California's Supreme Court Requires Employers Nationally to Re-Examine Telephone Monitoring Policies and Practice.

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California's Supreme Court Requires Employers Nationally to Re-Examine Telephone Monitoring Policies and Practice.

In a unanimous decision with national implications, the California Supreme Court ruled July 13, 2006, in Kearney v. Solomon Smith Barney, Inc. ("SSB"), that out-of-state businesses are prohibited from secretly monitoring or recording their telephone calls with California residents, even if that conduct takes place in any of the 38 states (and the District of Columbia) where only one party's consent is required to lawfully monitor or record a telephone call. The ruling, at a minimum, will require all employers whose employees communicate by telephone with any of California's 36 million resid...

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