California Consumer Privacy Act (CCPA)

The California Consumer Privacy Act (CCPA) is a state statute intended to enhance privacy rights and consumer protection for residents of California. Here are the key elements:

History and Context

• The CCPA was introduced in response to growing concerns about consumer data privacy and the handling of personal information by companies. It was signed into law on June 28, 2018, by Governor Jerry Brown and went into effect on January 1, 2020.
• The legislation was spurred by the Cambridge Analytica scandal, which highlighted the need for stronger consumer data protection laws.
• The CCPA was the first comprehensive privacy law in the United States, setting a precedent for other states to follow.

Key Provisions

• Right to Know: Consumers have the right to know what personal data is being collected about them and how it is being used, shared, or sold.
• Right to Delete: Consumers can request the deletion of personal information that businesses have collected from them, with certain exceptions.
• Right to Opt-Out: Consumers can opt-out of the sale of their personal information. Businesses must provide a clear and conspicuous link on their homepage titled "Do Not Sell My Personal Information."
• Right to Non-Discrimination: Businesses cannot discriminate against consumers for exercising their CCPA rights, though they may offer different pricing or services if the difference is directly related to the value provided by the consumer's data.
• Consumer Access: Consumers have the right to access their personal information, including a portable copy in a readily usable format.

Applicability

• The CCPA applies to for-profit businesses that do business in California, collect consumers' personal information, and satisfy one or more of the following thresholds:
  • Have annual gross revenues in excess of $25 million.
  • Buy, receive, or sell the personal information of 50,000 or more consumers, households, or devices.
  • Derive 50% or more of their annual revenue from selling consumers' personal information.

Enforcement

• The California Attorney General has the authority to enforce the CCPA. Violations can result in civil penalties up to $7,500 per intentional violation.
• Consumers can sue for damages in the event of a data breach where their nonencrypted or nonredacted personal information was not protected.

Amendments and Future Directions

• In November 2020, California Proposition 24, also known as the California Privacy Rights Act (CPRA), was passed, amending and expanding the CCPA. CPRA introduces new rights like the right to correct inaccurate personal information and establishes a new state agency, the California Privacy Protection Agency, to oversee enforcement.

External Links

• Official California Attorney General's CCPA Website
• FTC Guidance on CCPA
• FTC Consumer Information on CCPA

Related Topics

• California Privacy Rights Act
• GDPR
• Data Breach
• Consumer Protection