The California Privacy Rights Act (CPRA) came into effect on January 1, 2023, marking a significant shift in data privacy legislation. With full enforcement scheduled for July 1, 2023, businesses must understand the implications of this new law on their websites and operations. In this blog post, we dissect the key elements of the CPRA, shedding light on its implications and the necessary steps for compliance.
Compliance with Tsaaro:
Tsaaro Consulting is already ahead in ensuring compliance with California’s data privacy laws. As we transition into the CPRA era, Tsaaro continues to offer robust solutions to navigate the evolving landscape, aligning seamlessly with the state’s stringent regulations.
California Privacy Rights Act (CPRA): A Quick Overview
The CPRA, passed into law on November 3, 2020, serves as an extension of the California Consumer Privacy Act (CCPA), which took effect on January 1, 2020. Positioned as a data privacy frontier, California significantly bolsters residents’ rights and introduces stricter regulations on the use of personal information (PI). Notable changes include the establishment of the California Privacy Protection Agency (CPPA) for statewide data privacy enforcement.
Key Changes Introduced by CPRA:
Creation of Sensitive Personal Information (SPI): The CPRA introduces a new category, SPI, encompassing data on race, religious beliefs, genetic information, and more. SPI is regulated separately, granting users expanded control over its use.
Updated Definitions and Scope: The CPRA modifies the definition of business, excluding smaller entities and including those with substantial revenue generated from the collection, sharing, or selling of Californians’ PI.
New and Modified Rights: California residents gain four new rights, including the right to correction and the right to limit the use of SPI. Existing rights, such as the right to delete and opt-out, are also modified to enhance user control.
Regulation of Behavioural Advertising: The CPRA specifically regulates cross-contextual behavioural advertising, allowing users to opt-out of targeted ads based on their behavioural data.
Introduction of the CPPA: The creation of the California Privacy Protection Agency (CPPA) marks a significant shift in enforcement responsibilities from the Office of the Attorney General. The CPPA has the authority to investigate and fine violations, ensuring strict adherence to the CPRA.
GDPR-Like Provisions: The CPRA introduces GDPR-like requirements, emphasising data minimization, purpose limitation, and storage limitation. Businesses are now mandated to collect, use, and share data strictly according to the purpose of collection.
Timeline for CPRA Compliance:
January 1, 2021: CPRA is passed into law, and the CPPA is created.
July 1, 2021: launch of the procedure for creating and approving CPRA regulations.
January 1, 2022: In accordance with the CPRA’s one-year lookback period, PI collection becomes liable.
July 1, 2022: The CPPA’s deadline for approving the CPRA’s final regulations.
January 1, 2023: The CPRA goes into effect fully.
July 1, 2023: Under the CPPA, the CPRA is first enforced.
CCPA vs. CPRA: A Unified Data Privacy Regime
It’s crucial to understand that California operates under one overarching data privacy regime. The CPRA serves as a comprehensive amendment to the CCPA, refining and reinforcing the existing framework. While the CCPA laid the foundation, the CPRA renovates it, addressing ambiguities and introducing additional regulations.
As businesses navigate the complex terrain of California’s data privacy laws, compliance with the CPRA is not just a legal necessity but a commitment to user rights and ethical data practices. With Tsaaro leading the way in compliance solutions, businesses can confidently embrace the CPRA era, ensuring the protection of user data and upholding the highest standards of privacy.
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