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Data Privacy and Cybersecurity Look Ahead : First Half of 2025 Stoel Rives Global Privacy Security Blog

The New Year Brings Changes in State Privacy Laws

The start of a new year often brings about significant changes in various aspects of life, including politics and legislation. As the new Congress convened on January 3, 2025, and a new administration takes office on January 20th, many state legislatures have reconvened to address pressing issues, including privacy laws. In this article, we will delve into the changes that have taken place in state privacy laws, highlighting the new general privacy laws that have gone into effect.

General Privacy Laws in Effect

Several states have enacted general privacy laws that protect individuals’ personal data and online activities.

The new chair would oversee the implementation of the proposed bills. However, the Senate did not confirm the new chair until 2023, and the bills did not pass.

The Fading Light of Bipartisan Legislation

The American Privacy Rights Act of 2024 and the American Data Privacy and Protection Act (2022) were two comprehensive, bipartisan bills that aimed to establish a robust framework for protecting consumer privacy in the digital age.

The Importance of Data Broker Registration

In the digital age, data brokers play a crucial role in collecting, processing, and selling consumer data. These entities often operate in the shadows, collecting and selling data without transparency or accountability. However, with the growing awareness of data protection and consumer rights, regulatory bodies are stepping in to ensure that data brokers operate within the bounds of the law.

The Role of Regulatory Bodies

Regulatory bodies, such as the California Consumer Privacy Act (CCPA) and the Vermont Data Broker Registration Act, are playing a vital role in shaping the data broker industry. These bodies are responsible for creating and enforcing regulations that protect consumer data and ensure transparency in data collection and usage.

Key Provisions of the Regulations

  • The CCPA requires data brokers to register with the California Attorney General’s office within 30 days of the effective date of the regulation. The Vermont Data Broker Registration Act requires data brokers to register with the Vermont Secretary of State’s office within 90 days of the effective date of the regulation. Oregon requires data brokers to register with the Oregon Attorney General’s office by December 1, ### The Necessity of Operationalizing Consumer Rights*
  • The Necessity of Operationalizing Consumer Rights

    The regulations emphasize the importance of operationalizing consumer rights. This means that businesses must take concrete steps to ensure that consumers have control over their data and can exercise their rights to access, correct, and delete their data.

    Key Steps for Businesses

  • Develop a data protection policy that outlines the steps taken to protect consumer data. Provide clear and transparent information about data collection and usage practices. Offer consumers the ability to access, correct, and delete their data.

    This highlights the importance of implementing biometric authentication systems to protect sensitive data.

    The Importance of Biometric Authentication

    A Growing Concern for State Regulators

    Biometric authentication has become a crucial aspect of data protection, particularly in the healthcare sector. The use of biometric data, such as fingerprints, facial recognition, and iris scans, has gained significant attention in recent years. This technology has the potential to revolutionize the way we approach data security, but it also raises concerns about privacy and consent.

    Key Benefits of Biometric Authentication

  • Enhanced Security: Biometric authentication provides an additional layer of security, making it more difficult for hackers to access sensitive data. Increased Efficiency: Biometric authentication can automate the login process, reducing the need for manual authentication methods. Improved User Experience: Biometric authentication can provide a more seamless and convenient user experience, as users do not need to remember complex passwords. ## The Role of the FTC in Biometric Authentication**
  • The Role of the FTC in Biometric Authentication

    A Regulatory Framework

    The Federal Trade Commission (FTC) plays a significant role in regulating biometric authentication systems.

    Companies will be required to assess and report on the potential risks associated with their AI systems, such as job displacement, bias, and privacy issues. This will involve the regulation of AI-powered chatbots and virtual assistants, like those used in customer service and healthcare. These systems will need to demonstrate transparency, accountability, and explainability, providing users with clear information about the decisions made by the AI.

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