In a significant development for companies handling consumer data, California has passed a law that broadens consumer data deletion rights and introduces new obligations for data brokers. The billnamed SB 362, or the Delete Act, represents a significant increase in regulations for data brokers. According to JD Supra, the bill was signed into law by Governor Gavin Newsom and its enforcement will start running from 2024 to 2026.
The Delete Act explicitly details new registration and audit obligations for data brokers, while at the same time enhancing consumer data deletion rights. These changes come amid increasing demand from consumers for better control and transparency over their personal data. Moreover, data brokers who fail to adhere to these new guidelines will face fines, creating an even more significant incentive for compliance. This marks a distinct shift in California’s regulatory approach, reflecting a global trend that increasingly seeks to hold data brokers accountable for the proper handling of personal data.
In addition, the Delete Act introduces a new role in the world of data privacy – deletion agents. These agents are set to play a crucial role, serving as intermediaries between consumers and data brokers. They are tasked with facilitating the process of data deletion requests, ensuring that consumers’ deletion rights are upheld. This new role is anticipated to enhance the enforceability of consumer deletion rights and simplify the process for consumers.
With such changes on the horizon, it becomes increasingly important for legal professionals to stay up-to-date with evolving data privacy regulations. Companies should not delay in reviewing and revising their business practices in anticipation of this upcoming legislation. It would be in their best interest to also consider the potential impact of similar legislation in other jurisdictions, as this trend of empowering consumers with increased data control is likely to continue globally.