CCPA Regulations: Free Stuff And Financial Incentives

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Commenters on the final California Consumer Privacy Act (CCPA) regulations asked if a company gives you a product without charge but in consideration for your information,  could that still be deemed a financial incentive requiring the company to calculate and disclose the value of the consumer’s data?

The California Attorney General’s answer: Yes.

  • If you offer a service or a product in exchange for data you are bound by the “financial incentive” and “price difference” requirements to the same extent as if you offer a product or service for cash payment.
  • Non-monetary benefits or product or service differences related to the sale of personal information trigger notice requirements and may be deemed discriminatory.

This raises a discussion similar to that of cookie walls, and paid alternatives to cookies which have been discussed by various European Union supervisory authorities in the context of “freely given consent.”

CCPA Final Regs Free Service and Value of Data Odia Kagan

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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