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February 15th, 2012
Publishers Sued for Allegedly Violating California Privacy Law
The Shine the Light privacy law, Cal. Civ. Code 1798.83, applies to businesses with twenty (20) or more employees, that have an established business relationship with a customer who is a California resident and share customer personal information with third parties for the third parties’ direct marketing purposes.
Under the Law, covered businesses have two compliance options: disclose what they share and with whom or provide an opt-out. Specifically, California residents may ask for and obtain details about what personal information covered businesses share with third parties for those third parties’ direct marketing purposes during the immediately preceding calendar year. The Law is not limited to personal information collected online, making it necessary to consider practices with respect to customer data collected offline as well as online. The detailed notice requirements include providing California customers with a designated contact point to which an information request may be directed, and then providing California customers with all required categories of information upon their submission of an appropriate request.
The other method for compliance is for companies to adopt and disclose to the public in their website privacy policies cost-free procedures for California customers to opt-out of the sharing of their personal information. The Law contains a private right of action for damages, injunctive relief, and civil penalties of up to $500 per violation (or $3,000 per violation for willful, intentional, or reckless violations). Although the Law has been effective since 1995, we are not aware of any published court decisions interpreting the Law.
These recent lawsuits serve as a reminder for advertisers to check to make sure that they are in compliance with the Law.
If you have any questions about the Shine the Light privacy law, please contact Terri Seligman at email@example.com or 212.826.5580, or any other member of Frankfurt Kurnit’s Technology, eCommerce and Privacy Group.
Disclaimer. This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.
Other Technology Law Alerts
Shields On: 9th Circuit Strengthens Legal Defense for Video Game Developers
There's good news for game developers who incorporate real-world elements in their games. On October 20, 2017, the Court of Appeals for the Ninth Circuit affirmed a trial court decision which found that Gran Turismo, a Sony video game, was an expressive work entitled to First Amendment protection
November 2 2017
FTC Settles First-Ever Action Against Individual “Influencers”
September 18 2017
No Harm, No Foul: Court Dismisses Biometric Data Privacy Class Action Against NBA 2K Games
Biometric data — from, e.g., retina, face and fingerprint scans — plays a big role in the current wave of new technology services. For example, biometrics provide security features for financial and healthcare products. But companies using or thinking of using biometric data have to comply with myriad privacy and data security laws and regulations, or face potential enforcement action and litigation.
February 16 2017