Update Applicable to:
All businesses that produce or deliver commercial products or services that are intentionally targeted to Colorado residents and collect data of consumers in the state of Colorado
On March 15, 2023, the Colorado Attorney General’s Office finalized rules implementing the Colorado Privacy Act (“CPA”). The finalized rules were released with an official redline that reflects prior revisions of the rules dated December 21, 2022, January 27, 2023, and February 23, 2023.
What are the details?
Effective July 1, 2023, The Colorado Privacy Act applies to “controllers” that conduct business in Colorado or produce or deliver commercial products or services that are intentionally targeted to Colorado residents and that either (1) control or process the personal data of 100,000 or more consumers during a calendar year or (2) derive revenue or receive a discount on the price of goods or services from the sale of personal data and process or control the personal data of 25,000 or more consumers.
The law defines “consumers” to mean Colorado residents acting only in an individual or household context. It does not include Colorado residents acting in a commercial or employment context.
When determining whether the law applies, businesses should note that the CPA does not have a monetary threshold for applicability similar to the California Consumer Privacy Act’s (CCPA) $25,000,000 annual gross revenue threshold. Further, the law’s 100,000/25,000 consumer thresholds apply to personal data that is either controlled or processed. The CPA defines “process” to include not only data collection, but also its storage. In other words, businesses will need to be mindful of counting the data that they currently store, not just what they collect on an annual basis.
Below are some hyperlinks provided by one of our sources, Husch-Blackwell, which provides more information on specific subjects regarding this new law:
For more information, please see the links below:
What do employers need to do? Employers should review the links provided above and should review their data collection policies to ensure they will be in compliance with the law by July 1, 2023
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