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CHAPTER 6
CALIFORNIA
A. Scope of the Statute and Elements of a Cause of Action
California’s Unfair Competition Law (UCL)1 prohibits “unfair
competition,” defined as “any unlawful, unfair or fraudulent business act
or practice and unfair, deceptive, untrue or misleading advertising.”2
“[T]he unfair competition law’s scope is broad.”3 It prohibits three general
types of business acts or practices: (1) unlawful acts or practices, meaning
violations of other federal, state, or local laws are “independently
actionable” under the UCL; (2) unfair acts or practices, “even if not
specifically proscribed by some other law”; and (3) fraudulent acts or
practices, including deceptive or misleading advertising that is likely to
deceive members of the public.4 Only equitable remedies are authorized
for UCL violations.5 Thus, UCL actions, including law-enforcement
actions for penalties, are tried to the court rather than to a jury.6
There is no intent requirement in the UCL. The plaintiff “need not
show that a UCL defendant intended to injure anyone through its unfair or
unlawful conduct. The UCL imposes strict liability when property or
monetary losses are occasioned by conduct that constitutes an unfair
business practice.”7
Although broad, the law’s scope is not “unlimited.”8 Certain limits on
traditional claims, such as bars to certain private actions, the litigation
privilege, First Amendment issues, and corporate governance limitations,
have been held to prevent claims under the UCL.9 In rare cases courts may
1. CAL. BUS. & PROF. CODE §§ 17200 through 17210.
2. Id. § 17200.
3. Cel-Tech Commc’ns, v. Los Angeles Cellular Tel. Co., 973 P.2d 527, 539
(Cal. 1999).
5. CAL. BUS. & PROF. CODE. § 17203. In public law enforcement actions,
civil penalties are available. Id. § 17206.
6. Nationwide Biweekly Admin., Inc. v. Superior Court, 462 P.3d 461, 473
(Cal. 2020).
2000).
8. Cel-Tech, 973 P.2d at 541.
9. See Mfrs. Life Ins. Co. v. Superior Court, 895 P.2d 56, 61, 71 (Cal.
1995) (holding private actions falling under the Unfair Insurance Practices
