1, 2, 3, 4... California’s CPPA might be at your door. Ready or not?
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TL;DR:
California’s privacy laws are tightening - could your business be affected?
Even indirect data handling may now require a new level of compliance.
As 2024 wraps up, the CPPA is issuing reminders. Are you ready?
California CPPA data broker compliance explained.
"Californians have a right to know who is trafficking in their personal information."
This statement, rooted in California’s consumer protection laws, underscores a significant shift in data privacy expectations. Today, platforms that collect, share, or sell data, especially without a direct relationship with each consumer, may be identified as data brokers under the California Consumer Privacy Act and thus under the purview of the California Privacy Protection Agency (CPPA).
Staying compliant is no longer a nice-to-have but a necessity.
With the year drawing to a close, the CPPA has issued another reminder to businesses: they are coming. A data broker, by law, is “a business that knowingly collects and sells to third parties the personal information of a consumer with whom the business does not have a direct relationship.” For example, if you’re a sales tool provider (Ex: CRM like Salesforce), this definition may apply even if your data handling is indirect or primarily focused on enhancing customer engagement.
Even if a company is compliant with CPPA that might not be enough
Clients and customers increasingly prioritize privacy, and transparent data practices are key to maintaining this trust. While fines are a possibility, the primary focus is on fostering a compliant, consumer-friendly business environment where trust is at the forefront.
Steps Toward Compliance
If you’re managing or selling data, even in ways that support customer relationships indirectly, consider these steps:
Check Your Status: Does your business collect and share data in ways that might fall under the “data broker” category? See our 30 second business self checker.
Understand Your State Requirements: States like California, Texas, and Vermont have distinct compliance standards that may affect your business practices.
Partner with Experts for a Streamlined Process: With Superset’s Data Broker Registration Service, we can handle the complexities of state-specific registration, allowing you to focus on your core business.
Wondering if your business needs to comply? Schedule a time to explore how we can help you simplify data broker registration, gain peace of mind, and continue building trust with your customers.
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