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Application for Proposed Ballot Measure: California Consumer Privacy Act of 2018

proposed ballot measure that would require businesses to provide annual disclosures to consumers on the collection or sale of personal information has been filed with the California Attorney General. If 365,880 signatures are obtained, it may appear on the November 2018 ballot.

The initiative is based on California’s “Shine the Light Law” which sets forth the procedures companies must follow in disclosing, upon request of a consumer, what information has been shared with third parties.  The law also contains specific language to be included in online privacy policies.

The ballot initiative would require businesses that collect and/or sell personal information to disclose that information to consumers, annually, upon request.  In addition, consumers could opt out from having their information sold or shared.

The initiative also includes exact language businesses would have to display on their websites and at a conspicuous spot near the entrance to stores.  Specifically, businesses would be required to provide a clear and conspicuous link on the business’s web home page entitled “Do Not Sell My Personal Information, Or Share it for Commercial Purposes.”  The link must lead to a stand-alone screen, window or web page, which must include only the following text:

“We sell consumers’ personal information, or share it for commercial purposes. California law allows you to tell us not to sell your personal information, or share it for commercial purposes, and we are required to offer the same goods or services at the same price, regardless of whether or not you permit us to sell your personal information, or share it for commercial purpose. If you check the box below, we will not sell your personal information or share it for commercial purposes.”

The proposed ballot measure includes several exemptions including cooperating with law enforcement, health information that is covered by HIPAA, and the sale of consumer report information.

© 2021 Faegre Drinker Biddle & Reath LLP. All Rights Reserved.National Law Review, Volume VII, Number 270
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About this Author

Katherine Armstrong, Drinker Biddle Law Firm, Washington DC, Data Privacy Attorney
Counsel

Katherine E. Armstrong is counsel in the firm’s Government & Regulatory Affairs Practice Group where she focuses her practice on data privacy issues, including law enforcement investigations, and research and analysis of big data information practices including data broker issues.

Katherine has more than 30 years of consumer protection experience at the Federal Trade Commission (FTC), where she served in a variety of roles, including most recently as a Senior Attorney in the Division of Privacy and Identity Protection.  In the Division of...

202-230-5674
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