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Does the CCPA Apply to Your Business - Bite-Sized Legal #12

Does the CCPA Apply to Your Business - Bite-Sized Legal #12
By Bite-Sized Legal • Issue #12 • View online
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Now onto this week’s issue…

What is CCPA?
CCPA is the California Consumer Protection Act. Among other things, it prescribes the data protection laws for California businesses and residents.
The CCPA requires businesses to provide users with a privacy policy that contains specific elements and to let them opt out from the sale of personal data.
However, it doesn’t apply to all businesses. In fact, it doesn’t apply at all to the type of businesses indie hackers, small startups and solo entrepreneurs run.
CCPA applies only to businesses that meet at least one of the following thresholds:
  • Have annual gross revenue of more than $25M
  • Processes personal information of at least 50.000 California residents annually
  • Earns at least 50% of the annual revenue from selling consumers’ personal information.
These do not seem like small businesses. So, until you go big, forget about CCPA compliance.
So, no data protection compliance for US businesses?
Well, every US business has to comply with the CalOPPA, the California Online Privacy Protection Act.
It applies to California businesses and non-Californian businesses that process the personal data of Californians. Having in mind that a California resident may reach your website at any time, means that it likely applies to your business.
It takes very little to comply, though. All you need is a privacy policy. And that’s it, you’re compliant.
The bottom line
If you are a US individual or a US business operating only in the US, you need only a privacy policy to comply with the applicable data protection laws.
If you have users from other countries, you may need to consider compliance with their local laws as well. If not, having a simple privacy policy is just fine.
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