The California Privacy Rights Act (CPRA) was passed in November 2020 as an amendment to the 2018 California Consumer Privacy Act (CCPA) introduced in response to rising consumer data privacy concerns. It has significantly impacted data collection and handling practices, giving consumers more control over how businesses handle their data. Companies were given until January 1st, 2023, to achieve compliance. This article discussed the key requirements of the CPRA and provided practical tips for companies to implement the necessary changes to ensure compliance.
The CPRA builds on the six original consumer rights introduced by the CCPA in 2018. It creates two additional rights: the right to correct inaccurate personal information and the right to limit the use and disclosure of sensitive information. The CPRA also introduced the California Privacy Protection Agency (CPPA,) which is the privacy enforcement agency for the new regulations.
Data collection is a nearly universal activity for companies in the 21st century. Significant changes to data collection and handling practices can cause slight disruptions in operations. The CPRA requires businesses to provide consumers with links where they can change how they wish their data to be handled and prohibits retaliation against customers who exercise their rights. Non-compliance with CPRA regulations results in financial penalties, depending on the nature of the offenses. To ensure compliance, businesses must quickly understand their CPRA obligations and implement reasonable security procedures.
7 Step CPRA Checklist for Compliance
- Process the minimal amount of personal information
- Update your privacy policy and notices
- Establish a data retention policy
- Review contracts with service providers
- Take actions to prevent a data breach
- Make it easy for customers to opt out or limit data sharing
- Don’t retaliate against customers who exercise their rights
California businesses must comply with CPRA regulations, with other states implementing the same or similar data protection frameworks. Understanding these new laws and how they impact your business operations will help you start implementing positive changes and ensure compliance.
