What is CCPA? Understanding California’s Landmark Privacy Law

The California Consumer Privacy Act (CCPA) is a groundbreaking privacy law that came into effect on January 1, 2020. It grants California consumers the right to know what personal information businesses collect about them, request that their personal information be deleted, and opt-out of the sale of their personal information. The CCPA is the first law of its kind in the United States and has set a new standard for privacy protection.

In this article, we’ll take a closer look at the CCPA, including its key provisions, who it applies to, and how it affects businesses and consumers.

The CCPA gives California residents the following rights:

Right to Know: Consumers have the right to request that a business disclose what personal information it has collected about them, including the categories of personal information, the sources from which it was collected, the business purposes for collecting it, and the third parties with whom it was shared.

Right to Delete: Consumers have the right to request that a business delete their personal information that has been collected, subject to certain exceptions.

Right to Opt-Out: Consumers have the right to opt-out of the sale of their personal information. Businesses must provide a clear and conspicuous link on their website titled “Do Not Sell My Personal Information” that allows consumers to opt-out.

Right to Non-Discrimination: Businesses cannot discriminate against consumers who exercise their CCPA rights, such as by denying them goods or services or charging them a different price.

The CCPA gives California residents the following rights:

Right to Know: Consumers have the right to request that a business disclose what personal information it has collected about them, including the categories of personal information, the sources from which it was collected, the business purposes for collecting it, and the third parties with whom it was shared.

Right to Delete: Consumers have the right to request that a business delete their personal information that has been collected, subject to certain exceptions.

Right to Opt-Out: Consumers have the right to opt-out of the sale of their personal information. Businesses must provide a clear and conspicuous link on their website titled “Do Not Sell My Personal Information” that allows consumers to opt-out.

Right to Non-Discrimination: Businesses cannot discriminate against consumers who exercise their CCPA rights, such as by denying them goods or services or charging them a different price.

Who does CCPA apply to?

The CCPA applies to for-profit businesses that collect personal information from California consumers and meet one or more of the following thresholds:

  • Annual gross revenues of $25 million or more.
  • Possess the personal information of 50,000 or more consumers, households, or devices.
  • Derive 50% or more of their annual revenues from selling consumers’ personal information.

The CCPA also applies to businesses that control or are controlled by a business that meets these thresholds and share common branding.

How does CCPA affect businesses and consumers?

For businesses, the CCPA requires significant changes to their data privacy practices, including:

Updating their privacy policies to include the required disclosures and consumer rights.
Providing training to employees on CCPA compliance.
Implementing processes for handling consumer requests for information, deletion, and opt-out.
Conducting an annual assessment of their data privacy practices.
For consumers, the CCPA provides greater control over their personal information, but they must take action to exercise their rights. Consumers can request information, deletion, and opt-out by contacting businesses directly or through a designated consumer request form. However, it is important to note that the CCPA only applies to California residents, and businesses may require verification of identity before fulfilling consumer requests.

FAQs

Q: What is personal information under CCPA?
A: Personal information is any information that identifies, relates to, describes, or can be associated with a particular consumer or household. This includes names, addresses, email addresses, social security numbers, IP addresses, and browsing history.

Q: Are there any exemptions under CCPA?
A: Yes, there are several exemptions, including information subject to HIPAA, certain financial information, and information collected as part of a business-to-business transaction. as by denying them goods or services or charging them a different price.

Q: Does CCPA apply to non-California businesses?
A: Yes, the CCPA can apply to non-California businesses that collect personal information from California consumers and meet the thresholds described earlier.

The California Consumer Privacy Act is a significant step forward for privacy protection in the United States. It gives consumers greater control over their personal information and requires businesses to be more transparent about their data collection practices. Businesses must adapt their policies and practices to comply with the CCPA’s requirements, or risk facing fines and lawsuits. Consumers must also take action to exercise their rights under the CCPA. By understanding the key provisions of the CCPA, businesses and consumers alike can navigate this complex privacy law with confidence.

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