The National Center for Public Policy Research, a conservative think tank, has filed a federal lawsuit challenging a California law that requires corporate boards to meet a quota for diverse membership.

Assembly Bill 979 harms individual shareholder rights and “detracts from the goal of maximizing shareholder returns,” the think tank argued in the lawsuit filed Nov. 22. The think tank said it owns shares in a number of companies subject to the diversity quota, including Google parent company Alphabet, Apple, Cisco, Meta, Intel, Netflix, PayPal, Tesla, Twitter and Wells Fargo.