Employee Rights Rolled Into California’s New Consumer Privacy Act – What Employers Should Know

California has enacted the California Consumer Privacy Act of 2018, establishing the strictest data privacy law in the United States. Recent amendments provide a one-year partial exemption for personal information that is collected from job applicants, employees, business owners, directors, officers, medical staff or contractors. However, qualifying employers are still required to provide certain disclosures and are still liable for statutory damages if unencrypted, sensitive employee data is breached as a result of a failure to implement reasonable security measures.

The following is a CCPA checklist for employers:

·      Determine whether the CCPA applies to your business.

·      Inform key decision-makers about the CCPA and appoint privacy compliance manager.

·      Conduct data mapping of employee personal information.

·      Draft an employee-specific disclosure document.

·      Ensure that the employee disclosure is provided at or prior to the collection of employee personal information (including all applicants).

·      Ensure that all contracts with service providers with access to employee personal information include robust information security and privacy provisions.

·      Ensure compliance with other privacy, security and data protection and disposal laws.

For more detailed information on this topic, please see our Alert.

Artificial Intelligence Errors Potentially Heralding Litigation and Regulation?

When we think of artificial intelligence (AI), we often think of machine learning and decision-making that far surpasses that thinking of mere humans.  Many jobs once employed by humans now are being handled by AI, which over time can prove to be less expensive, and causing greater productivity and accuracy in terms of performing job tasks.  But is AI truly a panacea?  Not so fast.  Some problems reportedly have emerged. Continue reading “Artificial Intelligence Errors Potentially Heralding Litigation and Regulation?”

A Light Touch When It Comes to Federal Regulation of Self-Driving Cars

Technology tends to explode out of the box at warp speed, with laws addressing new technology trying to catch up at a comparative glacial pace. There are various reasons for the slow pace of legal regulation. Often the impacts and ultimate consequences of new technology are not immediately known. In addition, it takes time for lawmakers to truly understand new technology before they can even contemplate how to go about regulation. And in certain instances, lawmakers want certain technologies to have the opportunity to grow and flourish unfettered by legal restrictions. Continue reading “A Light Touch When It Comes to Federal Regulation of Self-Driving Cars”

Patents Created by Artificial Intelligence?

Machine learning is increasing exponentially. As a result, artificial intelligence (AI) now is powering many aspects of our lives. If you ask Siri or Alexa, they will tell you that AI computers are performing surgeries, flying planes, driving cars and winning at games. What’s next?

What’s next might include inventions created by AI. Indeed, several months ago, the Director of the United States Patent and Trademark Office (PTO) sought public comments on this topic.

Continue reading “Patents Created by Artificial Intelligence?”

Potential Amendments To CDA Section 230 Relating to Immunity Provided To Internet Intermediaries

In 1996, Congress enacted Section 230 of the Communications Decency Act (CDA) to provide Internet service intermediaries with general immunity from liability with respect to third-party content posted on their sites. Congress wanted the commercial Internet to flourish, with great benefits to the U.S. economy, and therefore did not want Internet intermediaries to be burdened with the phenomenally costly task of having to monitor and referee third-party content.

Calls for Section 230 Reform

Of course, as we know, the commercial Internet has flourished since 1996 to the advantage of the U.S. economy, and some of the biggest and most valuable U.S. companies are Internet intermediaries that host third-party content. But there have been some complaints about the immunity provided by virtue of Section 230. For example, there have been complaints that some Internet intermediaries should have been and should be more active in monitoring and removing false information posted on their sites that is designed to influence political elections. In the wake of these complaints, there have been suggestions that Section 230 is ripe for potential amendments.

Continue reading “Potential Amendments To CDA Section 230 Relating to Immunity Provided To Internet Intermediaries”

Oregon Senator Proposes Robust Federal Privacy Legislation

Frustrated by privacy lapses by US companies, Democrat Senator Ron Wyden of Oregon has introduced proposed federal legislation referred to as the Mind Your Own Business Act (the Act). If enacted, this law could put serious teeth into efforts to protect consumer data.

Serious Penalties for Noncompliance

Indeed, the Act could cause certain executives to find themselves in prison for as many as twenty years if their companies are found to have lied to legal authorities about improper use of consumers’ personal information. On top of that, the Act could lead to such companies incurring special tax penalties corresponding to executives’ salaries.

If this were not enough, the Act would empower the Federal Trade Commission with the ability to fine companies for violating this law up to four percent of corporate annual revenues. For some companies, this could amount to fines in the billions of dollars. Continue reading “Oregon Senator Proposes Robust Federal Privacy Legislation”

CCPA Update: Proposed Regulations Published by Attorney General

The Office of the Attorney General has released the long-anticipated proposed CCPA regulations. The proposed regulations outline procedures intended to facilitate consumers’ new rights under the CCPA and provide compliance guidance to businesses regarding:

  1. Notices businesses must provide to consumers under the CCPA;
  2. Handling consumer requests made pursuant to the CCPA;
  3. Verifying the identity of the consumer making those requests;
  4. Personal information of minors; and
  5. Nondiscrimination and offering of financial incentives.

Please see our Alert for a detailed discussion of the proposed regulations.

CCPA Amendments Signed by Gov. Newsom

Governor Gavin Newsom signed five CCPA amendment bills into law on Friday, October 11, 2019.  He also signed an amendment broadening the California breach notification law and a new law which creates a data broker registry for the sale of certain personal information.  The event marked the culmination of the California Legislature’s efforts this year to clarify the terms and scope of the CCPA, which takes effect on January 1, 2020.

A summary of these laws and their impact may be found in our previous Alert.

Stay tuned to the Duane Morris TechLaw Blog for developments regarding the CCPA and its implementation.

Supreme Court Passes on Challenge to Extension of Title III to Websites and Mobile Apps

On October 7, 2019, the Supreme Court of the United States issued an order denying certiorari in Domino’s Pizza, LLC v. Robles, a case that would have required the Supreme Court to determine the application of Title III of the Americans with Disabilities Act (ADA) to websites and mobile applications. The Supreme Court’s order means a Ninth Circuit decision applying Title III to websites and mobile apps will stand, even in the absence of Department of Justice-promulgated regulations outlining applicable compliance standards.

On September 1, 2016, Guillermo Robles, who is visually impaired, filed suit in the U.S. District Court for the Central District of California. He alleged that Domino’s website and mobile app were incompatible with his chosen screen-reading software, and thus violated Title III of the ADA, among other statutes. Domino’s moved for summary judgment, in part on the basis that Title III of the ADA does not extend to its website or mobile app. The District Court found that Title III did apply to Domino’s website and app, but granted summary judgment on the grounds that imposing liability on Domino’s without clear standards for satisfying Title III obligations would violate the company’s due process rights. Robles then appealed.

View the full Alert on the Duane Morris LLP website.

Nevada Privacy Law Takes Effect October 1: Is Your Company Compliant?

The newest Nevada privacy law, SB 220, is about to become operative on October 1, 2019, and will require website operators to provide consumers with the right to opt out of the sale of their personal information. The definition of what constitutes a “sale” is fairly narrow and includes several broad exclusions. Therefore, this opt-out provision is likely to apply only in narrow circumstances. However, businesses that may be covered by this new law will need to complete the following items prior to October 1:

  1. Determine whether the law applies to your business.
  2. Confirm compliance with existing consumer notice requirements.
  3. Establish a designated request address where consumers may submit a verified request to opt out of the sale of their covered information.
  4. Develop policies, procedures and processes for verifying and responding to requests within 60 days.

Please see our Alert for a detailed discussion of this law and when it applies.

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The opinions expressed on this blog are those of the author and are not to be construed as legal advice.

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