CPRA ( California Privacy Rights Act)

Key Features of the CPRA:

The California Privacy Rights Act (CPRA) is a landmark piece of legislation that represents a significant step forward in consumer privacy law in the United States. Building upon the foundations of the California Consumer Privacy Act (CCPA), the CPRA was approved by California voters in November 2020 and went into effect on January 1, 2023.

  • Consumer Rights: The CPRA enhances consumer rights by allowing Californians to prevent businesses from sharing personal information, correct inaccurate information, and limit the use of “sensitive personal information” — which includes details like precise geolocation, race, ethnicity, religion, genetic data, private communications, sexual orientation, and specified health information.
  • Data Protection: Businesses are required to implement reasonable security measures to protect personal information and are held accountable for breaches.
  • Risk Assessments: Regular risk assessments and cybersecurity audits are mandated for businesses that process sensitive data.
  • Enforcement: The CPRA established the California Privacy Protection Agency (CPPA), a new regulatory body with the authority to implement and enforce the law. The Attorney General also retains civil enforcement authority.

Impact on Businesses:

The CPRA applies to businesses that earn more than $25 million in gross annual revenue, handle the personal data of 100,000 or more California residents or households, or derive 50% or more of their annual revenue from selling or sharing California residents’ personal information. These businesses must comply with the CPRA’s requirements or face significant penalties.

Comparison with Global Standards:

The CPRA is often compared to the General Data Protection Regulation (GDPR) in Europe, as it shares similar principles and protections. It is considered one of the most comprehensive consumer privacy laws in the United States, comparable to privacy laws in jurisdictions like Europe, Japan, Israel, New Zealand, and Canada.

The CPRA marks a new era for privacy rights in California, providing consumers with unprecedented control over their personal information. As other states and countries observe the implementation of the CPRA, it may serve as a model for future privacy legislation globally.