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Last week we wrote about the California Court of Appeals’ February 9th decision vacating the trial court’s June 2023 order delaying enforcement of the California Privacy Rights Act (“CPRA”).  After that decision, we were left to wonder whether the plaintiff, the California Chamber of Commerce (the “Chamber”), would pursue an appeal. This week we got our answer. On February 20th the Chamber filed a petition with the California Supreme Court seeking review of the Court of Appeals’ decision.

The Chamber’s petition is unsurprising, given its staunch opposition to ...

On February 9, 2024, a California Court of Appeals vacated a June 2023 order delaying enforcement of the California Privacy Rights Act’s (CPRA) implementing regulations. It has been a long journey for the California Privacy Protection Agency (CPPA), which promulgated the regulations almost a year ago, on March 29, 2023. The CPPA planned to begin enforcement of the regulations as early as July 1, 2023, but last spring, the California Chamber of Commerce (Chamber) filed a lawsuit arguing for delayed enforcement. In June 2023, a California superior court ruled in favor of the ...

Last week, the White House issued an update on President Biden’s October 30, 2023 Executive Order on the Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence (the “AI EO” or “EO”). The update detailed the progress made on the EO directives, including among others, using the Defense Production Act to require AI companies to make specific reports on their AI systems to the government and proposing a rule that would require cloud companies to report foreign use of their services to train AI models and verify the identities of foreign customers. As ...

In July, Oregon’s governor signed into law the Oregon Consumer Privacy Act (“OCPA”), making Oregon the eleventh state to enact a comprehensive privacy law.  The OCPA goes into effect on July 1, 2024.  Covered business other than applicable non-profits must comply with the OCPA by that date.  Applicable non-profits will become subject to the OCPA on July 1, 2025.   

On June 30, 2023, a court in Sacramento issued an order enjoining enforcement of the implementing regulations promulgated by the California Privacy Protection Agency (CPPA) under the California Privacy Rights Act of 2020 (CPRA). If the order stands, enforcement will be delayed until March 29, 2024.

In June, Texas became the tenth state with a comprehensive privacy law. The Texas Data Privacy and Security Act (“TDPSA”) contains familiar provisions from other state privacy laws regulating the collection, use, processing, and treatment of consumers’ personal data, but also has Texas-specific provisions. The TDPSA will be effective as of July 1, 2024, allowing a one-year compliance period.

This month, Indiana, Montana and Tennessee passed comprehensive privacy laws. Each tracks closely the comprehensive privacy laws outside of California, but with some variations. None applies to employee data or has a private right of action.  All have cure rights. Tennessee uniquely provides an affirmative defense for controllers who follow the NIST privacy framework. Tennessee’s law will go into effect July 1, 2024, giving businesses just over a year to prepare to comply. Indiana’s law affords businesses more time to comply – it will not take effect until January 1, 2026. Montana’s law will go into effect October 1, 2024. Below is a summary of key points from each law.

Last week the Florida Senate passed its version of a comprehensive privacy law (SB 262), entitled the Florida Digital Bill of Rights. If signed by Governor DeSantis, the Digital Bill of Rights will require large companies (those with at least $1 billion in annual global gross revenues and who meet other metrics) to provide consumers with certain rights, including access, correction and deletion rights, opt-ins for processing of sensitive personal information and data of known children, and opting out of the collection of targeting advertising, profiling, and voice recognition data. Although the threshold for coverage is high, the obligations are significant, including reasonable security measures, fair information practices, data protection assessments, mandated data retention limits, specific disclosures if the controller is engaged in targeted advertising, and a controversial requirement for disclosure of search engine methodology. Although there is no private cause of action, the Florida Department of Legal Affairs can enforce the law and impose civil penalties up to $50,000 per violation with trebling in certain instances.

As artificial intelligence systems such as ChatGPT and Midjourney have become increasingly prominent, so have concerns about the effects that such programs may have on the economy and society at large. With more businesses incorporating artificial intelligence (“AI”) into their operations, these apprehensions about its use become more salient every day. While the potential uses of AI for innovation, automation, and streamlining tasks is great, the algorithms powering AI are not free from the biases reflected in the data and content that they are fed, creating risks of violating civil rights and consumer protection laws.

Iowa has become the latest state to enact a consumer privacy law, joining California, Colorado, Connecticut, Utah, and Virginia.  On March 28, Governor Kim Reynolds signed into law Senate File 262, which effective January 1, 2025, will provide Iowa consumers various protections over their personal data.  The law applies to businesses that either conduct business in Iowa or produce products or services targeting Iowa consumers AND that either controls or processes personal data of at least 100,000 consumers or controls or processes personal data of at least 25,000 consumers while deriving more than 50% of gross revenue from the sale of personal data.  Unlike California’s comprehensive privacy law, the Iowa statute does not have a revenue threshold for application of the statute.  The statute excludes from coverage financial institutions and affiliates and data subject to GLBA, and HIPAA covered entities, among others.

About Data Points: Privacy & Data Security Blog

The technology and regulatory landscape is rapidly changing, thus impacting the manner in which companies across all industries operate, specifically in the ways they collect, use and secure confidential data. We provide transparent and cutting-edge insight on critical issues and dynamics. Our team informs business decision-makers about the information they must protect, and what to do if/when security is breached.

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