The California Consumer Privacy Act (CCPA) is the US state of California’s strict consumer privacy act, enacted in 2020 to protect the privacy rights of California residents. CCPA is designed to give consumers more power in knowing what personal information is being collected about them by businesses, the right to request deletion of that information, and the right to opt-out of that information being sold.
CCPA requires organizations to perform a number of different consumer requests and data handling standards to be considered compliant. Among these are:
Fair processing of personal information:
Data collection and processing must be lawful, fair, and transparent
Legitimate purpose collection:
Personal data may only be collected for legitimate purposes at the specific time it is collected
Appoint a data controller:
A data collector must be appointed who will be responsible for demonstrating full CCPA compliance
Adhere to data collection and storage limitations:
Data minimization (collect only what is necessary) is a core proviso, and data can only be stored as long as needed for the specified purpose
Accuracy:
All data stored must be accurate and up to date
Ensure data security:
All stored data must be safeguarded with proper security, integrity and confidentiality applied
If your website is accessible to users in California, it is best practice to comply with CCPA regulations, although the CCPA as it stands specifies that organizations required to comply will have an annual gross revenue of at least 25 million USD, will buy or sell the data of 100,000 or more California residents or households, and earn 50% or more of their annual revenue from selling California residents’ personal data.
Even if not required to comply, these rules could change, and protecting data privacy is never a bad idea for your business.
Ultimately CCPA is governed by a handful of key privacy-related tenets for consumers:
Consumers can request personal data collected about them.
Consumers can ask that their data be removed or deleted.
Consumers can refuse data collection for profiling and targeted advertising.
Consumers can direct businesses to restrict the use of their sensitive data.
Consumers can take legal action against businesses if their personal information is exposed.
Cookies are a big part of consent, and the cookie banner is usually the first way users have to opt in or out of data collection and to understand what data is being collected and why. While cookies are not the heart of the CCPA, they are an unavoidable part of the user experience on the web and thus remain relevant and a potential compliance risk.
Penalties related to CCPA violations can quickly add up, with fines ranging from 2,500 to 7,500 USD per violation, depending on whether the violation was intentional or unintentional. These penalties apply to each instance of non-compliance, such as a data breach affecting multiple consumers, which can quickly make the cost balloon to exorbitant sums.
Businesses can take a number of steps to help stay in compliance with the CCPA and fulfill general data privacy best practices:
Review data practices:
Conduct a comprehensive audit of your data handling practices, including collection, storage and sharing. Identify where personal data is being used and check that it complies with CCPA requirements.
Implement consent management:
Platforms like CookieHub provide an easy way to manage consumer consent for data processing.
Check partner contracts:
Review third-party service provider contracts to ensure agreements meet CCPA standards for data protection.
Update privacy policies:
Keep your privacy policy up to date and accessible, including detailed information on how data is collected, processed and shared.
Train staff:
Educate employees about CCPA and its implications, and their role in maintaining compliance.
Most businesses have websites that collect personal data from cookies even if they are unaware. But being aware is essential to compliance. CookieHub makes CCPA compliance easy through a fully customizable and feature-rich consent management platform. From CCPA “do not sell” buttons to customizable cookie banners, CookieHub alleviates the risk associated with cookie compliance and consent management.
CookieHub is for companies focused on their core business – not on the ever-changing regulatory landscape. For most businesses, being able to comply with CCPA without having to make it a resource-intensive exercise adds significant value and peace of mind. CookieHub is designed specifically to do the heavy lifting of cookie compliance and consent management for you.
The CCPA applies to businesses that collect personal information from California residents and meet certain thresholds, such as having annual gross revenues over $25 million, buying or selling personal data of 100,000 or more consumers, or earning 50% or more of annual revenue from selling personal data. It gives California residents rights over their personal data, including the right to know, delete, and opt out of the sale of their information.
Under the CCPA, personal data (or personal information) is any information that identifies, relates to, describes, or could reasonably be linked with a particular consumer or household. This includes names, addresses, email addresses, browsing history, geolocation data, and more.
The CCPA, as amended by the California Privacy Rights Act (CPRA), defines "sensitive personal information" to include data such as Social Security numbers, driver’s license numbers, financial account information, precise geolocation, racial or ethnic origin, religious beliefs, biometric data, and contents of certain private communications.
The California Privacy Protection Agency (CPPA) is the primary authority responsible for enforcing the CCPA. The California Attorney General also retains enforcement authority, especially for civil penalties.
Certain entities and types of data are exempt from the CCPA. This includes small businesses that do not meet the law’s thresholds, certain nonprofit organizations, and specific categories of data such as publicly available government records, or data already regulated by other laws like HIPAA or GLBA.
For more details, visit the official website of the California Privacy Protection Agency or consult the Office of the Attorney General of California for legal guidance and resources.
Disclaimer: The information provided on this page is for general reference purposes only and is not intended to constitute legal or regulatory advice. Data privacy regulations are complex and subject to frequent updates, interpretations, and jurisdictional variations. While efforts are made to keep the material accurate and up to date, we cannot guarantee its completeness or applicability to your specific circumstances. For guidance on compliance or legal obligations, please consult qualified legal professionals or the appropriate regulatory authorities.
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