Nevada recently voted to amend its existing privacy law, Nevada Revised Statutes: Chapter 603A (“NRS 603A”). This comes on the heels of California’s landmark new law, the California Consumer Privacy Act, more commonly referred to as the “CCPA”, which you can read about here. Starting on October 1, 2019, SB 220 creates new obligations for owners and operators of websites or online businesses. Essentially, it grants consumers the right to restrict operators from engaging in a sale of the consumers information.
Does SB 220 apply to my business?
SB220 may apply if you own or operate a website or online service, collect “covered information” (such as name, address, phone number, etc.) from residents of Nevada, and sell that information to another party. Keep in mind, while some exceptions exist, a “sale” is broadly defined as the exchange of information for monetary gain.
If your business has a website that collects personal information from visitors, and you sell such information to third parties, you will likely be affected by SB 220.
How does SB 220 affect my business?
SB 220 provides consumers the right to opt-out of the sale of their covered information by submitting a request to the operator.
Currently, Nevada law requires operators to post a privacy notice that informs visitors of things like what types of information about them is collected through the website or online service, and with whom the operator might share that information, among others. Now it also requires operators to provide a way for visitors whose information is collected to submit such opt-out requests, such as a dedicated email, website or toll-free number.
The operator must respond to a request within a designated time frame, and then must not “make any sale of any covered information the operator has collected or will collect about that consumer.” The penalties for non-compliance can be severe, as the Attorney General may issue an injunction, or civil penalties of up to $5,000 per violation.
If you believe SB 220 impacts your business or if you would like more information, please contact Heather Antoine at (818) 444-4500.
