At ActiveProspect, we’ve always believed in transparency, accountability, and putting consumers in control of their data. That’s why we’re excited to share a major legal victory that reinforces those values – and clarifies an important question that’s been looming over modern marketing practices.

The legal backdrop: Wiretapping laws and modern marketing tools

Over the past few years, California courts have seen a wave of lawsuits targeting website owners and vendors for allegedly violating Section 631 of the California Invasion of Privacy Act (CIPA). This decades-old “wiretapping” statute has been applied in new and aggressive ways, with plaintiffs suing companies simply for using common online tools like:

  • Website analytics platforms (e.g., Google Analytics)
  • Session replay tools (e.g., Hotjar, Fullstory)
  • Chat services
  • Tracking pixels (e.g., Meta Pixel)

Unfortunately, even our own TrustedForm – built to support privacy and compliance – was pulled into this legal gray area. A small number of lawsuits wrongly claimed that TrustedForm’s session replay feature amounted to illegal “eavesdropping.”

Torres v. Prudential & ActiveProspect: TrustedForm is cleared

We’re pleased to share that the final major case, Torres v. Prudential Financial, Inc. and ActiveProspect, Inc. (formerly Hazel v. Prudential), has now been resolved in our favor. On April 17, 2025, the Northern District of California granted summary judgment for both ActiveProspect and Prudential.

The court unequivocally concluded:

“Nothing in the record plausibly indicates that ActiveProspect reads or attempts to read the contents of the communication while they are in transit.”

That’s the key legal standard under CIPA’s Section 631. The law is intended to prohibit third parties from intercepting communications in real time. The court agreed that TrustedForm does not intercept anything. It acts more like a passive recorder – not a wiretap – capturing a session replay of a consumer’s interaction with a web form, after the interaction has occurred.

This win came after months of rigorous legal discovery, expert depositions, and in-depth technical analysis. And it brings long-awaited clarity to our customers and to the broader consent-based marketing ecosystem.

Why this matters

This ruling is more than just a win in court. It’s a win for:

  • Marketers who want to build smarter, more respectful customer journeys.
  • Consumers who want transparency and control over how they’re contacted.
  • Technology providers who are building tools with compliance at their core.

It’s also a validation of our long-standing position: TrustedForm enables consent-based marketing. It does not violate privacy.

What you still need to know

Even though the court ruled that TrustedForm doesn’t qualify as a wiretap, the legal landscape remains complex. Here’s what we recommend to stay on the right side of compliance:

1. Provide prior notice

It’s required by the TrustedForm EULA and ActiveProspect Terms of Service to provide visitors with clear disclosure that session replay technology is in use on your website. We’ve made this easy with a customizable TrustedForm Privacy Notice you can copy and use.

2. Work with your legal team

Privacy regulations evolve quickly. Collaborate with your legal, privacy, and UX teams to ensure that your site meets requirements for:

  • Website disclosures
  • Consent language visibility
  • Consent timing and documentation

3. Stay committed to consent

This ruling affirms the foundation of our approach: contact only those who want to hear from you. Consent-based marketing isn’t just about legal compliance – it’s about building trust, improving lead quality, and protecting your brand.

Looking ahead

We’re proud of the legal clarity this ruling provides, and we remain committed to leading the industry in consent-based innovation. We also extend our sincere thanks to the court for thoroughly reviewing the facts and reaching the right decision – and to our customers for standing with us.

To learn more about the case and its implications, we recommend reading this in-depth analysis.

Thank you for being part of the ActiveProspect community and helping us build a better, more compliant digital ecosystem.

Update as of May 18, 2025:  The Plaintiffs in the Torres case have now filed an appeal of the case with the Ninth Circuit Court of Appeals. Don’t be discouraged, however! ActiveProspect will continue to defend itself against these baseless accusations and we remain confident that we will prevail on the appeal. Stay tuned.

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