CPRA Policy

The California Privacy Rights Act (CPRA) builds upon and amends the California Consumer Privacy Act (CCPA), introducing several significant changes and new requirements for businesses. Here are key aspects of CPRA policies that businesses need to be aware of:

Expanded Consumer Rights:

• Right to Correct: Consumers can now request corrections of inaccurate personal information.
• Right to Limit Use and Disclosure of Sensitive Personal Information: This includes data like Social Security numbers, precise geolocation, and racial or ethnic origin.
• Right to Know, Delete, and Opt-Out: These rights have been extended and refined under CPRA​ (Welcome to WilmerHale)​​ (Foley & Lardner LLP)​.

Stricter Requirements for Data Processing:

• Data Minimization and Storage Limitation: Businesses must limit the collection and retention of personal data to what is necessary and proportionate to the original purpose for collection.
• Purpose Limitation: Data must only be used for the purposes disclosed to consumers at the time of collection​ (Fisher Phillips)​.

Enhanced Obligations for Businesses:

• Cybersecurity Audits: Businesses meeting certain thresholds must conduct annual, independent cybersecurity audits.
• Risk Assessments: Companies must perform regular risk assessments, particularly when dealing with sensitive personal information or automated decision-making technologies (ADMT)​ (Paragon Legal)​.

Regulatory Delays and Enforcement:

• The enforcement of some CPRA regulations has been delayed until March 2024, giving businesses additional time to comply with the new rules. However, companies must still adhere to the underlying statutory requirements of CPRA​ (Fisher Phillips)​​ (PrivacyPros)​.
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Automated Decision-Making Technology (ADMT):

• CPRA introduces regulations around ADMT, requiring businesses to provide notice, conduct risk assessments, and offer opt-out options for consumers when such technologies are used​ (Paragon Legal)​.

Privacy Notices and Data Breach Notifications:

Businesses must update their privacy policies to reflect new rights and ensure they comply with the updated breach notification requirements​ (Foley & Lardner LLP)​.

Businesses need to prioritize compliance with CPRA by updating their data processing practices, enhancing security measures, and revising privacy policies. Given the complexity and breadth of the CPRA, consulting with privacy law professionals and utilizing resources from privacy-focused organizations can be very beneficial​ (Welcome to WilmerHale)​​ (Foley & Lardner LLP)​.

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