The California Privacy Rights Act (“CPRA”) Headed To The November 2020 Ballot

Jackson Lewis P.C.
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As we recently reported, the privacy-right activist group that sponsored the California Consumer Privacy Act (“CCPA”) – Californians for Consumer Privacy – is pushing for an even more stringent privacy bill, the California Privacy Rights Act (“CPRA”). The CRPA has now qualified for the November 3, 2020 ballot, gathering more than 600,000 valid signatures as required, according to the memorandum circulated by the California Secretary of State. If California voters approve the initiative in November, the CPRA would significantly expand the rights of Californians under the current California Consumer Privacy Act (“CCPA”) starting on January 1, 2023, with certain provisions going into effect immediately.

What are some of the key provision of the CPRA?

  • Establish the California Privacy Protection Agency (“CPPA”): – CPRA would establish the first agency of its kind in the United States. The Agency will be governed by a five-member board, including the Chair, and will have full administrative power, authority and jurisdiction to implement and enforce the CCPA, instead of the California Attorney General.
  • “Sensitive Personal Information” vs. “Personal Information”: – CPRA defines “sensitive personal information” stricter than personal information. The definition is broad, but it includes government-issued identifiers (i.e. SSN, Driver’s License, Passport), account credentials, financial information, precise geolocation, race or ethnic origin, religious beliefs, contents of certain types of messages (i.e. mail, e-mail, text), genetic data, biometric information, and others.

The CPRA creates new obligations for companies and organizations processing sensitive personal information. It would also allow consumers to limit the use and disclosure of their sensitive personal information.

  • Additional Consumer Rights: – In addition to the rights under CCPA, consumers will have additional rights under the CPRA, including, a) right to correct personal information, b) right to know length of data retention, c) right to opt-out of advertisers using precise geolocation, and d) right to restrict usage of sensitive personal information.
  • Employee Data: Expanded Moratorium from until January 1, 2023: In general, most of the provisions of the CCPA does not cover employee data until at least January 1, 2021. CPRA will expand that moratorium until at least January 1, 2023.
  • Expanded Breach Liability: In addition to the CCPA’s private right of action for breaches of nonencrypted, nonredacted personal information, the CPRA would expand that to the unauthorized access or disclosure of an email address and password or security question that would permit access to an account if the business failed to maintain reasonable security.

The CCPA has not even celebrated it’s anniversary nor started its enforcement (July 1, 2020), and companies doing business in California will soon have to grapple with the nuances brought by the CPRA. Jackson Lewis will continue to monitor any developments with the CPRA as it marches to the ballots come November 2020.

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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