New Jersey SB 332
Today, consumers are more concerned than ever about how companies handle their personal information, what outside vendors their information is shared with, and whether their information is sold. In response, several U.S. states have enacted legislation to protect consumer information and ensure the proper management of sensitive data. Among these laws is New Jersey’s Senate Bill (SB) 332, which marks a significant step in the state’s commitment to privacy and places it among the adopters of comprehensive privacy legislation.
Which businesses need to comply with SB 332?
SB 332 applies to organizations that control or process data of at least 100,000 individuals, or that maintain data of at least 25,000 individuals while generating revenue from that information. Unlike some other states, New Jersey specifically excludes data processing “solely for the purpose of completing a transaction” from coverage. In addition, the bill does not specify a percentage requirement for the revenue thresholds.
What are the key provisions of SB 332?
- Attorney General Rulemaking: SB 332 grants the New Jersey Attorney General the authority to issue rules related to privacy compliance
- Sensitive Personal Data: The bill defines sensitive personal data to include financial information, setting it apart from many other state laws
- Universal Opt-Out-mechanism (UOOM): Businesses processing personal data shall allow consumers to exercise the right to opt-out of such processing through a user-selected universal opt-out mechanism.
- Consent Requirements for Minors: The bill requires consent from children between the ages of 13 and 16 for the processing of their data, emphasizing the protection of young users.
- Privacy Impact Assessments: Organizations must conduct privacy impact assessments before engaging in processing activities
Impact on businesses
Businesses in New Jersey should closely monitor the progress of this bill and begin implementing the proposed requirements now – it is never a bad idea to have a good privacy framework in place that builds trust with your customers. Good compliance starts with good preparation!
