CCPA penalties and enforcement
CCPA stands for the California consumer privacy act. It is a piece of privacy law that applies to most businesses that process the personal data of California residents. The CCPA gives California residents a certain amount of control over the personal data that businesses collect about them. Only Californians have rights under the CCPA, even if they are temporarily out of state. Non-compliance with the CCPA could result in a number of harmful consequences to your business.
Penalty number 1 Fines
Non-compliance with the California consumer privacy act can lead to fines. The fines are usually up to $100 to 750$ per infringement. The state can enforce fines up to $2,500 per breach for businesses that unintentionally violate the CCPA. Fines of $7,500 can also be enforced on businesses that intentionally violate the act.These fines may not seem like much but remember, most thriving businesses have a lot of customers. Fines like these apply per individual so even if a business has 10 transactions with customers that violate the CCPA it can still add up to a hefty sum.
Penalty number 2 lawsuits
Consumers can take legal action up to $750 per incident or the amount of monetary damages they actually suffered.These damages can be pursued individually or as part of a class action lawsuit. For example a violation involving the personal data of 10,000 consumers could result in statutory damages claims of $1 million and $7.5 million. Furthermore consumers can sue for certain data breaches like access to their personal info or failure to implement security.
Penalty number 3 Reputational damage
Aside from legal penalties, Non compliance can lead to serious reputational harm. We are in a time where data privacy is of the greatest importance, being seen as an unsecure company can harm your relationship with your consumers. If your company doesn’t protect data rights it can affect brand loyalty as well.
Non compliance with CCPA can lead to a number of problems and negative consequences. Being compliant can prevent your business and cloud services having to face those results.Choose Itasc when trying to achieve CCPA readiness. We have years of experience and will monitor your cloud practices 24/7 to ensure they will stay compliant. Contact us today.