Protecting Consumer Privacy in California: The CCPA and Cookie Consent Requirements Explained

The California Consumer Privacy Act (CCPA) is a data privacy regulation that came into effect on January 1, 2020, to protect the personal information of California residents.

It requires businesses like yours to allow users to opt out of personal information processing. At the same time, it provides consumers with increased transparency, control, and security over their personal data.

It is important to note that the CCPA does not apply to every business. CCPA applies only to for-profit companies that collect and process consumer personal information and conduct business in California if the business meets at least one of the following criteria:

1. Have annual gross revenue of more than $25 million
2. Processes personal information of at least 50,000 Californians annually
3. Earns at least 50% of the annual income from selling consumers' personal information

If your business does not meet these requirements, the CCPA does not apply to you, and you are not required to provide privacy notices. But if you do meet these requirements, keep reading.

Do Businesses Need to Obtain Cookie Consent For CCPA Cookie Compliance?

The simple answer is - no. You can send cookies and other tracking technologies to your website visitors’ devices without asking anyone and still comply with the CCPA and CPRA. They do not require opt-in consent for website cookies.

The only exception is the collection of the personal information of minors. If you reasonably know you are collecting children’s data, you must ask their parents or guardians for explicit user consent. These consent requirements apply even if you collect data such as IP address or any other unique identifier of a child online.

However, businesses must provide a notice of collection, which can be achieved using a cookie banner on their website. A cookie banner serves as a notice of the collection and informs users about the website's data collection practices, including using cookies.

CCPA Notice of Collection

One of the most important CCPA and CPRA requirements actually is the notice of collection. A business provides disclosure to inform consumers about the categories of personal information collected and the purposes for which the information will be used. The collection notice must be provided at or before the point of collection and should be easy to read and understand.

In most online business scenarios, this means serving the notice when the user lands on your webpage. And the most common way to serve them with such a notice is a cookie consent banner. Only, this time, it won’t request consent. It will only inform consumers that you use cookies.

According to the CCPA, this simple cookie notice on collection must contain the following elements:

1. A list of categories of personal information collected by the business
2. The purposes for which the personal information will be used
3. A description of the consumer's rights, including the right to know, the right to delete, the right to opt-out, and the right to non-discrimination
4. A link to the business's privacy policy or a statement indicating that the privacy policy can be found at the provided link
5. The link must lead to the specific privacy policy section where this information is provided. It must not lead to the beginning of the privacy policy and leave the user to search for the required information.
6. If the business sells or shares personal information, a link titled "Do Not Sell or Share My Personal Information" allows consumers to opt out.
   

How Does CCPA Compare to GDPR Requirements on Cookie Consent?

CCPA and GDPR are quite different regarding cookies consent.

The General Data Protection Regulation of the EU requires an explicit opt-in, which means that you must not use cookies or other trackers until the consumer agrees. GDPR-compliant businesses must show the user a pop-up cookie banner, ask for freely given, specific, unambiguous, and informed consent, and keep the response records.

Moreover, the cookie consent manager shall allow users to customize cookie preferences in the preference center.

CCPA, on the other hand, requires businesses only to tell consumers that they use cookies. That’s all. No need to request permission to use any kind of cookies.

Consumers can opt out by clicking the “Do Not Sell My Personal Information” link, requesting the deletion of their data, or limiting the use of sensitive data.

Get a CCPA-Compliant Cookie Banner Notice on Collection with Secure Privacy

Secure Privacy is a CCPA cookie consent service provider that helps businesses create and implement a CCPA-compliant cookie banner notice on collection. By using Secure Privacy, businesses can ensure their cookie banners meet the CCPA requirements and provide users with the necessary information to make informed decisions about their personal data.

Features and benefits of using Secure Privacy for cookie banner notices on the collection include:

1. Customizable cookie banners: Secure Privacy allows businesses to design and customize their cookie banners to match their website's look and feel, ensuring a seamless user experience.
2. Automatic cookie scanning: Secure Privacy's solution automatically scans your website to identify and categorize cookies, ensuring compliance with the CCPA's notice on collection requirements.
3. Easy implementation: Secure Privacy provides a simple, step-by-step process to create and implement a CCPA-compliant cookie banner notice on the collection, making it easy for businesses to comply with the regulation.
4. Comprehensive support: Secure Privacy offers expert guidance and support to help businesses navigate the complexities of CCPA compliance and ensure their cookie banners meet regulatory requirements.
5. Regular updates: Secure Privacy continuously updates its platform to stay current with any changes to the CCPA or other privacy regulations, ensuring ongoing compliance for your business.
   

How to Implement a CCPA-Compliant Cookie Banner Notice on Collection with Secure Privacy

To create and implement a CCPA-compliant cookie banner notice on collection with Secure Privacy, follow these steps:

1. Sign up for a Secure Privacy account.
2. Customize your cookie banner to match your website's design.
3. Set up automatic cookie scanning to identify and categorize cookies on your website.
4. Implement the generated code snippet on your website.
5. Monitor your compliance status and make any necessary adjustments.
   

FAQ on CCPA Cookie Consent Service

Here are some of the most common questions related to CCPA cookie consent services:

Do we need to record CCPA cookie consent? You don’t need to collect or record cookie consent unless you process children's personal information. The privacy protection of children requires obtaining explicit consent for using cookies or other trackers.

Do we need a cookie consent manager to comply with the CCPA? You need a cookie consent manager for CCPA compliance. If you process the personal information of minors, then you need to collect and log consent. Otherwise, it will help you only to serve the notice of collection.

Does CCPA cookie compliance mean we comply with other US states’ data privacy laws, such as Colorado, Virginia, and Connecticut? Although CCPA cookie requirements are similar to those in other US states, it is best to take a state-by-state approach to cookie compliance. That’s the safe road to avoiding penalties and reputation loss.

What are Global Privacy Controls (GPC), and must we comply with these signals? Global Privacy Control is a mechanism that informs websites that users opt out of the sale or sharing of their personal information. The California Attorney General first mentioned it, and now it has been part of the most recent CCPA regulations.

California is the only state or country worldwide that explicitly requires compliance with such signals regarding consumer data.

How to allow consumers to opt out of the sale of personal information? You can let your consumers opt out of the sale of their personal information by providing a link, “Do Not Sell or Share My Personal Information,” on the banner of your website.

Honoring GPC opt-out signals is a valid way to honor an opt-out request. To comply with GPC signals, you should implement a mechanism on your website to detect and respect these signals when received from a user's browser or device.

Final Thoughts

In conclusion, CCPA compliance regarding cookies is less stringent than GDPR, requiring businesses to inform users about their cookie usage rather than seeking explicit consent. However, staying up-to-date with privacy regulations and using tools like Secure Privacy to ensure compliance with the CCPA and other data privacy laws is crucial.