Governor of California Veto of Social Media Bill

SIFMA provides comments to the Governor of California requesting the veto of AB 1844.  The legislation would, among other things, prohibit employers from requiring employees to provide access to their personal social media accounts except in very limited instances. The bill, while well-intended, conflicts with the duty of securities firms to supervise, record, and maintain business-related communications as required by the Financial Industry Regulatory Authority (FINRA). If the bill is signed, firms will be placed in the untenable position of having to violate either state law or their FINRA obligations.