California adds fines for influencers who hide paid political posts

California already required influencers to disclose when they were paid to post about state or local races, but until now there were no fines or criminal penalties for failing to do so, according to the New York Times. The new law, AB 1130, changes that: regulators can now fine influencers up to $5,000 for each violation and can refer violators to law enforcement for potential misdemeanors.

The bill follows a case the New York Times cited involving billionaire Tom Steyer, who unsuccessfully campaigned for the Democratic nomination for California governor earlier this year. According to the Times, Steyer paid dozens of influencers to post about his campaign online, and many of them did not initially disclose the payments.

Newsom signed AB 1130 as part of a broader package of bills that his office said will protect against potential election interference from President Donald Trump. The bill’s sponsor, Democratic Assemblyman Marc Berman, said he introduced it after realizing there was “a bit of ambiguity about the [existing] law and how it’s enforced.”

Texas also requires disclosure for paid political content, and other states are considering similar regulations, the Times reported.

Why it matters

Putting real financial and legal teeth behind disclosure rules raises the stakes for campaigns and brands that rely on paid influencer posts, and it could push other states weighing similar rules to add enforcement mechanisms of their own.