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On June 30, 2023, the California Superior Court hearing Cal. Chamber of Commerce v. Cal. Privacy Prot. Agency, No. 34-2023-8004106 (Cal. Sup. Ct.) held that the California Privacy Protection Agency cannot enforce the regulations ...
On June 30, 2023, the California Superior Court (Court) hearing
Cal. Chamber of Commerce v. Cal. Privacy Prot. Agency, No.
34-2023-8004106 (Cal. Sup. Ct.) held that the California Privacy
Protection Agency cannot enforce the regulations it issued on March
29, 2023 until next year, specifically March 29, 2024.
The regulations are the fruit of the California Privacy Rights
Act of 2020 (Act). The Act established new standards regarding the
collection, retention, and use of consumer data and created the
California Privacy Protection Agency (Agency) to implement and
enforce the law. The Act required the Agency to adopt final
regulations required by the Act by July 1, 2022 and stated
"administrative enforcement ... shall not commence until July
1, 2023." Ca. Civ. Code § 1798.185.
The Agency did not approve their first set of regulations until
March 29, 2023 (eight months late). These regulations only covered
twelve of the fifteen areas contemplated by Section 1798.185. The
Agency had previously stated its intention to begin enforcing the
first set of regulations as soon as July 1, 2023.
The California Chamber of Commerce filed an action and sought a
Court order compelling the Agency to adopt final regulations and
commanding the Agency to refrain from enforcing the Act within one
year of adoption. The Court agreed that the Agency was untimely in
its publication of the final regulations and that voters intended
for enforcement not to begin for one year following the
Agency's promulgation of final regulations to allow
"sufficient time for affected businesses to become compliant
with the regulations." The Court stayed the enforcement of any
Agency regulation implemented pursuant to Subdivision (d) for 12
months after that individual regulation is implemented.
The Court rejected Petitioners request for an order requiring a
stay of any enforcement of any CCPA regulation until the CPPA had
finalized all the regulations required by the CPPA.
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