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  • CCPA vs GDPR : Understanding Their Impact on Data Analytics

    19 mars, par Alex Carmona

    With over 400 million internet users in Europe and 331 million in the US (11% of which reside in California alone), understanding the nuances of privacy laws like the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) is crucial for compliant and ethical consumer data collection.

    Navigating this compliance landscape can be challenging for businesses serving European and Californian markets.

    This guide explores the key differences between CCPA and GDPR, their impact on data analytics, and how to ensure your business meets these essential privacy requirements.

    What is the California Consumer Privacy Act (CCPA) ?

    The California Consumer Privacy Act (CCPA) is a data privacy law that gives California consumers control over their personal information. It applies to for-profit businesses operating in California that meet specific criteria related to revenue, data collection and sales.

    Origins and purpose

    The CCPA addresses growing concerns about data privacy and how businesses use personal information in California. The act passed in 2018 and went into effect on 1 January 2020.

    Key features

    • Grants consumers the right to know what personal information is collected
    • Provides the right to delete personal information
    • Allows consumers to opt out of the sale of their personal information
    • Prohibits discrimination against consumers who exercise their CCPA rights

    Key definitions under the CCPA framework

    • Business : A for-profit entity doing business in California and meeting one or more of these conditions :
      • Has annual gross revenues over $25 million ;
      • Buys, receives, sells or shares 50,000 or more consumers’ personal information ; or
      • Derives 50% or more of its annual revenues from selling consumers’ personal information
    • Consumer : A natural person who is a California resident
    • Personal Information : Information that could be linked to, related to or used to identify a consumer or household, such as online identifiers, IP addresses, email addresses, social security numbers, cookie identifiers and more

    What is the General Data Protection Regulation (GDPR) ?

    The General Data Protection Regulation (GDPR) is a data privacy and protection law passed by the European Union (EU). It’s one of the strongest and most influential data privacy laws worldwide and applies to all organisations that process the personal data of individuals in the EU.

    Origins and purpose

    The GDPR was passed in 2016 and went into effect on 25 May 2018. It aims to harmonise data privacy laws in Europe and give people in the European Economic Area (EEA) privacy rights and control over their data.

    Key features

    • Applies to all organisations that process the personal data of individuals in the EEA
    • Grants individuals a wide range of privacy rights over their data
    • Requires organisations to obtain explicit and informed consent for most data processing
    • Mandates appropriate security measures to protect personal data
    • Imposes significant fines and penalties for non-compliance

    Key definitions under the GDPR framework

    • Data Subject : An identified or identifiable person
    • Personal Data : Any information relating to a data subject
    • Data Controller : The entity or organisation that determines how personal data is processed and what for
    • Data Processor : The entity or organisation that processes the data on behalf of the controller

    CCPA vs. GDPR : Key similarities

    The CCPA and GDPR enhance consumer privacy rights and give individuals greater control over their data.

    DimensionCCPAGDPR
    PurposeProtect consumer privacyProtect individual data rights
    Key RightsRight to access, delete and opt out of saleRight to access, rectify, erase and restrict processing
    TransparencyRequires transparency around data collection and useRequires transparency about data collection, processing and use

    CCPA vs. GDPR : Key differences

    While they have similar purposes, the CCPA and GDPR differ significantly in their scope, approach and specific requirements.

    DimensionCCPAGDPR
    ScopeFor-profit businesses onlyAll organisations processing EU consumer data
    Territorial ReachCalifornia-based natural personsAll data subjects within the EEA
    ConsentOpt-out systemOpt-in system
    PenaltiesPer violation based on its intentional or negligent natureCase-by-case based on comprehensive assessment
    Individual RightsNarrower (relative to GDPR)Broader (relative to CCPA)

    CCPA vs. GDPR : A multi-dimensional comparison

    The previous sections gave a broad overview of the similarities and differences between CCPA and GDPR. Let’s now examine nine key dimensions where these regulations converge or diverge and discuss their impact on data analytics.

    Regulatory overlap between GDPR and CCPA.

    #1. Scope and territorial reach

    The GDPR has a much broader scope than the CCPA. It applies to all organisations that process the personal data of individuals in the EEA, regardless of their business model, purpose or physical location.

    The CCPA applies to medium and large for-profit businesses that derive a substantial portion of their earnings from selling Californian consumers’ personal information. It doesn’t apply to non-profits, government agencies or smaller for-profit companies.

    Impact on data analytics

    The difference in scope significantly impacts data analytics practices. Smaller businesses may not need to comply with either regulation, some may only need to follow the CCPA, while most global businesses must comply with both. This often requires different methods for collecting and processing data in California, Europe, and elsewhere.

    #2. Penalties and fines for non-compliance

    Both the CCPA and GDPR impose penalties for non-compliance, but the severity of fines differs significantly :

    CCPAMaximum penalty
    $2,500 per unintentional violation
    $7,500 per intentional violation

    “Per violation” means per violation per impacted consumer. For example, three intentional CCPA violations affecting 1,000 consumers would result in 3,000 total violations and a $22.5 million maximum penalty (3,000 × $7,500).

    The largest CCPA fine to date was Zoom’s $85 million settlement in 2021.

    In contrast, the GDPR has resulted in 2,248 fines totalling almost €6.6 billion since 2018 — €2.4 billion of which were for non-compliance.

    GDPRMaximum penalty
    €20 million or
    4% of all revenue earned the previous year

    So far, the biggest fine imposed under the GDPR was Meta’s €1.2 billion fine in May 2023 — 15 times more than Zoom had to pay California.

    Impact on data analytics

    The significant difference in potential fines demonstrates the importance of regulatory compliance for data analytics professionals. Non-compliance can have severe financial consequences, directly affecting budget allocation and business operations.

    Businesses must ensure their data collection, storage and processing practices comply with regulations in both Europe and California.

    Choosing privacy-first, compliance-ready analytics platforms like Matomo is instrumental for mitigating non-compliance risks.

    #3. Data subject rights and consumer rights

    The CCPA and GDPR give people similar rights over their data, but their limitations and details differ.

    Rights common to the CCPA and GDPR

    • Right to Access/Know : People can access their personal information and learn what data is collected, its source, its purpose and how it’s shared
    • Right to Delete/Erasure : People can request the deletion of their personal information, with some exceptions
    • Right to Non-Discrimination : Businesses can’t discriminate against people who exercise their privacy rights

    Consumer rights unique to the CCPA

    • Right to Opt Out of Sale : Consumers can prohibit the sale of their personal information
    • Right to Notice : Businesses must inform consumers about data collection practices
    • Right to Disclosure : Consumers can request specific information collected about them

    Data subject rights unique to the GDPR

    • Right to be Informed : Broader transparency requirements encompass data retention, automated decision-making and international transfers
    • Right to Rectification : Data subjects may request the correction of inaccurate data
    • Right to Restrict Processing : Consumers may limit data use in certain situations
    • Right to Data Portability : Businesses must provide individual consumer data in a secure, portable format when requested
    • Right to Withdraw Consent : Consumers may withdraw previously granted consent to data processing
    CCPAGDPR
    Right to Access or Know
    Right to Delete or Erase
    Right to Non-Discrimination
    Right to Opt-Out
    Right to Notice
    Right to Disclosure
    Right to be Informed
    Right to Rectification
    Right to Restrict Processing
    Right to Data Portability
    Right to Withdraw Consent

    Impact on data analytics

    Data analysts must understand these rights and ensure compliance with both regulations, which could potentially require separate data handling processes for EU and California consumers.

    #4. Opt-out vs. opt-in

    The CCPA generally follows an opt-out model, while the GDPR requires explicit consent from individuals before processing their data.

    Impact on data analytics

    For CCPA compliance, businesses can collect data by default if they provide opt-out mechanisms. Failing to process opt-out requests can result in severe penalties, like Sephora’s $1.2 million fine.

    Under GDPR, organisations must obtain explicit consent before collecting any data, which can limit the amount of data available for analysis.

    #5. Parental consent

    The CCPA and GDPR have provisions regarding parental consent for processing children’s data. The CCPA requires parental consent for children under 13, while the GDPR sets the age at 16, though member states can lower it to 13.

    Impact on data analytics

    This requirement significantly impacts businesses targeting younger audiences. In Europe and the US, companies must implement different methods to verify users’ ages and obtain parental consent when necessary.

    The California Attorney General’s Office recently fined Tilting Point Media LLC $500,000 for sharing children’s data without parental consent.

    #6. Data security requirements

    Both regulations require businesses to implement adequate security measures to protect personal data. However, the GDPR has more prescriptive requirements, outlining specific security measures and emphasising a risk-based approach.

    Impact on data analytics

    Data analytics professionals must ensure that data is processed and stored securely to avoid breaches and potential fines.

    #7. International data transfers

    Both the CCPA and GDPR address international data transfers. Under the CCPA, businesses must only inform consumers about international transfers. The GDPR has stricter requirements, including ensuring adequate data protection safeguards for transfers outside the EEA.

    A world map illustration.

    Other rules, like the Payment Services Directive 2 (PSD2), also affect international data transfers, especially in the financial industry.

    PSD2 requires strong customer authentication and secure communication channels for payment services. This adds complexity to cross-border data flows.

    Impact on data analytics

    The primary impact is on businesses serving European residents from outside Europe. Processing data within the European Union is typically advisable. Meta’s record-breaking €1.2 billion fine was specifically for transferring data from the EEA to the US without sufficient safeguards.

    Choosing the right analytics platform helps avoid these issues.

    For example, Matomo offers a free, open-source, self-hosted analytics platform you can deploy anywhere. You can also choose a managed, GDPR-compliant cloud analytics solution with all data storage and processing servers within the EU (in Germany), ensuring your data never leaves the EEA.

    #8. Enforcement mechanisms

    The California Attorney General is responsible for enforcing CCPA requirements, while in Europe, the Data Protection Authority (DPA) in each EU member state enforces GDPR requirements.

    Impact on data analytics

    Data analytics professionals should be familiar with their respective enforcement bodies and their powers to support compliance efforts and minimise the risk of fines and penalties.

    #9. Legal basis for personal data processing

    The GDPR outlines six legal grounds for processing personal data :

    • Consent
    • Contract
    • Legal obligation
    • Vital interests
    • Public task
    • Legitimate interests

    The CCPA doesn’t explicitly define lawful bases but focuses on consumer rights and transparency in general.

    Impact on data analytics

    Businesses subject to the GDPR must identify and document a valid lawful basis for each processing activity.

    Compliance rules under CCPA and GDPR

    Complying with the CCPA and GDPR requires a comprehensive approach to data privacy. Here’s a summary of the essential compliance rules for each framework :

    Key compliance points under CCPA and GDPR.

    CCPA compliance rules

    • Create clear and concise privacy policies outlining data collection and use practices
    • Give consumers the right to opt-out
    • Respond to consumer requests to access, delete and correct their personal information
    • Implement reasonable security measures for consumers’ personal data protection
    • Never discriminate against consumers who exercise their CCPA rights

    GDPR compliance rules

    • Obtain explicit and informed consent for data processing activities
    • Implement technical and organisational controls to safeguard personal data
    • Designate a Data Protection Officer (DPO) if necessary
    • Perform data protection impact assessments (DPIAs) for high-risk processing activities
    • Maintain records of processing activities
    • Promptly report data breaches to supervisory authorities

    Navigating the CCPA and GDPR with confidence

    Understanding the nuances of the CCPA and GDPR is crucial for businesses operating in the US and Europe. These regulations significantly impact data collection and analytics practices.

    Implementing robust data security practices and prioritising privacy and compliance are essential to avoid severe penalties and build trust with today’s privacy-conscious consumers.

    Privacy-centric analytics platforms like Matomo enable businesses to collect, analyse and use data responsibly and transparently, extracting valuable insights while maintaining compliance with both CCPA and GDPR requirements.

    no credit card required

  • Protecting consumer privacy : How to ensure CCPA compliance

    18 août 2023, par Erin — CCPA, Privacy

    The California Consumer Privacy Act (CCPA) is a state law that enhances privacy rights and consumer protection for residents of California. 

    It grants consumers six rights, like the right to know what personal information is being collected about them by businesses and others. 

    CCPA also requires businesses to provide notice of data collection practices. Consumers can choose to opt out of the sale of their data. 

    In this article, we’ll learn more about the scope of CCPA, the penalties for non-compliance and how our web analytics tool, Matomo, can help you create a CCPA-compliant framework.

    What is the CCPA ? 

    CCPA was implemented on January 1, 2020. It ensures that businesses securely handle individuals’ personal information and respect their privacy in the digital ecosystem. 

    How does CCPA compliance add value

    CCPA addresses the growing concerns over privacy and data protection ; 40% of US consumers share that they’re worried about digital privacy. With the increasing amount of personal information being collected and shared by businesses, there was a need to establish regulations to provide individuals with more control and transparency over their data. 

    CCPA aims to protect consumer privacy rights and promote greater accountability from businesses when handling personal information.

    Scope of CCPA 

    The scope of CCPA includes for-profit businesses that collect personal information from California residents, regardless of where you run the business from.

    It defines three thresholds that determine the inclusion criteria for businesses subject to CCPA regulations. 

    Businesses need to abide by CCPA if they meet any of the three options :

    1. Revenue threshold : Have an annual gross revenue of over $25 million.
    2. Consumer threshold : Businesses that purchase, sell or distribute the personal information of 100,000 or more consumers, households or devices.
    3. Data threshold : Businesses that earn at least half of their revenue annually from selling the personal information of California residents.

    What are the six consumer rights under the CCPA ? 

    Here’s a short description of the six consumer rights. 

    The six rights of consumers under CCPA
    1. Right to know : Under this right, you can ask a business to disclose specific personal information they collect about you and the categories of sources of the information. You can also know the purpose of collection and to which third-party the business will disclose this info. This allows consumers to understand what information is being held and how it is used. You can request this info for free twice a year.
    2. Right to delete : Consumers can request the deletion of their personal information. Companies must comply with some exceptions.
    3. Right to opt-out : Consumers can deny the sale of their personal information. Companies must provide a link on their homepage for users to exercise this right. After you choose this, companies can’t sell your data unless you authorise them to do so later.
    4. Right to non-discrimination : Consumers cannot be discriminated against for exercising their CCPA rights. For instance, a company cannot charge different prices, provide a different quality of service or deny services.
    5. Right to correct : Consumers can request to correct inaccurate personal information.

    6. Right to limit use : Consumers can specify how they want the businesses to use their sensitive personal information. This includes social security numbers, financial account details, precise geolocation data or genetic data. Consumers can direct businesses to use this sensitive information only for specific purposes, such as providing the requested services.

    Penalties for CCPA non-compliance 

    52% of organisations have yet to adopt CCPA principles as of 2022. Non-compliance can attract penalties.

    Section 1798.155 of the CCPA states that any business that doesn’t comply with CCPA’s terms can face penalties based on the consumer’s private right to action. Consumers can directly take the company to the civil court and don’t need prosecutors’ interventions. 

    Businesses get a chance of 30 days to make amends for their actions. 

    If that’s also not possible, the business may receive a civil penalty of up to $2,500 per violation. Violations can be of any kind, even accidental. An intentional violation can attract a fine of $7,500. 

    Consumers can also initiate private lawsuits to claim damages that range from $100 to $750, or actual damages (whichever is higher), for each occurrence of their unredacted and unencrypted data being breached on a business’s server.

    CCPA vs. GDPR 

    Both CCPA and GDPR aim to enhance individuals’ control over their personal information and provide transparency about how their data is collected, used and shared. The comparison between the CCPA and GDPR is crucial in understanding the regulatory framework of data protection laws.

    Here’s how CCPA and GDPR differ :

    Scope

    • CCPA is for businesses that meet specific criteria and collect personal information from California residents. 
    • GDPR (General Data Protection Regulation) applies to businesses that process the personal data of citizens and residents of the European Union.

    Definition of personal information

    • CCPA includes personal information broadly, including identifiers such as IP addresses and households. Examples include name, email id, location and browsing history. However, it excludes HIPAA-protected medical data, clinical trial data and other personal information from government records.
    • GDPR covers any personal data relating to an identified or identifiable individual, excluding households. Examples include the phone number, email address and personal identification number. It excludes anonymous and deceased person’s data.
    Personal information definition under CCPA and GDPR

    Consent

    • Under the CCPA, consumers can opt out of the sale of their personal information.
    • GDPR states that organisations should obtain explicit consent from individuals for processing their personal data.

    Rights

    • CCPA grants the right to know what personal information is being collected and the right to request deletion of their personal information.
    • GDPR also gives individuals various rights, such as the right to access and rectify their personal data, the right to erasure (also known as the right to be forgotten) and also the right to data portability. 

    Enforcement

    • For CCPA, businesses may have to pay $7,500 for each violation. 
    • GDPR has stricter penalties for non-compliance, with fines of up to 4% of the global annual revenue of a company or €20 million, whichever is higher.

    A 5-step CCPA compliance framework 

    Here’s a simple framework you can follow to ensure compliance with CCPA. Alongside this, we’ll also share how Matomo can help. 

    Matomo is an open-source web analytics platform trusted by organisations like the United Nations, NASA and more. It provides valuable insights into website traffic, visitor behaviour and marketing effectiveness. More than 1 million websites and apps (approximately 1% of the internet !) use our solution, and it’s available in 50+ languages. Below, we’ll share how you can use Matomo to be CCPA compliant.

    1. Assess data

    First, familiarise yourself with the California Consumer Privacy Act and check your eligibility for CCPA compliance. 

    For example, as mentioned earlier, one threshold is : purchases, receives or sells the personal data of 100,000 or more individuals or households

    But how do you know if you have crossed 100K ? With Matomo ! 

    Go to last year’s calendar, select visitors, then go to locations and under the “Region” option, check for California. If you’ve crossed 100K visitors, you know you have to become CCPA compliant.

    View geolocation traffic details in Matomo

    Identify and assess the personal information you collect with Matomo.

    2. Evaluate privacy practices

    Review the current state of your privacy policies and practices. Conduct a thorough assessment of data sharing and third-party agreements. Then, update policies and procedures to align with CCPA requirements.

    For example, you can anonymise IP addresses with Matomo to ensure that user data collected for web analytics purposes cannot be used to trace back to specific individuals.

    Using Matomo to anonymize visitors' IP addresses

    If you have a consent management solution to honour user requests for data privacy, you can also integrate Matomo with it. 

    3. Communicate 

    Inform consumers about their CCPA rights and how you handle their data.

    Establish procedures for handling consumer requests and obtaining consent. For example, you can add an opt-out form on your website with Matomo. Or you can also use Matomo to disable cookies from your website.

    Screenshot of a command line disabling cookies

    Documenting your compliance efforts, including consumer requests and how you responded to them, is a good idea. Finally, educate staff on CCPA compliance and their responsibilities to work collaboratively.

    4. Review vendor contracts

    Assessing vendor contracts allows you to determine if they include necessary data processing agreements. You can also identify if vendors are sharing personal information with third parties, which could pose a compliance risk. Verify if vendors have adequate security measures in place to protect the personal data they handle.

    That’s why you can review and update agreements to include provisions for data protection, privacy and CCPA requirements.

    Establish procedures to monitor and review vendor compliance with CCPA regularly. This may include conducting audits, requesting certifications and implementing controls to mitigate risks associated with vendors handling personal data.

    5. Engage legal counsel

    Consider consulting with legal counsel to ensure complete understanding and compliance with CCPA regulations.

    Finally, stay updated on any changes or developments related to CCPA and adjust your compliance efforts accordingly.

    Matomo and CCPA compliance 

    There’s an increasing emphasis on privacy regulations like CCPA. Matomo offers a robust solution that allows businesses to be CCPA-compliant without sacrificing the ability to track and analyse crucial data.

    You can gain in-depth insights into user behaviour and website performance — all while prioritising data protection and privacy. 

    Request a demo or sign up for a free 21-day trial to get started with our powerful CCPA-compliant web analytics platform — no credit card required. 

    Disclaimer

    We are not lawyers and don’t claim to be. The information provided here is to help give an introduction to CCPA. We encourage every business and website to take data privacy seriously and discuss these issues with your lawyer if you have any concerns.

  • Virginia Consumer Data Protection Act (VCDPA) Guide

    27 septembre 2023, par Erin — Privacy

    Do you run a for-profit organisation in the United States that processes personal and sensitive consumer data ? If so, you may be concerned about the growing number of data privacy laws cropping up from state to state.

    Ever since the California Consumer Privacy Act (CCPA) came into effect on January 1, 2020, four other US states — Connecticut, Colorado, Utah and Virginia — have passed their own data privacy laws. Each law uses the CCPA as a foundation but slightly deviates from the formula. This is a problem for US organisations, as they cannot apply the same CCPA compliance framework everywhere else.

    In this article, you’ll learn what makes the Virginia Consumer Data Protection Act (VCDPA) unique and how to ensure compliance.

    What is the VCDPA ?

    Signed by Governor Ralph Northam on 2 March 2021, and brought into effect on 1 January 2023, the VCDPA is a new data privacy law. It gives Virginia residents certain rights regarding how organisations process their personal and sensitive consumer data.

    The VCDPA explained

    The law contains several provisions, which define :

    • Who must follow the VCDPA
    • Who is exempt from the VCDPA
    • The consumer rights of data subjects
    • Relevant terms, such as “consumers,” “personal data,” “sensitive data” and the “sale of personal data”
    • The rights and responsibilities of data controllers
    • What applicable organisations must do to ensure VCDPA compliance

    These guidelines define the data collection practices that VCDPA-compliant organisations must comply with. The practices are designed to protect the rights of Virginia residents who have their personal or sensitive data collected.

    What are the consumer rights of VCDPA data subjects ?

    There are seven consumer rights that protect residents who fit the definition of “data subjects” under the new Virginia data privacy law. 

    VCDPA consumer rights

    A data subject is an “identified or identifiable natural person” who has their information collected. Personally identifiable information includes a person’s name, address, date of birth, religious beliefs, immigration status, status of child protection assessments, ethnic origin and more.

    Below is a detailed breakdown of each VCDPA consumer right :

    1. Right to know, access and confirm personal data : Data subjects have the right to know that their data is being collected, the right to access their data and the right to confirm that the data being collected is accurate and up to date.
    2. Right to delete personal data : Data subjects have the right to request that their collected personal or sensitive consumer data be deleted.
    3. Right to correct inaccurate personal data : Data subjects have the right to request that their collected data be corrected.
    4. Right to data portability : Data subjects have the right to obtain their collected data and, when reasonable and possible, request that their collected data be transferred from one data controller to another.
    5. Right to opt out of data processing activity : Data subjects have the right to opt out of having their personal or sensitive data collected.
    6. Right to opt out of the sale of personal and sensitive consumer data : Data subjects have the right to opt out of having their collected data sold to third parties.

    Right to not be discriminated against for exercising one’s rights : Data subjects have the right to not be discriminated against for exercising their right to not have their personal or sensitive consumer data collected, processed and sold to third parties for targeted advertising or other purposes.

    Who must comply with the VCDPA ?

    The VCDPA applies to for-profit organisations. Specifically, those that operate and offer products or services in the state of Virginia.

    Who the VCDPA applies to

    Additionally, for-profit organisations that fit under either of these two categories must comply with the VCDPA :

    • Collect and process the personal data of at least 100,000 Virginia residents within a financial year or
    • Collect and process the personal data of at least 25,000 Virginia residents and receive at least 50% of gross revenue by selling personal or sensitive data.

    If a for-profit organisation resides out of the state of Virginia and falls into one of the categories above, they must comply with the VCDPA. Eligibility requirements also apply, regardless of the revenue threshold of the organisation in question. Large organisations can avoid VCDPA compliance if they don’t meet either of the above two eligibility requirements.

    What types of consumer data does the VCDPA protect ?

    The two main types of data that apply to the VCDPA are personal and sensitive data. 

    Types of VCDPA data

    Personal data is either identified or personally identifiable information, such as home address, date of birth or phone number. Information that is publicly available or has been de-identified (dissociated with a natural person or entity) is not considered personal data.

    Sensitive data is a category of personal data. It’s data that’s either the collected data of a known child or data that can be used to form an opinion about a natural person or individual. Examples of sensitive data include information about a person’s ethnicity, religion, political beliefs and sexual orientation. 

    It’s important that VCDPA-compliant organisations understand the difference between the two data types, as failure to do so could result in penalties of up to $7,500 per violation. For instance, if an organisation wants to collect sensitive data (and they have a valid reason to do so), they must first ask for consent from consumers. If the organisation in question fails to do so, then they’ll be in violation of the VCDPA, and may be subject to multiple penalties — equal to however many violations they incur.

    A 5-step VCDPA compliance framework

    Getting up to speed with the terms of the VCDPA can be challenging, especially if this is your first time encountering such a law. That said, even organisations that have experience with data privacy laws should still take the time to understand the VCDPA.

    VCDPA compliance explained

    Here’s a simple 5-step VCDPA compliance framework to follow.

    1. Assess data

    First off, take the time to become familiar with the Virginia Consumer Data Protection Act (VCDPA). Then, read the content from the ‘Who does the VCDPA apply to’ section of this article, and use this information to determine if the law applies to your organisation.

    How do you know if you reach the data subject threshold ? Easy. Use a web analytics platform like Matomo to see where your web visitors are, how many of them (from that specific region) are visiting your website and how many of them you’re collecting personal or sensitive data from.

    To do this in Matomo, simply open the dashboard, look at the “Locations” section and use the information on display to see how many Virginia residents are visiting your website.

    Matomo lets you easily view your visitors by region

    Using the dashboard will help you determine if the VCDPA applies to your company.

    2. Evaluate your privacy practices

    Review your existing privacy policies and practices and update them to comply with the VCDPA. Ensure your data collection practices protect the confidentiality, integrity and accessibility of your visitors.

    One way to do this is to automatically anonymise visitor IPs, which you can do in Matomo — in fact, the feature is automatically set to default. 

    ip address anonymity feature

    Another great thing about IP anonymisation is that after a visitor leaves your website, any evidence of them ever visiting is gone, and such information cannot be tracked by anyone else. 

    3. Inform data subjects of their rights

    To ensure VCDPA compliance in your organisation, you must inform your data subjects of their rights, including their right to access their data, their right to transfer their data to another controller and their right to opt out of your data collection efforts.

    That last point is one of the most important, and to ensure that you’re ready to respond to consumer rights requests, you should prepare an opt-out form in advance. If a visitor wants to opt out from tracking, they’ll be able to do so quickly and easily. Not only will this help you be VCDPA compliant, but your visitors will also appreciate the fact that you take their privacy seriously.

    To create an opt-out form in Matomo, visit the privacy settings section (click on the cog icon in the top menu) and click on the “Users opt-out” menu item under the Privacy section. After creating the form, you can then customise and publish the form as a snippet of HTML code that you can place on the pages of your website.

    4. Review vendor contracts

    Depending on the nature of your organisation, you may have vendor contracts with a third-party business associate. These are individuals or organisations, separate from your own, that contribute to the successful delivery of your products and services.

    You may also engage with third parties that process the data you collect, as is the case for many website owners that use Google Analytics (to which there are many alternatives) to convert visitor data into insights. 

    Financial institutions, such as stock exchange companies, also rely on third-party data for trading. If this is the case for you, then you likely have a Data Processing Agreement (DPA) in place — a legally binding document between you (the data controller, who dictates how and why the collected data is used) and the data processor (who processes the data you provide to them).

    To ensure that your DPA is VCDPA compliant, make sure it contains the following items :

    • Definition of terms
    • Instructions for processing data
    • Limits of use (explain what all parties can and cannot do with the collected data)
    • Physical data security practices (e.g., potential risks, risk of harm and control measures)
    • Data subject rights
    • Consumer request policies (i.e., must respond within 45 days of receipt)
    • Privacy notices and policies

    5. Seek expert legal advice

    To ensure your organisation is fully VCDPA compliant, consider speaking to a data and privacy lawyer. They can help you better understand the specifics of the law, advise you on where you fall short of compliance and what you must do to become VCDPA compliant.

    Data privacy lawyers can also help you draft a meaningful privacy notice, which may be useful in modifying your existing DPAs or creating new ones. If needed, they can also advise you on areas of compliance with other state-specific data protection acts, such as the CCPA and newly released laws in Colorado, Connecticut and Utah.

    How does the VCDPA differ from the CCPA ?

    Although the VCDPA has many similarities to the CCPA, the two laws still have their own approach to applying the law. 

    Here’s a quick breakdown of the main differences that set these laws apart.

    Definition of a consumer

    Under the VCDPA, a consumer is a “natural person who is a Virginia resident acting in an individual or household context.” Meanwhile, under the CCPA, a consumer is a “natural person who is a California resident acting in an individual or household context.” However, the VCDPA omits people in employment contexts, while the CCPA doesn’t. Hence, organisations don’t need to consider employee data.

    Sale of personal data

    The VCDPA defines the “sale of personal data” as an exchange “for monetary consideration” by the data controller to a data processor or third party. This means that, under the VCDPA, an act is only considered a “sale of personal data” if there is monetary value attached to the transaction.

    This contrasts with the CCPA, where that law also counts “other valuable considerations” as a factor when determining if the sale of personal data has occurred.

    Right to opt out

    Just like the CCPA, the VCDPA clearly outlines that organisations must respond to a user request to opt out of tracking. However, unlike the CCPA, the VCDPA does not give organisations any exceptions to such a right. This means that, even if the organisation believes that the request is impractical or hard to pull off, it must comply with the request under any circumstances, even in instances of hardship.

    Ensure VCDPA compliance with Matomo

    The VCDPA, like many other data privacy laws in the US, is designed to enhance the rights of Virginia consumers who have their personal or sensitive data collected and processed. Fortunately, this is where platforms like Matomo can help.

    Matomo is a powerful web analytics platform that has built-in features to help you comply with the VCDPA. These include options like :

    Try out the free 21-day Matomo trial today. No credit card required.