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On May 1, 2019, WSGR held a panel discussing state and federal legislative privacy developments, including the California Consumer Privacy Act (CCPA). The panel, moderated by Chris Olsen, featured Ashkan Soltani, former chief technologist at the Federal Trade Commission (FTC), and Shaundra Watson, the senior director for policy at BSA (The Software Alliance). Here are the key takeaways from the discussion:
Continue Reading WSGR Event Recap: Key State and Federal Legislative Privacy Developments

On September 23, 2018, Governor Jerry Brown signed into law SB-1121, a bill that makes several amendments to the California Consumer Privacy Act (CCPA or the Act). The controversial privacy law, which is set to take effect in 2020, recently sparked a war of words among industry, privacy advocates, and the California Attorney General, each of whom sent letters to the California legislature urging amendments to the legislation. The California Chamber of Commerce, along with 36 business coalitions (Industry), submitted a letter to California Senator Bill Dodd in August, calling the Act “unworkable,” urging both technical and substantive cleanup of the Act, and introducing 21 proposed amendments. A coalition of 20 consumer privacy advocate groups (Advocates) responded with their own letter, highlighting the negative consequences Industry’s proposed changes would have on consumer rights.

The Industry and Consumer Advocates did not wholly disagree. Both coalitions urge the legislature to make technical fixes, such as clarification that businesses do not have to collect extra information to comply with the Act, as well as clarification of the definition of de-identified information. The California Attorney General also weighed in with comments, requesting specific amendments and additional time to issue regulations. In response to the input from these various stakeholders, the legislature amended the Act on August 31, 2018 and sent it to the Governor’s desk. This article sets forth the principal issues discussed in the letters and the legislature’s response.
Continue Reading California Consumer Privacy Act: Industry, Advocate, and Enforcement Concerns and Legislative Amendments

California Signs the First IoT Security Bill into Law, and the FTC Submits Comments to the Consumer Product Safety Commission Regarding the IoT

California’s New IoT Law

On September 28, 2018, California Governor Jerry Brown signed into law a cybersecurity bill governing Internet of Things (IoT) devices, the first law of its kind in the nation. SB 327 requires manufacturers of internet-connected, or “smart” devices, to ensure the devices have “reasonable” security features by January 1, 2020.

The law applies to any “device, or other physical object that is capable of connecting to the Internet, directly or indirectly, and that is assigned an Internet Protocol address or Bluetooth address.” This definition is broad and includes not only smart TVs, smart speakers, and other smart home devices, but also computers (laptops and desktops), connected cars, smartphones, smartwatches, and many other modern electronics.

The law does not contemplate further rulemaking, and it is unclear whether revisions to the law will be sought.
Continue Reading Key Developments in Internet of Things Law

In a surprising twist, the California legislature rushed last week to pass one of the most comprehensive privacy laws in the country. The bill was introduced only a week prior, and within hours of passage, …
Continue Reading California Enacts Sweeping Privacy Law to Avert Potential Ballot Measure

ThinkstockPhotos-530940310Many businesses monitor or record customer service, telemarketing, and other telephone calls with consumers to help them improve customer service and for evidentiary reasons. Under federal and many state laws, calls may lawfully be monitored or recorded by businesses as long as those businesses have permission from their employees who participate on the calls. However, some states require the permission of everyone participating on a call before the call may legally be monitored or recorded. And some state laws potentially implicated by monitoring and recording calls are not clear as to what is required. California is one of those states.
Continue Reading Monitoring and Recording Consumers’ Calls in California Can Be a Risky Practice

California Attorney General Kamala Harris recently announced a settlement with Houzz Inc., a home design website, over allegations that the company failed to notify individuals that it was recording their phone calls with the company.1 While the settlement included the payment of $175,000 in penalties and fees, it also included the surprising requirement that Houzz appoint a “Chief Privacy Officer” or similar employee responsible for privacy compliance at the company. This settlement is the first time a U.S. privacy regulator has specifically included such a requirement in a privacy settlement, and it signals the importance to the California Attorney General of companies having executive management oversight for a privacy program.
Continue Reading California Attorney General Includes Chief Privacy Officer Requirement in Data Privacy Settlement