The California legislature passed the California Consumer Privacy Act (“CCPA”), making significant changes to the state’s consumer data privacy law.
Arguably the most expansive set of privacy requirements in U.S. history, the CCPA will apply to any for-profit businesses in California that directly or indirectly collects consumers’ personal information.
It can potentially apply to large brokerages and real estate sales operations. It takes effect January 1, 2020.
CCPA applies to businesses that meet one of three conditions:
- Annual gross revenues of $25 million or more; or
- Derives half or more of its revenues from the sale of consumer data; or
- Annually buys, sells, shares or receives for its commercial purposes, the personal information of 50,000 or more consumers, households or devices.
Most individual real estate agents will not meet any of the thresholds. However, many brokers and agents with websites that garner as little as 137 visitors per day will. As a result, the CCPA will touch the business of virtually every CA sales agent.
Personal Data under the CCPA
The CCPA defines personal information broadly to include information that can identify or relate to a particular consumer or household. The statute provides a list of categories of personal information, including but not limited to:
- Identifiers such as real name, alias, postal address, unique personal identifier, online identifier, internet protocol (IP) address, email address, account name, social security number, driver’s license number, passport number, or other similar identifiers;
- Characteristics of protected classifications under California or federal law;
- Commercial information, including records of personal property, products, or services purchased, obtained, or considered, or other purchasing or consuming histories or tendencies;
- Biometric information;
- Internet or other electronic network activity information, including, but not limited to, browsing history, search history, and information regarding a consumer’s interaction with an internet website, application, or advertisement;
- Geolocation data;
- Audio, electronic, visual, thermal, olfactory, or similar information;
- Professional or employment-related information;
- Education information, defined as information that is not publicly available personally identifiable information as defined in the Family Educational Rights and Privacy Act (FERPA); and
- Inferences drawn from any of the information identified in this subdivision to create a profile about a consumer reflecting the consumer’s preferences, characteristics, psychological trends, predispositions, behavior, attitudes, intelligence, abilities, and aptitudes.
Consumer Rights and Requirements for Covered Businesses
The CCPA grants consumers the right to know what personal data is being collected about them, to know if their data is being sold or disclosed, to opt out of the sale, to demand access to their data and to request deletion of their data. Further, the CCPA expressly prohibits discrimination by businesses against consumers who exercise these rights, and any agreements where the consumer waives or limits these rights are made unenforceable.
Among other requirements, business will be required to provide additional information about the specific data collected and how it is used upon a consumer’s request.
CAR has created a new CCPA advisory (CAR Form CCPA), which should be used with any listing agreement or purchase agreement.
Intero is finalizing the implementation of various systems and processes that will make its agents compliant with these new regulations.
For more information, please visit https://oag.ca.gov/privacy/ccpa