{"id":2667,"date":"2024-02-21T15:51:00","date_gmt":"2024-02-21T21:51:00","guid":{"rendered":"https:\/\/trustarc.com\/?post_type=resource&#038;p=2667"},"modified":"2025-05-07T11:44:26","modified_gmt":"2025-05-07T16:44:26","slug":"californias-delete-act-background-brief","status":"publish","type":"resource","link":"https:\/\/trustarc.com\/resource\/californias-delete-act-background-brief\/","title":{"rendered":"California\u2019s Delete Act: Background Brief"},"content":{"rendered":"\t\t<section id=\"block_a90a7ec70f4628d51e2c03f73eb464e1\" class=\"resource-intro intro-simple\">\n\t\t\t<div class=\"container\">\n\t\t\t\t\t\t\t\t\t<strong class=\"sub-title block uppercase\">Articles<\/strong>\n\t\t\t\t\t\t\t\t\t\t<h1>California\u2019s Delete Act: Background Brief<\/h1>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\n\n\t<section id=\"block_04aae202a8f3d06f78ff6a19d3b00f0b\" class=\"columns-content\">\n\t\t<div class=\"container\">\n\t\t\t<div class=\"left\">\n\t\t\t\t\t\t\t<\/div>\n\t\t\t<div class=\"middle\">\n\t\t\t\t<div class=\"content\">\n\t\t\t\t\t<p>A new California privacy law \u2013 the Delete Act \u2013 will give Californians the simplest method in the world to opt out from having their personal information traded by <a href=\"https:\/\/trustarc.com\/resource\/data-brokers-impact-data-privacy\/\" target=\"_blank\" rel=\"noopener\">data brokers<\/a>.<\/p>\n<h2>California Privacy Rights Act (the CPRA)<\/h2>\n<p>Backed by digital rights advocacy groups the new law streamlines and strengthens Californians\u2019 existing \u2018right to delete\u2019 (a consumer privacy right to request businesses delete records of personal information), which is comprehensively covered by the\u00a0<a href=\"https:\/\/blog.trustarc.com\/2020\/07\/15\/technical-brief-handling-ccpa-consumer-requests\/\" target=\"_blank\" rel=\"noopener\">California Consumer Privacy Act (CCPA)<\/a>\u00a0and its amendments under the\u00a0<a href=\"https:\/\/blog.trustarc.com\/2023\/04\/13\/california-privacy-rights-act-cpra-technical-brief\/\" target=\"_blank\" rel=\"noopener\">California Privacy Rights Act (CPRA<\/a>).<\/p>\n<p>The new Delete Act will be enforced by the\u00a0<a href=\"https:\/\/cppa.ca.gov\/\" target=\"_blank\" rel=\"noopener\">California Privacy Protection Agency<\/a>\u00a0(CPPA).<\/p>\n<h2>What initiated the new California personal delete laws?<\/h2>\n<p>California\u2019s evolving privacy laws are now widely known for being much more consumer-centric than they used to be.<\/p>\n<p>Much has changed in the decade since we published a blog titled:\u00a0<a href=\"https:\/\/blog.trustarc.com\/2013\/05\/23\/new-world-of-data-sharing\/\" target=\"_blank\" rel=\"noopener\">Forrester Predicts a New World of Data Sharing<\/a>, which noted the view to \u201cadvocating for companies to treat data as a product\u201d.<\/p>\n<p>Similarly, seven years later, Gartner Research published a\u00a0<a href=\"https:\/\/www.gartner.com\/en\/documents\/3992624\" target=\"_blank\" rel=\"noopener\">Market Guide for Identity Resolution<\/a>\u00a0on November 2, 2020, which advised:\u00a0<i>\u201cIdentity resolution is becoming a critical requirement for marketers facing growing privacy restrictions \u2026 Digital marketing leaders must understand the options and commit to a plan before current practices become obsolete.\u201d<\/i><\/p>\n<p>Reports like these don\u2019t shy away from the fact most of the data sold by brokers skews towards what\u2019s useful for commercial interests (marketing, advertising), rather than consumer interests.\u00a0<strong>Commercially valuable data includes:<\/strong><\/p>\n<ul>\n<li>Demographic data (e.g. age, gender, relationship status and other connections to other people)<\/li>\n<li>Locations (e.g. geolocation, home and work addresses, other visited addresses, such as healthcare providers)<\/li>\n<li>Online activities (e.g. interactions with websites, apps, games and businesses)<\/li>\n<li>Consumer habits (e.g. product interests, purchase histories).<\/li>\n<\/ul>\n<h3>California delete laws are explicitly aimed at data brokers<\/h3>\n<p>When modern analytics tools are applied to these data sets on consumers they have large commercial value, but they also pose huge potential privacy risks.<\/p>\n<p>Therefore, privacy advocacy organizations such as the Electronic Frontier Foundation (EFF) and several consumer-facing publications have been highly active in educating consumers about privacy risks associated with the commodification and brokering of personal information.<\/p>\n<p>A\u00a0<a href=\"https:\/\/www.vice.com\/en\/article\/epnmvz\/industry-unmasks-at-scale-maid-to-pii\" target=\"_blank\" rel=\"noopener\"><i>Vice Magazine<\/i>\u00a0article published on July 14, 2021, titled \u201cInside the Industry That Unmasks People at Scale<\/a>\u201d, explained to consumers:\u00a0<i>\u201cUnique IDs linked to phones are supposed to be anonymous. But there\u2019s an entire industry that links them to real people and their address.\u201d\u00a0<\/i><\/p>\n<p><a href=\"https:\/\/www.eff.org\/deeplinks\/2021\/07\/data-brokers-are-problem\" target=\"_blank\" rel=\"noopener\">The authors of a July 23, 2021, report published by EFF<\/a>\u00a0and titled \u201c<i>Data Brokers Are the Problem\u201d<\/i>, delivered a similarly\u00a0<strong>ominous message:\u00a0<\/strong><i>\u201cData brokers sell rich profiles with more than enough information to link sensitive data to real people, even if the brokers don\u2019t include a legal name. In particular, there\u2019s no such thing as \u2018anonymous\u2019 location data.\u201d<\/i><\/p>\n<p>These concerns about data brokers potentially (or actively) encroaching on people\u2019s privacy were raised by California State Senator Josh Becker when he proposed a California Delete Act in early 2023, aiming to give Californian consumers a broad reaching right to stop their personal information from being commodified and traded.<\/p>\n<h2>California privacy laws and the Delete Act: key dates<\/h2>\n<ul>\n<li>February 8, 2023 \u2013 California State Senator Josh Becker introduces\u00a0<a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billNavClient.xhtml?bill_id=202320240SB362\" target=\"_blank\" rel=\"noopener\">California Senate Bill 362<\/a>\u00a0(SB 362, widely known as the Delete Act) to California State Assembly Committee on Rules, aiming to strengthen Californians\u2019 personal data privacy rights. Senator Becker makes some amendments to the Bill in April.<\/li>\n<li>April 25, 2023 \u2013 California Assembly Appropriations Committee votes 9\u20132 in favor of passing the Bill.<\/li>\n<li>May 31, 2023 \u2013 Senator Becker\u2019s Delete Act advances off the California Senate floor and in a\u00a0<a href=\"https:\/\/sd13.senate.ca.gov\/news\/press-release\/may-31-2023\/senator-beckers-delete-act-advances-senate-floor\" target=\"_blank\" rel=\"noopener\">press release he declares<\/a>:\u00a0<i>\u201cData brokers spend their days and nights building dossiers with millions of people\u2019s reproductive healthcare, geolocation, and purchasing data so they can sell it to the highest bidder. The Delete Act is based on a very simple premise: Every Californian should be able to control who has access to their personal information and what they can do with it.\u201d<\/i><\/li>\n<li>September 14, 2023 \u2013 Senate votes 31\u20139 in favor of making the Delete Act law, and it is enrolled and presented to the Governor a week later.<\/li>\n<li>October 10, 2023 \u2013 California Governor Gavin Newsom signs Senate Bill 362\/Delete Act into law and establishes several compliance deadlines. In a\u00a0<a href=\"https:\/\/sd13.senate.ca.gov\/news\/press-release\/october-10-2023\/governor-newsom-signs-first-in-the-nation-bill-to-protect\" target=\"_blank\" rel=\"noopener\">press statement Senator Becker notes<\/a>: \u201c<i>Governor Newsom\u2019s signature of the Delete Act enshrines California as a leader in consumer privacy and we are determined to restore consumer control over their own personal data. Data brokers possess thousands of data points on each and every one of us, and they currently sell reproductive healthcare, geolocation, and purchasing data to the highest bidder. The Delete Act protects our most sensitive information.\u201d<\/i><\/li>\n<li>January 1, 2024 \u2013 Deadline for all data brokers in California to be registered with the California Privacy Protection Agency.<\/li>\n<li>January 1, 2026 \u2013 Deadline for the California Privacy Protection Agency to provide an accessible deletion mechanism, creating a one-stop place for consumers to lodge delete requests to all data brokers holding their personal information.<\/li>\n<li>August 1, 2026 \u2013 Start date from which all data brokers in California must access the CPPA delete mechanism at least every 45 days and process all applicable delete requests.<\/li>\n<li>January 1, 2028 \u2013 Start date from which all data brokers in California must undergo a Delete Act compliance audit by an independent third party (and every three years after).<\/li>\n<\/ul>\n<h2>CPPA to establish a one-click mechanism for delete requests<\/h2>\n<p>The\u00a0<a href=\"https:\/\/cppa.ca.gov\/faq.html#faq_data_2_body\" target=\"_blank\" rel=\"noopener\">California Privacy Protection Agency has been directed to establish a one-click deletion mechanism<\/a>\u00a0by January 1, 2026, that supports Californian consumers\u2019 right to delete.<\/p>\n<p>It will allow individuals to send a single verifiable personal information delete request to the agency which will be simultaneously distributed to all data brokers in California \u2013 saving them the hassle of filing individual data privacy right requests with each data broker.<\/p>\n<p>The delete request mechanism will include an option for consumers to select specific data brokers they wish to be excluded from the request. Consumers will also be allowed to request a change to their delete request 45 days or more after their last request.<\/p>\n<h3>CPPA delete request mechanism functions<\/h3>\n<p>Under the Delete Act, the CPPA\u2019s deletion mechanism must allow a consumer to:<\/p>\n<ul>\n<li>Request the deletion of all personal information (held by data brokers) via a single request through an internet service operated by the agency \u2013 with no fee charged for the request.<\/li>\n<li>Submit a request in any language they speak; and the mechanism must also be accessible by consumers with disabilities.<\/li>\n<li>Securely submit information in one or more privacy-protecting ways determined by the CPPA; protecting a consumer if additional information is needed to complete the request; and via a mechanism to determine if an individual has made a verifiable request.<\/li>\n<li>Get help from an authorized representative to complete the request.<\/li>\n<li>Verify the status of the consumer\u2019s deletion request (or allow their authorized representative to verify the status).<\/li>\n<\/ul>\n<h2>By January 1, 2024: Data brokers in California must register with CPPA<\/h2>\n<p>The Delete Act requires all data brokers in the state to have registered with the California Privacy Protection Agency by January 1, 2024 \u2013 with the threat of fines for non-compliance.<\/p>\n<p><strong>Data brokers must meet the following data governance obligations:<\/strong><\/p>\n<ul>\n<li>Pay a registration fee (at an amount to be determined by the CPPA), which will be deposited in the\u00a0<a href=\"https:\/\/casetext.com\/statute\/california-codes\/california-civil-code\/division-3-obligations\/part-4-obligations-arising-from-particular-transactions\/title-18148-data-broker-registration\/section-17989981-effective-until-112024-data-brokers-registry-fund\" target=\"_blank\" rel=\"noopener\">Data Brokers\u2019 Registry Fund<\/a>.<\/li>\n<li>Register with CPPA again every year before January 31 with the name of the data broker; primary physical address, email address and website address; and provide reports on commercial activities related to personal information.<\/li>\n<li>Report details of the categories and types of information in data sets collected from consumers, and report whether these data sets include: personal information of minors; consumer\u2019s precise geolocation; or consumer\u2019s reproductive health care data.<\/li>\n<li>[From January 1, 2029, onwards] Report whether the data broker has undergone a compliance audit and if so, report the most recent year an audit report was submitted to the CPPA.<\/li>\n<\/ul>\n<h3>Compulsory notices on data brokers\u2019 websites<\/h3>\n<p>Data brokers must also publish information on their websites clearly explaining to consumers how they may exercise personal information privacy rights including:<\/p>\n<ul>\n<li>Rights to access, correct, delete and\/or opt out of the sale and\/or sharing of their personal information<\/li>\n<li>Rights to limit a data broker\u2019s use of sensitive personal information<\/li>\n<li>Right to know the types and categories of personal information being sold to third parties.<\/li>\n<\/ul>\n<p>A link to this information must be provided to the CPPA every year along with notices on the data broker\u2019s website about whether and to what extent the broker or any of its subsidiaries is regulated by applicable laws, such as the federal Fair Credit Reporting Act.<\/p>\n<h2>From August 1, 2026: Data brokers must access the CPPA\u2019s delete mechanism<\/h2>\n<p>Data brokers will be required to access the deletion mechanism provided by the California Privacy Protection Agency beginning August 1, 2026.<\/p>\n<p><strong>When data brokers receive any delete requests, they must:<\/strong><\/p>\n<ul>\n<li>Process all deletion requests \u2013 and delete personal information in all required cases \u2013 within 45 days of receiving the requests.<\/li>\n<li>Delete any new personal information of any consumer who made a deletion request at least once every 45 days \u2013 and not sell\/share these consumers\u2019 personal information (unless a change in request is subsequently received from a consumer).<\/li>\n<li>Notify and direct all data processors (such as contractors) and other third parties to delete all personal information in their possession of consumers who have submitted a delete request.<\/li>\n<li>Respond to denied requests by alternatively processing the request as an opt out of the sale or sharing of a consumer\u2019s personal information \u2013 and direct processors to do the same.<\/li>\n<\/ul>\n<h3>Record Keeping of Delete Requests<\/h3>\n<p>Data brokers will be required to organize, record, and disclose the following information:<\/p>\n<ul>\n<li>Average time taken to respond to delete requests each reporting period.<\/li>\n<li>Number of requests in the previous calendar organized to show the number of requests complied with or denied.<\/li>\n<li>Number of requests denied (either in whole or part) due to requests not being verifiable; not made by a consumer; called for information exempt from deletion; or denied for another reason (supported by explanation of the reason).<\/li>\n<\/ul>\n<h2>From January 1, 2028: data brokers must undergo three-yearly audits<\/h2>\n<p>Every three years from January 1, 2028, all data brokers handling the personal information of Californian consumers must undergo an audit of their activities to demonstrate compliance with the California Delete Act.<\/p>\n<p><strong>The results of each audit must be:\u00a0<\/strong><\/p>\n<ul>\n<li>Submitted to the California Privacy Protection Agency within five business days of the completion of the audit (to ensure relevancy)<\/li>\n<li>Kept for at least six years and be made available to the CPPA on request.<\/li>\n<\/ul>\n<h3>Penalties for failing to comply with California\u2019s new Delete Act laws<\/h3>\n<p>The California Privacy Protection Agency will enforce compliance with the Delete Act.\u00a0<strong>The Agency has the power to issue the following orders for fines and other expenses for the non-compliance:<\/strong><\/p>\n<ul>\n<li>$200 fine for each day a data broker failed to register with the CPPA<\/li>\n<li>An amount equal to all registration fees due during the period a data broker failed to register<\/li>\n<li>Expenses incurred by the CPPA while investigating and administrating an action<\/li>\n<li>$200 for each day a data broker failed to comply with deletion requests by not deleting personal information after receiving valid deletion requests.<\/li>\n<\/ul>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\t<div class=\"right sm\">\n\t\t\t\t<div class=\"share-it\">\n\t\t\t\t\t<strong class=\"title block uppercase\">Follow us<\/strong>\n\t\t\t\t\t<div class=\"soc-list\">\n\t\t\t\t\t\t<a href=\"https:\/\/www.linkedin.com\/company\/trustarc\/\" target=\"_blank\"><img decoding=\"async\" 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