Panelists Warn of Small-Business Perils in the California Consumer Privacy Act

Will January 1 start date of new law be a green light for consumer attorneys?

California’s Main Street, mom-and-pop enterprises should not be lured into a false sense of comfort by the California Consumer Privacy Act’s $25 million in annual sales threshold when the law takes effect next week, according to three panelists speaking at December 6 issues forum in Napa.

One of the panelists, John Kabateck, California state director for NFIB, said that while most small businesses will never meet the sales threshold, another component of the law, the collection of 50,000 pieces of consumer data is fraught with potential harm for small businesses.

Kabateck said the 50,000 breaks down to 137 transactions a day, which “could very well be a restaurant in Napa or a food truck in Los Angeles if they retain consumer information for use.”

Another panelist, Margaret Gladstein of Capitol Advocacy, said “a video or something that goes viral could hit that 50,000 threshold very easily even if [a small business] didn’t have the 137 hits a day. Rachel Michelin of the California Retailers Association, the third panelist, forewarned that consumer attorneys “are ready to pounce, and I think they will go after anyone they can go after to see what they can get.”

Video highlights of the panel discussion can be seen here.

Reporters and editors working on new-laws-taking-effect stories or who are making the CCPA part one of their permanent watch subjects are encouraged to give the video a view.

Keep up with the latest on California small-business at www.nfib.com/california or by following NFIB on Twitter @NFIB_CA or on Facebook @NFIB.CA

 

For more than 75 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is a nonprofit, nonpartisan, and member-driven association. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit nfib.com.


 

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