What happened?

On August 28, 2024, the California Assembly passed AB 3048, which would enable consumers to send an opt-out preference signal. The bill is awaiting the governor’s signature (or veto).

What are the details?

Key Bites:

• Opt-Out Preference Signal: Businesses must develop or maintain browsers and mobile operating systems that allow consumers to send an opt-out preference signal to businesses they interact with.

• Prohibition on Non-Compliant Browsers: The bill prohibits businesses from developing or maintaining browsers that do not include a setting enabling consumers to send an opt-out preference signal to businesses they interact with.

• Prohibition on Non-Compliant Mobile Operating Systems: 6 months after the adoption of certain regulations by the agency, businesses are prohibited from developing or maintaining mobile operating systems that do not include a setting enabling consumers to send an opt-out preference signal to businesses they interact with.

• Regulatory Authority: The California Privacy Protection Agency (CPPA) is authorized to adopt regulations to implement and administer these provisions, including updating definitions of browsers and mobile operating systems to address changes in technology, data collection, obstacles to implementation, or privacy concerns.

Business Considerations

• Employers should prepare to ensure that their browsers include a setting that enables consumers to send an opt-out preference signal to businesses they interact with. The same will apply to mobile operating systems.
• Employers should stay informed about updates from the CPPA regarding the implementation and administration of these provisions.
• Employers should be proactive in updating their privacy policies and practices.

Source References

• CA AB 3048
• California Privacy and AI Legislation Update: September 2, 2024 (Husch Blackwell LLP)
• New CA Law Mandates Support for Opt-Out Signals (TrueVault, Inc.)

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