bills — Transparency Coalition, August 31, 2026
Supreme Court of California · Racial Justice Act · capital punishment
People v. Hazlett
filed August 27, 2026 · Chief Justice Patricia Guerrero · 5–2 · affirms conviction and death sentence
In a cold-case capital prosecution for the 1978 murder of Tana Woolley, the court held that the Racial Justice Act of 2020 does not apply to prosecutors' peremptory challenges of prospective jurors — reasoning that Section 745(a)(2) prohibits bias "toward the defendant," and striking a juror is an action directed at the juror, not the defendant. The majority found no prima facie case of discrimination when the prosecutor removed the sole remaining Black juror; Justices Evans and Liu dissented.
Death Sentence Affirmed With Two Dissents Over Dismissal of Black Juror — Horvitz & Levy, August 28, 2026
Majority · Guerrero
Peremptory strikes fall outside the RJA
The Legislature removed an express peremptory-challenge provision from the RJA when it simultaneously enacted AB 3070 (Code Civ. Proc. § 231.7) for prospective jury-selection reform. Section 745 addresses bias toward defendants — not jurors.
Supreme Court
S287261
Aug. 24, 2026
Two-year compromise on public-entity sex abuse liability
Senator John Laird's bill — negotiated over two years — does not cap damages but raises the evidentiary standard for survivors over age 40 seeking redress for pre-2024 abuse when records were destroyed. Public entities must submit sexual assault prevention plans to the Attorney General by January 1, 2028. Attorneys who bring claims in bad faith face a $25,000 penalty. The Assembly passed 46–19; the Senate concurred 24–10.
Two-year negotiations
Assembly passed
Senate concurred
Governor's desk
Sept. 30 deadline
CA Schools to Get Some Relief From Sex Abuse Lawsuits Under Deal — CalMatters, August 2026
Public entity liability · context for SB 577
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paid by Los Angeles County alone in childhood sex abuse settlements
The 2019 statute-of-limitations repeal reshaped public finance
School districts and counties pushed for caps on damages; survivor groups argued caps put a price tag on assault. SB 577's compromise preserves the right to sue while tightening proof standards for older claims — the first legislative response to a 2019 law that abolished the statute of limitations for childhood sexual abuse.
CA Lawmakers Reach Deal to Curb County Costs for Sexual Assault Lawsuits — CapRadio, August 28, 2026
AB
2
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Injuries to children · social media platforms
Platforms liable for ordinary-care failures injuring children
Assemblymember Josh Lowenthal's AB 2 — passed the Legislature with bipartisan support and enrolled September 2 — makes social media platforms liable for statutory damages if they fail to exercise ordinary care and cause injury to a child. Damages reach $1 million per child or three times actual damages, whichever is greater. The measure applies to platforms with over $100 million in annual gross revenues and sunsets January 1, 2035.
Civil Code § 1714.02: $5,000 per violation up to $1,000,000 per child, or 3× actual damages — whichever is larger
AB-2 Bill Status — leginfo.legislature.ca.gov, September 2026
Supreme Court · Election law · oral argument
Bianco ballot seizure — justices signal return of 650,000 ballots
On August 24, the court heard consolidated arguments in Cervantes v. Bianco and Attorney General v. Bianco. Justices questioned whether Riverside Sheriff Chad Bianco's criminal search warrants could override election code provisions barring removal of ballots from election officials' custody. Justice Kelli Evans noted the code states ballots "in no event" leave election officials' custody; Justice Groban asked whether Bianco's theory would permit pre-election-day seizures.
March 2026
650,000 Prop 50 ballots seized
Bianco obtained three warrants from a political ally; AG Bonta ordered return; sheriff continued counting until April SC order.
August 24, 2026
Oral arguments in San Francisco
Justices appeared skeptical of penal-code warrant authority over election materials and of limits on the attorney general's supervisory power.
Pending
Decision expected this fall
Bianco told press he would return ballots if directed; the court's ruling will define sheriff authority over election records statewide.
CA Supreme Court Skeptical of Sheriff Chad Bianco's Ballot Seizure — CalMatters, August 24, 2026
Generative AI · attorney sanctions
$6K
sanctions affirmed · Sept. 2
Supreme Court lets stand AI hallucination penalties
On September 2, the court denied review in Quinteros v. Harbor Distributing, leaving intact $6,000 in sanctions against Lipeles Law Group and three attorneys for a PAGA brief containing fabricated quotations, nonexistent case citations, and misrepresented controlling authority. The First District described it as "evident misuse" of generative AI; the trial judge called it "the worst example of misconduct by a lawyer" he had seen on the bench.
Calif. Supreme Court Lets Stand Attorney Sanctions for AI Hallucinations — The Recorder, September 3, 2026
Legislature
SB 186
Passed · Sept. 1
Entertainment law · tax credits · last-minute fix
Indie filmmakers exempted from corporate tax credit cap
Introduced Friday evening and passed in the session's final hours, Senator Ben Allen's SB 186 exempts independent productions from the $5 million annual corporate tax credit cap enacted in June's SB 122 budget bill. Major studios can now monetize credits at 95% of value over two years instead of 90% over five — a response to industry warnings that the cap threatened California's newly expanded $750 million production incentive.
Indie Filmmakers Get a Tax Break From Sacramento With New Bill — Los Angeles Times, August 31, 2026
Health care · data centers · enrolled bills
Late-session measures on health AI and energy infrastructure
Among the final bills to clear both houses: AB 2575 regulating health care AI (Senate 21–10, Assembly concurrence 43–12 on August 31), AB 1199 on provider credentialing (Assembly concurrence 62–0), and controversial data-center energy rate bills SB 886 and AB 2383 requiring state-set rates and CEQA review for large projects.
Governor's office · August 31 signings
First batch signed on sine die night
Governor Newsom signed 13 bills on August 31 — including AB 1873 (Ventura County fire suppression backup energy), AB 2458 (appliance energy standards), and SB 1253 (Salinas Reservoir recreational use) — while hundreds more await the September 30 deadline.
Governor Newsom Signs Legislation 8.31.2026 — Office of the Governor, August 31, 2026