With many businesses shifting from a co-located to a remote workforce in March, and with no clear return to work timeline in places, there are several things that have fallen off your company's radar. Don't let California Consumer Protection Act (CCPA) be one of them. Enforcement for CCPA regulations began on July 1, 2020, and could cost your business time, money and undue stress if you're not prepared. Here's why you should enlist ZipComply to ensure compliance and help to avoid the steep penalties that can be incurred due to CCPA enforcement.
How can my company become liable according to CCPA regulations?
Any consumer who requests to know how their personal data is being stored or used and who believes that a business is not compliant with the CCPA regulations may report them to the California Attorney General’s office. A government inquire will then take the necessary steps to determine whether the claim(s) are true, be in touch with the offending business and give them 30 days to become compliant. If the Attorney General’s office does not undertake these steps within six months, the consumer has the right to take their own legal steps and sue for damages—a situation particularly likely if a security breach occurs, like with the Equifax situation of 2017.
What are the fines for violating CCPA regulations?
Damages range from $100-750 per consumer per incident and can include additional relief. When many companies have thousands of individuals’ data, that can add up very quickly especially in a class action suit scenario.
What are the civil penalties from CCPA?
Civil penalties enforced by the California Attorney General’s office will range from $2,500 for an unintentional breach or up to $7,500 for an intentional violation of the legislation. In some cases, companies will have 30 days from the date of being informed of the issue to make changes to ensure compliance, at which point the company must take action to avoid having the pay the fine and possibly more down the road.