SECTION 1.
The Legislature finds and declares all of the following:(a) California’s economic activity has plummeted in the wake of the coronavirus (COVID-19) pandemic.
(b) The depth and speed of the decline rivals that of the Great Depression.
(c) It is therefore imperative that we act thoughtfully and courageously to recover from this devastating toll by improving business confidence to operate.
(d) Increased confidence translates to business investment, which, in turn, will help limit the economic damage caused during the crisis.
(e) As small businesses are the backbone of our economy and the financial engine that will allow the state to recover post-COVID-19, they need liability protection to continue serving the public and providing necessary jobs. California is home to 4,000,000 small businesses, according to a 2019 United States Small Business Administration Office of Advocacy report, and each one contributes significantly to our economic strength and employment.
(f) California cannot afford for small businesses to delay reopening because of the fear of frivolous lawsuits.
(g) This is a time to encourage entrepreneurs and support small, struggling enterprises.
(h) California has recognized the need for protection from civil liability during times of crisis with the California Emergency Services Act (Chapter 7 (commencing with Sec. 8550 et. seq.) of Division 1 of Title 2 of the Government Code), while also allowing harmed individuals to seek redress for actions that rise to the level of gross negligence and willful misconduct.
(i) It is the intent of the Legislature, through this act, to protect small businesses, which continue to make significant contributions to economic development during these unprecedented times caused by the COVID-19 state of emergency.