By: Linda L. Goodman
You may have read headlines that claim enforcement of CCPA is delayed for a year – this is not completely accurate.
In 2020, California voters approved the California Privacy Rights Act of 2020, (“CPRA”) which significantly amended the CCPA. The CPRA not only created the California Privacy Protection Agency but also charged the Agency with finalizing regulations on numerous topics no later than July 1, 2022. The Agency was unable to finalize a portion of the regulations until March 29, 2023 and announced that it intended to enforce those regulations starting July 1, 2023, which is the enforcement date set by the statute. On March 30, 2023, the California Chamber of Commerce filed a lawsuit against the Agency. The Chamber asked the Court to order the Agency to promulgate final regulations on all topics and to delay enforcement for one year after the Agency has completed that task.
On Friday, June 30th the court finally issued its order. The Court agreed that the statute, as amended, was intended to provide businesses with one year from the time regulations were finalized until enforcement began to come into compliance. However, the Court disagreed with the Chamber that enforcement should be delayed until one year after the Agency finalized all regulations. Instead, the Court found that the Agency cannot enforce the new regulations until March 29, 2024, which is one year after the some but not all the regulations were finalized on March 29, 2023. The Court further found that any new regulations promulgated by the Agency on remaining topics cannot be enforced by the Agency until one year after they are finalized.
It is unclear how much of an impact this order will ultimately have on enforcement. As noted, the Court’s ruling only prohibits the Agency from enforcing new regulations—it does not prohibit the Agency from enforcing the statutory changes brought by CPRA. In that respect, businesses subject to the CCPA will need to continue their efforts to comply with the statute – ENFORCEMENT HAS ALREADY BEGUN!
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This article is a publication of The Goodman Law Firm and is intended to provide information on recent legal developments and it is not intended to be and should not be relied on as legal advice for any particular matter. This article does not create an attorney-client relationship, nor should it be construed as legal advice or an opinion on specific situations. This may constitute “Attorney Advertising” under the Rules of Professional Conduct and under the law of other jurisdictions.
Linda L. Goodman is the founder of The Goodman Law Firm, concentrating its practice in internet business and law. Her firm’s clients include Advertisers, Affiliates, Affiliate Networks, and ISP’s.
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