AB 1640: California's Law Against Restaurant Reservation Scalping

What does AB 1640 actually ban?

AB 1640, the Restaurant Reservation Anti-Piracy Act, makes it illegal to sell, transfer, or help sell a California restaurant reservation for more than what the original person paid for it, unless the restaurant gave express written permission. It targets the bots and resale operations that grab prime-time slots on platforms like OpenTable, Resy, and Tock and flip them to customers willing to pay a markup.

Governor Newsom signed it September 27, 2026, as Chapter 475 of the 2026 statutes. It takes effect January 1, 2027, so this isn’t enforceable yet, but it’s worth understanding now if reservation scalping has been cutting into your bookings.

Who’s actually behind this law?

Assemblymember Catherine Stefani wrote it, and the California Restaurant Association sponsored it, with public support from Resy and Tock. It builds on an earlier 2025 bill, AB 1245, that laid some of the groundwork. This was an industry-driven response to a real problem reservation platforms and restaurants had both been complaining about for a while: bots sweeping up tables the moment they open and reselling them, often through side marketplaces or social media, for well above face value.

Who can enforce it, and what’s the penalty?

This is broader than “the Attorney General will handle it.” The Attorney General can bring an action, but so can county counsel and city attorneys. On top of that, there’s a private right of action, meaning a restaurant or customer who actually suffers harm from a violation can sue directly rather than waiting on a public agency to act. Penalties run up to $1,000 per violation, plus injunctive relief and attorney’s fees for whoever brings a successful case.

Does this affect your own paid reservation features?

No. The law only reaches resale without the restaurant’s authorization. If you already run or plan to run your own fee-based priority booking option, the kind some platforms like Tock offer where guests pay you directly for a premium slot, that’s your call as the restaurant and isn’t what this law targets. What it stops is a third party grabbing your open slots and reselling them to someone else without your say, pocketing the markup themselves.

What should you do before January 1, 2027?

• Check with your reservation platform (OpenTable, Resy, Tock, or whatever you use) about what bot-detection and resale-reporting tools they already have in place.
• Keep a record of where you’ve seen your own reservations show up for resale, screenshots, listing URLs, dates, since that’s the kind of evidence a private right of action or an AG complaint would need.
• If scalping has been a recurring problem at your restaurant, start that documentation now rather than waiting for the law to take effect.
• Make sure your written reservation policy is clear about what is and isn’t an authorized transfer, since the law’s exception turns on the restaurant’s express written authorization.

A busy, reservation-only restaurant that’s been losing walk-in revenue to resold tables finally has a real legal backstop starting next year. In the meantime, it’s worth tightening up your own booking policy so you’re not scrambling once enforcement begins. And if you’re evaluating your overall guest payment setup while you’re at it, from deposits to no-show fees, that’s a conversation worth having with a payments specialist (yanpayments.com/#cta).

This is general information about a new state law, not legal advice. Talk to an attorney if you’re considering legal action over a specific reservation resale incident.

Sources: California Restaurant Association, California Employment Law Report, Resy Newsroom, and Assemblymember Stefani’s press release.