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Financial Services Law Insights and Observations

Certain business and employment CCPA exemptions extended to 2022

State Issues CCPA Privacy/Cyber Risk & Data Security State Legislation

State Issues

On September 29, the California governor signed AB 1281, which extends certain exemptions under the California Consumer Privacy Act (CCPA) from January 1, 2021 to January 1, 2022. As previously covered by InfoBytes, the CCPA—enacted in June 2018 (covered by a Buckley Special Alert) and amended several times—became effective January 1, and provides consumers several rights regarding their personal information that is held by a business. Specifically, the exemptions at issue in AB 1281 apply to “information collected by a business about a natural person in the course of the natural person acting as a job applicant, employee, owner, director, officer, medical staff member, or contractor, as specified.” The exemptions also apply to certain personal information used in communications or transactions between a business and a consumer if the “consumer is a natural person who is acting as an employee, owner, director, officer, or contractor of a company, partnership, sole proprietorship, nonprofit, or government agency and whose communications or transaction with the business occur solely within the context of the business conducting due diligence regarding, or providing or receiving a product or service to or from that company, partnership, sole proprietorship, nonprofit, or government agency.” However, the act will only take effect if a ballot proposition does not pass during the November statewide general election.

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