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June 1st, 2022
Calif. Privacy Agency Unveils Long-Awaited Draft Regulations
Privacy & Data Security Group Chair Daniel M. Goldberg and Privacy & Data Security Associate Maria Nava’s recent blog post on the California Privacy Protection Agency’s (CPPA) proposed regulations to the California Consumer Privacy Act is cited in the article, “Calif. Privacy Agency Unveils Long-Awaited Draft Regulations” published by Law360.
"As expected, the Regs clarify that businesses must recognize Do Not Sell or Share (DNS) opt-out preference signals," Daniel and Maria Nava wrote. "While some privacy professionals have argued that businesses have a choice between posting a DNS link or honoring an opt-out preference signal, the Regs expressly state that interpretation is incorrect."
“However, the new proposal fails to clarify what exactly constitutes a valid opt-out signal, declining to recognize the Global Privacy Control or other technical specifications that have been developed to allow consumers to exercise their opt-out rights across the internet” and "As written, businesses arguably must respond to any signal, which will create compliance hurdles," said Daniel and Maria, adding that the regulations also don't prohibit opt-out signals from being set to "on" by default by a browser, like the new consumer privacy law that was recently enacted in Connecticut does.
Daniel and Maria note, “Under the CPRA regulations, companies that receive an opt-out request also need to notify any downstream third parties to stop selling or sharing the information as well” and "This appears to be a higher burden than currently required under CCPA or the CPRA text, and reemphasizes the need for a signal that can be read by downstream parties."
Lastly, Contracts with third parties "must also expressly require the third-party to check for opt-out signals," they added. If implemented, this and other proposed requirements, including that these agreements "expressly identify" the specific service for which the third party is processing information, would result in contracts with third parties needing to be much more robust, Daniel and Maria said.
Read full article here. (Behind paywall)
Other Quoted
Copyright Guide or Policy Change? Project Divides IP Attys
Law360 quoted Jacqueline Charlesworth on the controversy surrounding the American Law Institute’s copyright restatement project. Ms. Charlesworth criticized the initiative as advancing a “revisionist theory” that could weaken copyright protections. She was among nearly two dozen advisers who resigned from the project, signaling deep concerns about its direction.
The article highlights a broader debate within the IP community: whether the restatement simply clarifies existing law or attempts to reshape policy in favor of users. Ms. Charlesworth’s perspective emphasizes the stakes for rights holders as courts and practitioners consider how much influence the restatement may carry. Read the Law360 article about the copyright restatement project here.
November 19 2025
Reports of ‘Click-to-Cancel’s Death May Be Premature
A Competition Policy International article quoted Holly A. Melton on the continuing impact of the Federal Trade Commission’s “click-to-cancel” rule , despite a recent Eighth Circuit Court of Appeals decision. Melton was quoted for her analysis of the FTC’s $2.5 billion settlement with Amazon over Prime subscription practices. In a blog post, Melton pointed to a clause in the agreement that anticipates future rulemaking around negative option features. “That’s not boilerplate,” she wrote. “It reads like a deliberate placeholder—future-proofing the settlement for the reappearance of Click to Cancel.” Melton interprets this as a strategic move by the FTC to potentially revive the rule through a new proceeding.
Melton’s outlook reflects a broader shift in the FTC’s enforcement priorities toward consumer-facing issues like subscription transparency and cancellation ease. She referenced Commissioner Mark Meador’s remarks about focusing on “everyday economic concerns affecting ordinary households” and noted that, even without immediate rulemaking, the agency’s litigation stance signals that subscription practices will remain a top-tier priority for the Bureau of Consumer Protection. Her guidance to advertisers and subscription services: “prioritize transparency, obtain affirmative consent, and make cancellation as effortless as sign-up. The ‘Click to Cancel’ may be down, but it’s not out,” Melton concluded, underscoring the FTC’s intent to keep its options open. Read the Competition Policy International post here.
November 11 2025
States Turn to Outside Firms to Generate Big Privacy Settlements
Holly A. Melton is quoted in the Bloomberg Law article on the growing practice of state attorneys general hiring outside counsel for litigation in data privacy and online safety cases. The article noted this shift boosts companies’ risk profiles, with smaller states taking on more complex cases. “‘One, don’t ignore the states that don’t necessarily have privacy laws because you’re not safe’ said Holly Melton, partner at Frankfurt Kurnit Klein & Selz. ‘And two, the sort of posture has already kind of ratcheted up when they come in with outside counsel who’s sort of running the show.’”
Bloomberg Law stated this strategy is getting mixed results. Some states point out that they could not bring certain cases without the staffing, resources and expertise of the private firms. But critics question outside counsels’ driving state priorities—selecting enforcement for big payouts or settlements, more akin to civil plaintiff litigation instead of traditional AG litigation that prioritizes companies changing their behavior. View Article.
October 9 2025
