If you’re a legal professional with interests in privacy and data protection, the recent passage of SB 362 in California is likely to be on your radar. The law, which comes amid increasing scrutiny of data brokers, adds a new layer to the ongoing discussion about data privacy regulations in the digital age.
As per a detailed review posted on JDSupra, the law came into consideration as part of a broader effort to regulate the practices of data brokers. These are companies that collect personal information about consumers and sell that data to other organizations. At the heart of these efforts are concerns about privacy, consent, and how personal data is bought, sold, and used.
The new law is significant for a few reasons. Firstly, it comes at a time when the activities of data brokers are under stringent examination. This is being influenced by new state data broker registry laws, assertive enforcement by the Federal Trade Commission (FTC), forthcoming rulemaking by the Consumer Financial Protection Bureau (CFPB) to extend the Fair Credit Reporting Act’s (FCRA) jurisdiction to a wider range of data brokers, and federal bills seeking to limit data broker sales, among other steps.
Also worth noting is a recent meeting at the White House, purportedly arranged to talk about “harmful data broker practices”. With this context, it’s clear that SB 362 could be a precursor or barometer for prospective regulatory changes at the federal level.
Given the critical nature of privacy and data protection, legal professionals, both within corporations and law firms, will need to keep a close eye on the developments surrounding the implications of SB 362 and similar legislative efforts around the world. As the digital landscape continues to evolve, so too will the legal frameworks that govern them.