California Suspends Venture Capital Diversity Reporting Law Implementation

The California Department of Financial Protection and Innovation (DFPI) has announced that implementation and enforcement of the Fair Investment Practices by Venture Capital Companies Law (FIPVCC) will be suspended pending completion of rulemaking and until final regulations are in place. The agency also stated that covered entities will not be required to submit further registrations or file reports by the April 1, 2026 deadline. This is an important development for venture capital firms and others following the FIPVCC. We are actively monitoring next steps and further guidance from the DFPI. Learn more here: https://lnkd.in/gkFcmBAq.

In response to stakeholder feedback, the CA Dept. of Financial Protection and Innovation has announced its intention to begin a rulemaking process to develop statewide regulations under CA's Fair Investment Practices by Venture Capital Companies Law.

In response to stakeholder feedback, the CA Dept. of Financial Protection and Innovation has announced its intention to begin a rulemaking process to develop statewide regulations under CA's Fair Investment Practices by Venture Capital Companies Law.

In response to stakeholder feedback, the CA Dept. of Financial Protection and Innovation has announced its intention to begin a rulemaking process to develop statewide regulations under CA's Fair Investment Practices by Venture Capital Companies Law.

California’s DFPI has officially paused implementation of the Fair Investment Practices by Venture Capital Companies Law, putting the 2026 registration and demographic reporting requirements on hold. While this removes immediate deadlines, it also creates a meaningful window for venture capital firms to strengthen their internal readiness ahead of the upcoming rulemaking process.   Our US Compliance Solutions team has identified several important takeaways: 📌 The April 1, 2026, reporting and registration requirements are fully suspended 📌 DFPI will restart the rulemaking process later this year, including stakeholder engagement 📌 Enforcement is paused until final regulations are issued 📌 Firms can use this period to refine data‑collection, governance, and compliance workflows.   The broader direction remains unchanged. Transparency and structured reporting will return, and firms that prepare now will be well-positioned when the new framework is released. Explore the full analysis and practical guidance to understand what this pause means and how to get ahead:

Implementation and enforcement of California's Fair Investment Practices by Venture Capital Companies Law (FIPVCC) will be suspended pending completion of the rulemaking and until final regulations are in place. DFPI will not require covered entities to submit further registrations or file reports by the April 1, 2026 deadline.

This week, the California Department of Financial Protection and Innovation (DFPI) has suspended implementation and enforcement of the Fair Investment Practices by Venture Capital Companies Act (FIPVCC) pending further rule making. For now, no registration or reporting is required, and the previously expected April 1, 2026, deadline will not be enforced while the DFPI solicits industry input. For fund GCs and CFOs, the takeaway is straightforward: Pause formal compliance steps, including registration and survey distribution. At the same time, continue internal preparation work—refining founder contact data and planning for survey and reporting processes—in case requirements are finalized with another short-fuse to comply. We are monitoring developments and will share updates as additional guidance becomes available. https://lnkd.in/gyi33KEz

The CA DFPI announced that it will suspend implementation and enforcement of S.B. 164, the Fair Investment Practices by Venture Capital Companies Law. https://lnkd.in/g9jFCSSc

On March 17, 2026, the California Department of Financial Protection and Innovation (DFPI) announced that it is suspending the implementation and enforcement of the California Fair Investment Practices by Venture Capital Companies (FIPVCC) Law pending further rulemaking and guidance. During the suspension period, covered entities are not required to submit registrations or file annual reports. Read more below.

‼️ Breaking Fund Formation News ‼️ GOOD NEWS For all VCs who have been preparing to meet the April 1 deadline to comply with the California VC diversity reporting law (the so-called "Fair Investment Practices by Venture Capital Companies Law" (FIPVCC)). California has suspended enforcement of the law until rulemaking can occur.  You can stand down until further notice. https://lnkd.in/g-DKy4pU #VentureCapital #California