The strongest data privacy law in the country may be about to get sharper teeth, and lobbyists representing the tech industry think it’s a disastrous idea.
Companies that amass user data could be the target of mass class-action litigation from California consumers if they’re accused of violating the California Consumer Privacy Act, under a proposed amendment to the law filed Feb. 22.
The measure would allow consumers to sue such companies, including Facebook Inc. and Google Inc., for monetary damages should they be accused of breaking the law. If approved, the measure would dramatically raise the stakes of adhering to the statute and shape the conversation around federal regulations being considered by Congress.
In its unaltered form, the statute would give violators a 30-day window to “cure” any alleged malfeasance before facing consequences mostly limited to regulatory penalties.
This proposal eliminates that “get out of jail free card” if plaintiffs are suing for monetary damages, as described by the bill’s sponsor, Senator Hannah-Beth Jackson, a Democrat from Santa Barbara.”The tech industry, by its very nature, has been very much opposed to any form of regulation,” she said in an interview about the CCPA. “It’s an industry that’s reincarnated the Wild West; no rules, no limits, no regulation. We’ve reached the tipping point.”