Analysis of Applicability of Data Protection Law in California, USA

Exception for Data Processing Outside Jurisdiction

The California Consumer Privacy Act (CCPA) provides an exemption for data processing activities that occur entirely outside the jurisdiction of California. According to CCPA 1798.145(a)(7), a business is not restricted from collecting, selling, or sharing a consumer's personal information if every aspect of that commercial conduct takes place wholly outside of California.

Requirements for Exemption

To qualify for this exemption, the following conditions must be met:

• The business must have collected the information while the consumer was outside of California.
• No part of the sale of the consumer's personal information occurred in California.
• No personal information collected while the consumer was in California is sold.

Definition of Commercial Conduct

Commercial conduct is defined as the collection, sale, or sharing of personal information for commercial purposes. This includes activities such as auditing, debugging, and performing services on behalf of the business.

Definition of Personal Information

Personal information is defined as information that identifies, relates to, describes, is reasonably capable of being associated with, or could reasonably be linked, directly or indirectly, with a particular consumer or household. This includes identifiers, characteristics of protected classifications, commercial information, biometric information, internet or other electronic network activity information, geolocation data, and inferences drawn from any of this information.

Conclusion

In conclusion, the CCPA provides an exemption for data processing activities that occur entirely outside the jurisdiction of California. To qualify for this exemption, businesses must meet specific requirements, including collecting information while the consumer is outside of California and not selling or sharing personal information collected while the consumer was in California. Understanding these requirements is crucial for businesses to ensure compliance with the CCPA and avoid any potential penalties.