What is the Online Privacy Act of 2021?

Fox Rothschild LLP

Fox Rothschild LLP

U.S. Congresswomen Anna Eshoo (D-California) and Zoe Lofgren (D-California) have reintroduced House Resolution 6027 for the Online Privacy Act of 2021.

Some of the bill’s key differentiators from CCPA, CDPA and CPA:

  • limitations on the disclosure of personal information to third parties that are not subject to the Act/jurisdiction of the US (Counter-Schrems II) (Section 204)
  • disclosure in privacy notice needs to name parties with whom information was shared (not just categories)
  • GDPR-style human intervention for automated processing
  • detailed right of data portability, including requirements for programming and providing access to relevant APIs
  • affirmative consent required for processing that links an individual with an algorithm, model or other means designed for behavioral personalization
  • obligation to provide the core service without targeted advertising where feasible
  • GDPR-style Art 14 privacy notice requirement for data collection by data brokers
  • exceptions for “Privacy preserving computing”
  • consent required for disclosure to third parties (by category) and for sale (by party)
  • specific limitations on disclosure for marketing/advertising purposes
  • prohibition on re-identification of information
  • specific prohibition on processing content of communications
  • GDPR style requirement for easy mechanism to revoke consent
  • specific prohibition on dark patterns in notice and consent and privacy policies
  • detailed requirements re: information security policies
  • initiative to provide templates and assistance on this to SMEs
  • GDPR-style 72 hour data breach notification requirements
  • establishment of a Digital Privacy Agency to enforce the act that would have an annual budget of $550 million

[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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