California Privacy Rights Act
Fast track (Summarised definition)
Enhanced 2023 privacy legislation expanding CCPA with additional consumer rights, stricter business obligations, independent enforcement agency, and comprehensive data protection standards influencing global privacy practices and business operations.
Full lap (Full definition)
The California Privacy Rights Act, effective from 2023, significantly expands and strengthens the California Consumer Privacy Act by introducing additional consumer rights, business obligations, and enforcement mechanisms. This enhanced privacy legislation represents the most comprehensive state-level privacy regulation in the United States.
The importance of CPRA lies in its establishment of stricter data protection standards that influence global privacy practices and business operations. The act creates the California Privacy Protection Agency, an independent regulatory body with enforcement authority, investigation powers, and rulemaking capabilities that ensure robust privacy protection and compliance oversight.
CPRA introduces new consumer rights including the right to correct inaccurate personal information, expanded rights regarding sensitive personal information, and enhanced disclosure requirements for data processing activities. The act also establishes stricter requirements for processing children's data and introduces risk assessment obligations for businesses handling significant amounts of personal information.
Key business obligations under CPRA include conducting privacy impact assessments, implementing data minimisation practices, providing detailed privacy disclosures, and maintaining comprehensive records of data processing activities. The act also introduces new requirements for third-party data sharing, cross-context behavioural advertising, and sensitive personal information handling.
Compliance with CPRA requires organisations to implement sophisticated privacy management systems, conduct regular privacy audits, train personnel on privacy requirements, and establish procedures for handling consumer requests and regulatory inquiries. The act's enforcement mechanisms include significant monetary penalties and potential criminal liability for data breaches.
For businesses operating in California or serving California residents, CPRA compliance represents essential legal requirement and strategic opportunity. Organisations that embrace CPRA's privacy-by-design principles demonstrate commitment to consumer protection, build competitive advantage in privacy-conscious markets, and establish foundation for compliance with evolving global privacy regulations that increasingly adopt similar comprehensive approaches.