Photo of David Stauss

 

David routinely counsels clients on complying with privacy laws such as the EU's General Data Protection Regulation, the California Consumer Privacy Act, the Colorado Privacy Act, and other state privacy laws. David is certified by the International Association of Privacy Professionals as a Privacy Law Specialist, Certified Information Privacy Professional (US and EU), Certified Information Privacy Technologist, and Fellow of Information Privacy.

Keypoint: The amendment limits claims and updates the definition of written release.

On August 2, 2024, Illinois Governor J.B. Pritzker signed SB 2979 into law. The bill amends the Illinois Biometric Information Privacy Act (BIPA) to limit the number of claims that can be brought under the law’s private right of action and updates the law’s definition of “written release” to include “electronic signature.” The below article provides a summary of the two changes.

Keypoint: Although New York lacks a consumer data privacy law, the New York Attorney General’s office has taken the position that New York’s consumer protection laws require entities to implement certain tracking technology practices.

In mid-July the New York Attorney General’s office published a Guide for Website Privacy Controls in which the office identifies “mistakes we found businesses making when deploying tracking technologies.” The guidance acknowledges that New York lacks a consumer data privacy law that regulates online tracking technologies, but takes the position that “New York’s consumer data protection laws . . . , which prohibit businesses from engaging in deceptive acts and practices, effectively require that websites’ representations concerning consumer privacy be truthful and not misleading.” According to the Attorney General, this “means that statements about when and how website visitors are tracked should be accurate, and privacy controls should work as described.”

In the below article, we provide a brief overview of the guidance and some key takeaways.

Keypoint: The Texas Attorney General reached a $1.4 billion settlement with Meta over its alleged violations of Texas’ biometric privacy law.

On July 30, 2024, the Texas Attorney General announced that it has reached a $1.4 billion settlement with Meta over its alleged violations of Texas’ “Capture or Use of Biometric Identifier” Act (CUBI). The Attorney General’s press release represents that the settlement, which arises out of a 2022 complaint, is the first under CUBI. It also represents that the settlement “is the largest privacy settlement an Attorney General has ever obtained.”

In the below article, we provide a brief overview of CUBI and the underlying allegations in the complaint.

Keypoint: The California legislature has many pending privacy and AI-related bills to consider before it closes on August 31.

The California legislature left for its summer recess on July 3 and will reconvene on August 5. Once it returns, the legislature will have twenty-six days to pass bills before it recesses for the year on August 31.

In the below article, we identify and briefly summarize the pending privacy and AI bills and where they stand in the legislative process. The bills cover a wide range of topics, including kid’s privacy, opt-out preference signals, neural data, and algorithmic discrimination. All together, we are tracking fourteen bills, one of which was signed into law on July 15. The remaining thirteen bills all passed through their chamber of origin prior to the May 24 deadline and are at various stages of consideration in the opposite chamber.

Keypoint: The settlement, which includes a $500,000 fine and injunctive relief, arises out of alleged violations of the CCPA’s children’s privacy provisions and COPPA.

On June 18, 2024, the California Attorney General announced it had reached a settlement with an online gaming company, resolving allegations that the company violated the California Consumer Privacy Act (CCPA) and federal Children’s Online Privacy Protection Act (COPPA) “by collecting and sharing children’s data without parental consent in their popular mobile app game ‘SpongeBob: Krusty Cook-Off.’” The Attorney General’s complaint and settlement were pursued in connection with the Los Angeles City Attorney’s office.

In the below article we provide a brief overview of the settlement.

Keypoint: While the act does not include many provisions found in the more recent consumer data privacy laws, it would expand privacy notice obligations in one significant way although the applicability and scope of that requirement is unclear due to the lack of an important definition.

On June 13, 2024, the Rhode Island legislature passed the Rhode Island Data Transparency and Privacy Protection Act (SB 2500 / HB 7787). The act will now move to Governor Daniel McKee for consideration. Assuming the act becomes laws, it will go into effect on January 1, 2026.

The act is based on the Washington Privacy Act model but diverges from the prevalent forms of that model in two ways. First, the act contains a unique privacy notice requirement that would require entities to disclose the third parties to whom they sell or “may sell” personally identifiable information. However, the applicability and scope of that potentially onerous requirement is unclear because the act does not define personally identifiable information. Second, the act does not include some provisions that have become commonplace in recently passed laws such as data minimization language and an obligation to recognize universal opt-out mechanisms.

In the below article, we provide a summary of the act’s more notable provisions. As with prior bills, we have added the Rhode Island act to our chart providing a detailed comparison of laws enacted to date.

Keypoint: Assuming the bills become law and go into effect, operators of websites and online services that collect the personal data of minors and are subject to the bills will need to undertake several compliance activities.

On June 7, 2024, the New York legislature passed two bills directed at kids’ use of online technologies –

Keypoint: The California legislature is considering several bills that, if passed, would add to the nation’s emerging legal patchwork governing the use of artificial intelligence.

In mid-May, Colorado Governor Jared Polis signed the Colorado Artificial Intelligence Act (CAIA) into law, making Colorado the first state to enact legislation governing the use of high-risk artificial intelligence systems. Earlier this year, Utah enacted SB 149, which creates limited obligations for private sector companies deploying generative artificial intelligence, including disclosing its use.

The California legislature is currently considering seven AI-related bills that, if passed, would add to the growing patchwork of state AI laws. All of these bills have passed their chamber of origin and are currently being considered by the opposite chamber. While many state legislatures have already closed for the year, California’s legislative session does not end until August 31, 2024, meaning that there is still time for California to pass one or more bills.

In the below article, we briefly summarize these bills (as they are currently drafted) and identify their current status. We previously discussed four of these bills in our April 25 AI Legislation Update.

Keypoint: The Minnesota bill contains several unique requirements and provisions, including a novel right to question the result of a profiling decision, privacy policy provisions that increase interoperability with existing state laws, and new privacy program requirements such as a requirement for controllers to maintain a data inventory.

On May 19, the Minnesota legislature passed the Minnesota Consumer Data Privacy Act (HF 4757 / SF 4782). The bill, which is sponsored by Representative Steve Elkins, was passed as Article 5 of a larger omnibus bill. The bill next moves to Governor Tim Walz for consideration.

The Minnesota bill largely tracks the Washington Privacy Act model but with some significant and unique variations. For example, the bill creates a novel right to question the result of a profiling decision and have a controller provide additional information regarding that decision. It also contains privacy policy requirements that are intended to increase interoperability with other state consumer data privacy laws. Further, the bill contains provisions requiring controllers to maintain a data inventory and document and maintain a description of policies and procedures the controller has adopted to comply with the bill’s provisions. We discuss those requirements and provisions, along with others, in the below article.

As with prior bills, we have added the Minnesota bill to our chart providing a detailed comparison of laws enacted to date.

Keypoint: Last week, Colorado passed children’s privacy and artificial intelligence bills, Vermont passed a consumer data privacy bill, Maryland’s consumer data privacy and AADC bills were signed into law, and Minnesota is on the cusp of passing a consumer data privacy bill.

Below is the sixteenth weekly update on the status of proposed state privacy legislation in 2024.