The law was updated in line with those passed by other states seeking to protect consumers’ data.
01/25/2024 2:45 P.M.
2 minute read
New Jersey is the 13th state to finalize a law on consumer data privacy, following similar actions in California, Virginia, Indiana and several other states.
Gov. Phil Murphy signed Senate Bill 332/Assembly Bill 1971 Jan. 16. It will take effect Jan. 16, 2025.
According to a news release from Murphy, the law requires the notification to consumers of collection and disclosure of personal data by certain entities, including internet websites and online providers and the ability for consumers to opt out of that collection or disclosure.
A summary from ACA International member firm Maurice Wutscher LLP Principal Eric Rosenkoetter notes the law was amended six times before it was passed, aligning it with other states’ final laws and providing consistency for companies when adding the requirements to their compliance procedures.
Rosenkoetter reports:
“The [a]ct applies to controllers that conduct business in New Jersey or produce products or services that are targeted to New Jersey residents, and that during a calendar year either:
- control or process the personal data of at least 100,000 consumers, excluding personal data processed solely for the purpose of completing a payment transaction; or
- control or process the personal data of at least 25,000 consumers and the controller derives revenue or receives a discount on the price of any goods or services, from the sale of personal data.”
There are some exemptions in the law, including a financial institution, data, or affiliate of a financial institution that is subject to the Gramm-Leach-Bliley Act and implementing rules, for example.
The law does not include a private right of action, meaning a violation that is not resolved within 30 days of notice is an unlawful practice and the attorney may seek injunctive relief, according to Rosenkoetter.
For more updates on data privacy and other topics, dive deeper into state collection laws and practices by subscribing to ACA International’s State Guide Cohort and joining our monthly webinar series.
The next webinar, open for registration here, is at 1 p.m. CST Feb. 13.
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