Applicability of Data Protection Law in Florida to Organizations Doing Business in the Jurisdiction

The factor of "doing business in the jurisdiction" is used in the Florida Digital Bill of Rights to define the scope of applicability. This factor ensures that organizations with a commercial presence or targeting products and services to residents in Florida are subject to the state's data protection regulations.

Text of Relevant Provisions

FDPA Sec.501.703(1):

"This part applies only to a person who: (a) Conducts business in this state or produces a product or service used by residents of this state; and (b) Processes or engages in the sale of personal data."

Analysis of Provisions

The Florida Digital Bill of Rights extends its applicability to entities based on their commercial activities within the state. Sec.501.703(1) explicitly sets forth conditions under which the law applies:

• Commercial Presence: The FDPA applies to any person or entity "that conducts business in this state" or "produces a product or service used by residents of this state." This broad definition ensures that any entity with significant commercial activities in Florida falls within the scope of the law.
• Data Processing and Sale: The provision specifies that the law applies to entities that "processes or engages in the sale of personal data." This means that businesses involved in handling personal data, whether for processing purposes or commercial transactions, are subject to the FDPA.

These criteria are intended to focus the law's applicability on entities with significant data processing activities, ensuring that smaller entities are not unduly burdened while still protecting a substantial number of consumers.

The inclusion of this factor reflects a legislative intent to safeguard the privacy of Florida residents by regulating entities that either have a significant operational presence in the state or actively target Florida residents with their products or services. This ensures that consumer data is protected regardless of whether the data processing occurs within or outside state boundaries.

Implications

For Businesses and Data Processors:

• Extended Compliance: Entities operating or targeting residents in Florida must comply with the FDPA if they meet the specified criteria. This includes adhering to data protection standards and implementing appropriate measures for consumer data protection.
• Regulatory Oversight: The Florida Attorney General's office is responsible for enforcing compliance with the FDPA, ensuring that businesses adhere to the stipulated data protection requirements.
• Case Examples:
  • A national retailer with a significant number of customers in Florida must comply with the FDPA if it processes or sells personal data of residents.
  • An online service provider targeting Florida residents and engaging in the sale of personal data must comply with the FDPA.
• Compliance Challenges: Businesses must navigate the complexities of the FDPA, including updating privacy policies, implementing data subject rights, and ensuring data security measures are in place.

By defining "persons that conduct business in this state" and targeting products or services to residents, the Florida Digital Bill of Rights ensures robust consumer privacy protections for residents, extending its reach to both local and out-of-state entities that engage significantly with Florida consumers.