Governor Spanberger has negotiated two material amendments: one permitting summary judgment dismissals based on deposition discovery, and another restricting class action venue to four circuit courts—Richmond, Roanoke, Fairfax County, and Norfolk. The legislation also modifies the Virginia Consumer Protection Act by eliminating the requirement to prove consumer reliance on a violation, effectively reversing a 2014 state Supreme Court decision in Owens v. DRS Automotive Fantomworks Inc. The Chamber of Commerce and American Tort Reform Association oppose the bills, arguing they invite expensive and unnecessary litigation. Consumer advocacy organizations and the Virginia Poverty Law Center support passage as an expansion of access to justice.
Virginia and Mississippi are currently the only two states without state-court class action statutes. A prior version of this legislation passed both chambers last year but was vetoed by then-Governor Glenn Younkin. Attorneys representing businesses should anticipate exposure to statutory damages claims in class actions once the law takes effect. The venue restrictions and summary judgment provisions will likely become focal points in early litigation, particularly regarding how courts interpret discovery thresholds for dismissal. Consumer-facing companies operating in Virginia should review their current exposure under the broadened VCPA standard.