California law says companies can’t punish customers who post negative reviews

Gov Jerry Brown (D-CA) signed a law that will fine businesses up to $10,000 if they use contracts that prevent customers from expressing their opinion about a good or service online.

The law is a victory for consumers’ free speech rights, and comes after repeated instances of merchants trying to collect penalties of thousands of dollars from customers who criticized them. The text of the law is straightforward, and says businesses may not impose contract terms “waiving the consumer’s right to make any statement regarding the seller or lessor or its employees or agents, or concerning the goods or services.” The law goes into effect in 2015.