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US State Privacy Laws

U.S. data privacy has entered a new era. Historically, the data privacy legal landscape has been dominated by sector-specific legislation, such as the Graham-Leach-Bliley Act and Health Insurance Portability and Accountability Act, often with a focus on cybersecurity or preventing misuse of certain types of personal information. The California Consumer Privacy Act was the first comprehensive (i.e., broad sweeping) state data privacy law added to this U.S. regulatory framework that focused on consumer protection. Since its adoption, various state-level regulatory and legislative activity has been building momentum. Today, several states have enacted or are continuing to develop comprehensive data privacy laws with requirements that apply across nearly all business sectors. Understanding the scope, applicability, and requirements of these state data privacy laws are more crucial than ever for companies operating in the U.S.  Read our individual overviews of currently enacted comprehensive state data privacy laws to learn more.

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EU/UK-U.S data privacy framework approved

On 10 July 2023, the European Commission reached an "adequacy decision" under the European Union General Data Protection Regulation (GDPR), approving transfers of personal data to organisations located in the United States that will be certified under the newly-established Trans-Atlantic Data Privacy Framework (DPF) agreed between the U.S. and the EU.This long-awaited decision replaces the EU-U.S. "Privacy Shield", which was invalidated by the Court of Justice of the European Union (CJEU) in the Schrems 2 case in 2020

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Data

When does pseudonymized data stop being personal data?

Building on existing case law from the Court of Justice of the European Union (CJEU), a recent judgment from the General Court provides useful guidance as regards the concept of 'personal data' and provides comfort to organizations disclosing pseudonymized data to third-party recipients.

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Data

AEPD tries to clarify previous decision on inclusion of worker in company's WhatsApp groups

This decision caused quite a stir in the Spanish data protection community, primarily because the AEPD offered only brief and generic reasoning in its decision, creating doubt as to the legal basis for this type of processing. This resulted in the AEPD receiving an enquiry from the privacy sector , asking it, , to identify the legitimate grounds for creating WhatsApp groups in the work environment.

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Data

China Finalises Standard Contract on Cross-Border Transfer of Personal Information

The PRC Data Laws set out the supervisory approach of PRC regulators to different data- and PI- related matters. One of the key focuses for multinational companies that are subject to the PRC Data Laws is compliance with PRC regulatory requirements on international transfer of PI (i.e., exporting and/or receiving China-sourced PI, including by way of remote access), given the potential widespread implications on their global business and data management systems.

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The UK's Data Protection and Digital Information Bill – Further Reform on the Horizon

The UK’s Data Protection and Digital Information Bill (Bill) was laid before the UK Parliament on 18 July 2022, marking a significant step in the post-Brexit reform of the UK’s data protection regime. This long take analyses key aspects of the Bill and highlights areas that are likely to be the focus of engagement on potential further reform. To assist stakeholders in understanding the changes to legislation proposed by the draft Data Protection and Digital Information Bill, Clifford Chance has produced PDF redlines (called 'Keeling Schedules') of the UK GDPR, the Data Protection Act 2018 and the Privacy and Electronic Communications (EC Directive) Regulations 2003.

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Data

The case for a risk-based approach to data transfers: Clifford Chance and DLA Piper publish joint paper arguing for proportionality

The leading European data protection teams at Clifford Chance and DLA Piper have collaborated on a joint paper setting out the case for a proportionate approach to conducting risk assessments of international transfers of personal data.

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Data

Data Privacy: Preparing for 2023 (and beyond) in California

As 2023 approaches, a flurry of activity in California means big changes in the year ahead for data privacy. New obligations, an expanded scope of covered data, increasing enforcement, and scant regulations all mean it’s a good time for companies processing the personal information of California residents to make sure they’re prepared for the new year. Read ahead for insights into what’s coming and strategies for compliance, including Frequently Asked Questions.

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Data Centre Trends 2023

The data centre industry is poised for growth in 2023 due to increased demand from businesses. However, factors such as higher costs, a slowing economy, new capacity challenges and increased regulation due to sustainability concerns about energy and water consumption, will impact growth. The pandemic has fueled the growth of the global data centre market, projected to reach 235 billion euros by 2026 with a projected Compound Annual Growth Rate of 4.5%. Companies must consider the latest tech trends when selecting a data centre partner or colocation provider.

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Data

Monitoring in the workplace: direction of travel

Monitoring employees in the workplace is not new but the methods by which this is achieved, the workplace itself and relevant regulatory regimes are continually evolving. The UK's Information Commissioner's Office (ICO) has published for consultation draft Guidance on Monitoring at Work. Coincidentally, in the same week the international press reported a Dutch case in which the courts awarded an employee in the region of €75,000 after being dismissed for refusing an instruction to keep his webcam on for the entire duration he was logged on to his work PC.

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Data Flows in a Modern World

Data flows are the lifeblood of trade in digital services. Despite this, a growing number of jurisdictions are restricting cross-border data flows and implementing localisation requirements, often in the name of data sovereignty. There are two facets to this issue: data localisation and data transfer regimes, which we consider in this article

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Tech

Digital trade: an evolving concept and legal landscape

The concept of "digital trade" does not have a universally recognised definition. It is commonly used to refer to both the online trade in goods and services and the physical trade in goods that is enabled though digital means (such as electronic customs clearance technology, enterprise freight management software or blockchain). For example, the OECD defines digital trade as "digitally enabled transactions of trade in goods and services that can either be digitally or physically delivered".

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Data

Beyond adequacy: working together to ease multi-jurisdictional privacy compliance

International trade in digital goods and services relies on the sharing of data across borders. As an increasing number of countries introduce and update data protection laws, complying with requirements across jurisdictions is becoming increasingly complex. Cross-border data governance is a significant, and seemingly ever-growing, cost of doing business.

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The Data Act: A proposed new framework for data access and porting within the EU

The proposed Regulation seeks to redefine rules and practices on data access and use in order to foster data (re)use.

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Next steps after U.S. President Biden issues Executive Order on U.S. data transfers from 'qualified states'

On 7 October 2022, U.S. President Joe Biden issued an Executive Order "On Enhancing Safeguards for United States Signals Intelligence Activities" (the Order) to effectuate the preliminary agreement between U.S. President Biden and European Commission President Ursula von der Leyen for promoting trans-Atlantic data flows. The Order does not establish a mechanism for transfers of personal data from the EEA to the U.S., but is expected to pave the way for an adequacy decision from the European Commission in due course, which would permit such trans-Atlantic personal data flows.

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E-Privacy check-in: where we are, and where we're headed

Are we any closer to EU institutions reaching an agreement on the final regulation text

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US Data Laws Focus

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Colorado joins California and Virginia with a comprehensive data privacy law

The Colorado Privacy Act (CPA) will give Colorado consumers certain rights with respect to their personal data. The new law will go into effect on 1 July 2023

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Connecticut Data Privacy Act Becomes Nation's Fifth State Privacy Law, Setting Stricter Standards

The Act is the latest stitch in the patchwork of state and federal privacy laws that is growing ever more complex. And as has become a trend, while the law shares many similarities with its counterparts in other states, the Act also has certain unique provisions that companies that do business in Connecticut will need to carefully consider before the law goes into effect on July 1, 2023

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Utah Becomes Fourth State To Pass Consumer Privacy Act, First With Republican-Controlled House And Senate

On March 24, 2022, Utah Governor Spencer Cox signed the Utah Consumer Privacy Act into law, making Utah the fourth state to pass a comprehensive consumer privacy law

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US Lawmakers Release Draft of Comprehensive Federal Data Privacy Bill

On June 3, 2022, a coalition of lawmakers from the United States House and Senate released a discussion draft of the American Data Privacy and Protection Act ("ADDPA). The 64-page bill represents a crucial bipartisan and bicameral compromise1 to give Americans unprecedented rights over their data.

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One "Fine" Day? Insights from the first fine issued by the California Attorney General under the CCPA

On August 24, 2022, the California Attorney General (CAG) announced a $1.2 million settlement with Sephora to resolve allegations that the consumer goods retailer violated the California Consumer Privacy Act (CCPA) by failing to disclose to consumers that it was selling their personal information. The settlement is notable not only because it is the first civil penalty issued under the statute, but also because it confirms a broad interpretation of what constitutes a "sale" of personal information under the law and the requirement for websites to respond to global privacy controls.

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Virginia passes the Consumer Data Protection Act

2021 is projected to be a pivotal year in privacy legislation and the year is off to a fast start. On2nd March, the Commonwealth of Virginia became the first state to enact a comprehensive consumer privacy law in 2021. The Virginia Consumer Data Protection Act draws heavily from the California Consumer Privacy Act and the EU General Data Protection Regulation and will impose significant new obligations on certain companies that process personal information of Virginia residents. The new law will go into effect in 2023.

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Upcoming events

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30 April: AI Series: Regulating AI – examining global developments (online)

This session will look at the global development of regulatory frameworks for AI, including emerging trends and diverging approaches being taken in different jurisdictions. This will include the EU’s AI Act, US developments at federal and state level, the UK perspective and the measures being taken in China to tackle regulation of generative AI and deepfakes.

Time:  08:00 EDT / 13:00 BST / 14:00 CEST / 20:00 HKT

To Register, please complete the online registration form.

Video recordings Video recordings are available following each session and can be accessed on the Clifford Chance Client Portal and the Financial Markets Toolkit