Connecticut Passes Comprehensive Data Privacy Legislation

by | Aug 8, 2022

Connecticut has joined Colorado, Utah California, and Virginia in approving an all-inclusive new data privacy rule that sets accountabilities for organizations that obtain and process the personal information of state locals and gives people new rights. The Connecticut Data Privacy Act (Senate Bill 6) had been approved in the Senate 35-0 and in Congress 144-5 and is currently with the Connecticut Governor Ned Lamont for signing. The new privacy legislation will take effect on July 1, 2023.

The new legislation creates a system for handling and processing the personal information of state citizens, establishes privacy protection specifications for information controllers and processors, and gives state residents rights with respect to the gathering and usage of their personal data. Consumers will be granted the right to gain access to their personal records kept by an organization, acquire a copy of that data, and correct any issues. Consumers can additionally choose to be forgotten and to have their personal information erased. Consumers could likewise decide to opt-out of the handling of their personal information for targeted promotion, selected vending of personal records, and profiling in the advancement of decisions that create legal or identical considerable impacts regarding consumers.

The new rule carefully showcases the Colorado Privacy Act (CPA) and also the Virginia Consumer Data Protection Act (CDPA), with the extent of the legislation slipping somewhere between the two. The rule will be applicable to organizations that maintain the data of over 100,000 consumers or all those that obtain 25% or higher of their yearly earnings from the sale of information of greater than 25,000 individuals, with the protections better in comparison with those of Virginia and Utah, although falling short of the privacy legislation in Colorado.

The new rule consists of a conclusion on the right to cure, on December 31, 2024. Therefore, from July 1, 2023 up to December 31, 2024, companies discovered to violate the Connecticut Data Privacy Act are going to have the option to take corrective measures to handle the sections of noncompliance and steer clear of a financial penalty or even other sanctions. The taking away of the right to cure must urge organizations to adhere to the new regulation.

A number of entities will be excused from adhering to the Connecticut Data Privacy Act: state and local authorities, charitable organizations, national securities groups listed under the Securities Exchange Act of 1934, fiscal companies subject to the Gramm-Leach-Bliley Act, together with covered entities and business associates covered by the Health Insurance Portability and Accountability Act. There are furthermore exclusions for particular data types, like data controlled by FERPA, HIPAA, Fair Credit Reporting Act, the Airline Deregulation Act, The Driver’s Privacy Protection Act and Farm Credit Act.

Conformity with the Connecticut Data Privacy Act will be enacted by the Connecticut Attorney General. A standing working team will be put together to examine arising issues that the law can be modified to address.

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