From the LA Times:
Yes, it's still OK to drive with the dog in your lap11:17 AM, September 28, 2008
Think it's OK to drive with your puppy in your lap? Some folks in Sacramento were hoping to outlaw such behavior. But it looks like it won't happen this time. Times staff writer Patrick McGreevy reports:
Facing a backlog of legislation that he refused to sign until a state budget was passed, [Gov. Arnold] Schwarzenegger took his veto pen to 95 bills, including a measure that would have prohibited dogs from riding on the laps of motorists.
Many of the vetoed bills, including the lap-riding measure, received the same message from Schwarzenegger: "Given the delay, I am only signing bills that are the highest priority for California. This bill does not meet that standard and I cannot sign it at this time."