DORA Regulations and Compliance

California Consumer Privacy Act (CCPA)

Overview

The California Consumer Privacy Act (CCPA) provides California residents with significant control over their personal data, including rights to know, delete, and restrict the sale of their information. CCPA applies to businesses handling the personal data of California residents, regardless of their physical location. This regulation is designed to foster transparency and empower consumers in protecting their privacy in a data-centric world.
Key Considerations

Key Compliance Areas

  • Transparency and Disclosure: Businesses must inform California residents about the categories of data collected and the purposes for which it is used.
  • Consumer Data Access and Portability: Consumers have the right to request access to their data and receive it in a portable format.
  • Right to Deletion: Consumers can request deletion of personal information, with exceptions for legal obligations or internal security.
  • Opt-Out of Data Sales: Businesses must enable consumers to opt out of data sales through a "Do Not Sell My Personal Information" link on their websites.
  • Non-Discrimination: Businesses cannot deny services or change prices for consumers exercising their CCPA rights unless based on the value of their data.
Critical Dates and Milestones of SEC

Critical Dates and Milestones

The CCPA took effect on January 1, 2020, and the California Attorney General began enforcement on July 1, 2020. Businesses must stay updated as new amendments, like the California Privacy Rights Act (CPRA), add further requirements.

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Risks of Non-Compliance

  • Fines and Penalties: Non-compliance can lead to fines of up to $2,500 per unintentional violation and $7,500 per intentional violation.
  • Legal Liability: CCPA includes a private right of action for data breaches, allowing consumers to sue for damages.
  • Reputational Harm: Failing to comply with CCPA can damage a business’s reputation, particularly in privacy-conscious markets like California.
  • Operational Challenges: Handling data access requests and opting out can strain resources if processes aren’t streamlined.
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Benefits of Compliance

  • Increased Trust: Demonstrating respect for data privacy can strengthen consumer loyalty.
  • Improved Data Management: CCPA compliance encourages better organization and protection of personal data.
  • Alignment with Global Standards: CCPA compliance positions businesses well for adapting to other data privacy laws.
  • Competitive Advantage: Privacy-conscious consumers often favor companies that prioritize data security and transparency.

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