Safeguard Data: 6 GDPR vs. CCPA Comparisons
Estimated Reading Time: 19 Minutes, 15 Seconds ∙ 3,851 Words *
Imagine painstakingly building a sizeable email list of engaged subscribers, only to encounter an alarming situation where someone claims they never consented to receive your emails. Suddenly, you face the daunting prospect of fines and penalties for unintentional infringements – all because you weren’t aware of the need for additional consent. You need a comprehensive understanding of privacy and data protection regulations to safeguard your email marketing efforts. The General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) are two privacy data protection regulations that’re often mixed up. Here’re some key components of each and ways to comply with both.
But First
The GDPR is a comprehensive data protection regulation the European Union (EU) implemented in 2018. Its primary objective is strengthening and harmonizing data protection laws across EU member states while empowering folks with greater control over their data. The GDPR applies to any organization that processes folks’ data in the EU, regardless of where the organization is based. It introduces a set of rights and obligations for data controllers (organizations that determine the purposes and means of processing personal data) and data processors (entities that process personal data on behalf of data controllers).
Under the GDPR, folks have expanded rights, including the right to access their data, the right to rectify inaccuracies, the right to erasure (commonly known as the “right to be forgotten”), and the right to data portability. These rights give folks more control over their personal information and make informed decisions about its use. Organizations must implement measures to ensure the security and protection of personal data, including data breach notification obligations, which promote accountability and transparency in data handling practices. The GDPR also mandates obtaining clear and explicit consent for data processing, ensuring folks are fully aware of and consent to the processing activities. Additionally, the GDPR imposes restrictions on international data transfers, ensuring that personal data is adequately protected when it is transferred outside the EU.
The CCPA is a state-level privacy law that took effect on January 1, 2020, in California, United States. It grants California residents greater control over their personal information and imposes obligations on businesses that collect and process their data. The CCPA applies to for-profit entities that meet certain criteria, such as having an annual gross revenue above a specific threshold or handling significant amounts of personal data. It extends privacy rights to Californian consumers, enabling them to exercise control over their personal information and make informed choices about its use.
The CCPA grants consumers several key rights, including the right to know what personal information is being collected, the right to request deletion of their information, the right to opt out of the sale of their data, and the right to non-discrimination in terms of services and pricing for exercising these privacy rights. These rights empower consumers to have transparency and control over their data and protect them from unwanted data sharing and sales. The law also imposes disclosure obligations on businesses, requiring them to provide clear and accessible privacy notices that inform folks about data collection practices. Implementing processes for handling consumer requests and inquiries ensures businesses effectively respond to consumer privacy-related concerns.
The confusion between the GDPR and CCPA stems from their similarities in addressing data privacy concerns and granting folks control over their personal information. Both regulations aim to protect privacy rights and empower folks in the digital age. However, folks and businesses need to understand the scope and applicability, terminology and concepts, rights and obligations, compliance requirements, and global impact of each regulation to ensure accurate compliance and protection of privacy rights in the respective jurisdictions. Awareness of these nuances will help avoid misunderstandings and enable businesses to tailor their practices accordingly to meet the requirements of each regulation.
Scope and Applicability
The GDPR applies to all companies processing the personal data of folks within the EU, regardless of their location. It sets a broad scope and has global implications. Whether a company is based in Europe or operates outside of it, if they handle the personal data of folks residing in the EU, they are subject to the GDPR’s requirements. This regulation strongly emphasizes protecting personal data and ensuring folks have control over their information. With its extraterritorial reach, the GDPR has profoundly impacted organizations worldwide, necessitating compliance measures regardless of physical location.
The CCPA focuses on businesses collecting personal information from California residents. It applies to companies that meet specific revenue or data processing thresholds. Unlike the GDPR, which has an international reach, the CCPA is limited to businesses operating within California or having customers residing in California. But due to California’s economic significance, the CCPA’s impact extends beyond state boundaries, influencing companies’ privacy practices across the United States and even globally. Companies operating in or dealing with California residents must know CCPA’s requirements to avoid penalties and maintain customer trust.
The GDPR and CCPA share similar objectives and principles despite their different origins and geographical scopes. Both regulations aim to enhance privacy rights and give folks greater control over their personal information. They require businesses to be transparent about data collection, inform folks about their rights, and implement appropriate security measures to protect personal data. Additionally, both the GDPR and CCPA grant folks the right to access their data, request its deletion, and opt out of the sale of their information. By aligning with these regulations, companies demonstrate their commitment to privacy and build customer trust.
While there are similarities, there are big deal differences between the GDPR and CCPA. The GDPR is a comprehensive regulation with a broader scope, covering various data protection and processing aspects. It imposes stricter requirements on obtaining consent for data processing and provides specific rights for folks, such as the right to data portability. The CCPA, although less extensive, introduces a new set of data privacy rights, including the right to know what personal information is being collected and the right to opt out of the sale of personal data. And the penalties for non-compliance differ, with the GDPR carrying potentially higher fines based on global annual turnover, while the CCPA imposes fines per violation.
The GDPR and CCPA differ in their origins, geographic applicability, and specific provisions. The GDPR has a broader international reach, applying to companies processing EU folks’ data, while the CCPA is limited to businesses operating in California. However, both regulations aim to protect privacy and grant folks’ greater control over their data. Understanding their similarities and differences is crucial for businesses to ensure compliance and protect user privacy in an increasingly regulated digital landscape. By staying informed and adapting their practices accordingly, organizations can navigate the complexities of these regulations and maintain a strong commitment to data privacy and security.
Definition of Personal Data
The GDPR takes a comprehensive stance on defining personal data, encompassing all information relating to an identifiable individual. This broad definition covers diverse data, including names, addresses, email addresses, IP addresses, financial details, and even online identifiers. The GDPR’s emphasis on the potential to identify an individual ensures that protection extends to any data that, when combined, could be used to discern a person’s identity. This inclusive approach acknowledges the dynamic nature of data. It underscores the GDPR’s commitment to preserving folks’ privacy in an increasingly interconnected world where personal information holds great value and vulnerability.
The CCPA takes a narrower approach to defining personal information. It encompasses information that identifies, relates to, or could reasonably be linked to a particular consumer or household. The CCPA’s definition includes traditional identifiers like names and addresses but extends to online identifiers, browsing history, geolocation data, and professional or employment-related information. But the CCPA does have some exclusions, such as publicly available information and de-identified or aggregated data. The CCPA targets data more closely tied to individual identities or consumer interactions by focusing on information directly related to consumers or households.
Despite their distinctions, the GDPR and CCPA converge in their dedication to safeguarding folks’ privacy rights, empowering them with control over their data, and establishing a new standard for responsible and transparent data practices. With a shared mission to shield personal information from unauthorized access and use, both regulations acknowledge the paramount significance of data privacy and the imperative of shielding folks from potential harm or abuse of their data. The GDPR and CCPA seek to cultivate a sense of trust and confidence among folks regarding the handling and security of their personal information by enacting comprehensive frameworks for data protection.
The GDPR adopts a more comprehensive approach, encompassing a broader range of information and considering the potential to identify folks. It acknowledges the importance of protecting data that, alone or in combination, could lead to the identification of an individual. The CCPA takes a more specific and focused approach, targeting information directly related to or could be reasonably linked to consumers or households. This difference in definition reflects the varying priorities and approaches of the EU and California legislations in their respective data privacy frameworks; the GDPR seeks to provide a comprehensive framework for data protection across various contexts, while the CCPA aims to address specific privacy concerns within the California consumer landscape. It’s the granularity.
User Rights
The GDPR grants users a comprehensive set of rights concerning their data. These rights include the right to access their data, allowing folks to obtain confirmation as to whether their data is being processed, and to receive a copy of the data. Users also have the right to rectify any inaccuracies in their data and have their data erased, commonly known as the “right to be forgotten.” Additionally, the GDPR gives users the right to data portability, enabling them to receive their data in a structured, commonly used, and machine-readable format. Users also have the right to object to processing their data in certain circumstances.
The CCPA provides consumers with specific rights regarding their personal information. Consumers have the right to know what personal information is being collected about them, including the categories of information and the purposes for which it is used. They also have the right to request the deletion of their personal information from businesses. The CCPA grants consumers the right to opt out of the sale of their personal information, allowing them to prevent businesses from selling their data to third parties. Additionally, the CCPA prohibits businesses from discriminating against consumers who exercise their privacy rights.
While originating from different contexts, the GDPR and CCPA acknowledge the significance of empowering folks with control over their data. The GDPR’s provisions encompassing rights of access, rectification, erasure, and objection align with the CCPA’s emphasis on the right to know, the right to deletion, and the right to opt out of data sales. Together, these regulations aim to enhance transparency, control, and choice for users concerning collecting and utilizing their personal information. The GDPR and CCPA set a new standard for privacy regulations, prioritizing the protection and empowerment of folks by aligning user rights and emphasizing transparency and control.
While there are similarities, the GDPR and CCPA differ in the specific rights they grant to users. The GDPR provides additional rights, such as the right to data portability, allowing users to obtain and reuse their data. The CCPA, conversely, includes a specific provision addressing non-discrimination, prohibiting businesses from treating consumers differently based on their exercise of privacy rights. These differences reflect the legal frameworks and priorities of the EU and California regarding user rights and data protection.
The GDPR and CCPA prioritize user rights and aim to give folks control over their data. The GDPR offers comprehensive rights, including access, rectification, erasure, data portability, and objection. These rights empower folks to have a say in how their data is handled and used. The CCPA focuses on rights such as the right to know, the right to deletion, and the right to opt out of data sales. These provisions allow consumers to be informed about data practices, have their data deleted, and exercise control over the sale of their information.
Consent and Opt-In
The GDPR emphasizes obtaining explicit and informed consent from users before processing their data. It requires businesses to seek clear and affirmative action from folks, ensuring they actively agree to their data being processed. This can be achieved by ticking a checkbox, providing a signature, or any other unambiguous action that signifies consent. The GDPR also mandates that businesses provide folks with clear and easily accessible information about their data processing practices, enabling users to make informed decisions about their privacy.
The CCPA allows users to opt out of the sale of their personal information. Businesses subject to the CCPA must prominently display a “Do Not Sell My Personal Information” link on their website, allowing users to exercise their opt-out rights easily. Unlike the GDPR, which focuses on consent for processing personal data, the CCPA explicitly addresses the sale of personal information and allows users to control data usage. In addition to the opt-out right, the CCPA requires businesses to provide clear and accessible notices to folks about their data collection and sharing practices, further empowering users to make informed choices.
The GDPR and CCPA share the goal of granting users control over their personal information. They recognize the importance of ensuring folks have a say in how their data is used and shared. While the GDPR emphasizes obtaining explicit consent for data processing, the CCPA focuses on providing users with the right to opt out of the sale of their personal information. Both approaches aim to give users autonomy and choice regarding their data handling. By putting control back in the hands of users, these regulations foster a privacy-centric environment where folks can exercise their rights and preferences concerning their personal information.
The key difference between the GDPR and CCPA regarding consent and opt-ins lies in their specific requirements and scope. The GDPR’s consent requirements apply to all types of personal data processing, not just the sale of data. It sets a high standard for obtaining explicit consent and requires businesses to provide detailed information about the purposes and methods of data processing. The CCPA’s opt-out right specifically relates to the sale of personal information, and businesses must provide a clear opt-out mechanism to comply with this aspect of the law. This distinction reflects the EU and California legal frameworks and priorities regarding user consent and control over data usage.
Penalties and Enforcement
The GDPR imposes strict penalties for non-compliance. Organizations that fail to adhere to the GDPR can face fines of up to 4% of their annual global turnover or €20 million, whichever amount is higher. Supervisory authorities can investigate violations, and issue warnings, reprimands, and corrective measures. These penalties are a strong deterrent and emphasize complying with the GDPR’s requirements. The GDPR’s penalty structure ensures non-compliant organizations face significant financial consequences, highlighting the seriousness of data protection obligations under the regulation.
The CCPA provides for civil penalties for violations. Businesses not complying with the CCPA can be fined up to $7,500 per violation. The California Attorney General can also bring enforcement actions against businesses that fail to meet the CCPA’s requirements. While the CCPA penalties are not as severe as the GDPR’s fines based on turnover, they still carry significant financial consequences for non-compliant organizations. These penalties underscore the importance of compliance with the CCPA and the responsibility of businesses to protect consumer privacy rights in California.
The GDPR and CCPA aim to ensure compliance with privacy regulations and hold businesses accountable for their data protection practices. They recognize the importance of enforcing penalties to deter non-compliance and protect individual privacy rights. The penalties for non-compliance in both regulations send a strong message that organizations must take data protection seriously and implement robust privacy measures. By imposing penalties, the GDPR and CCPA establish a framework incentivizing organizations to prioritize privacy and invest in comprehensive data protection measures.
The main difference between the GDPR and CCPA regarding penalties and enforcement lies in the specific monetary fines and authorities involved. The GDPR’s penalties are based on a percentage of annual global turnover or a set monetary threshold, with supervisory authorities responsible for enforcement. In contrast, the CCPA imposes civil penalties of up to $7,500 per violation, and the California Attorney General can initiate enforcement actions. These differences reflect the varying legal frameworks and approaches to penalties and enforcement in the European Union and California jurisdictions.
The GDPR and CCPA have penalties and enforcement mechanisms to ensure compliance with privacy regulations. The GDPR carries the potential for significant fines based on global turnover, while the CCPA imposes per-violation penalties. Understanding the penalties and enforcement provisions of both regulations is essential for organizations to prioritize data protection and meet the obligations set forth by the GDPR and CCPA. Compliance with these regulations avoids financial penalties, demonstrates a commitment to privacy, and builds trust with consumers in an era of data protection.
Private Right of Action
The GDPR does not grant folks the right to take legal action against organizations for non-compliance. Instead, it gives folks rights such as the right to lodge complaints with supervisory authorities and seek judicial remedies. Folks can file complaints with the supervisory authorities, who have the power to investigate and impose fines on non-compliant organizations. If the supervisory authority does not act, folks can pursue legal remedies through the courts, enabling them to seek redress and hold organizations accountable for privacy violations.
The CCPA grants consumers the right to legal action against businesses in specific circumstances. Consumers can initiate legal proceedings if certain types of personal information are exposed to a data breach due to a business’s failure to implement reasonable security measures. This private right of action allows consumers to seek damages and hold businesses accountable for data breaches resulting from inadequate security practices. The CCPA provides folks with a direct avenue to seek legal recourse, empowering them to protect their privacy rights and pursue remedies in case of data breaches.
While the GDPR does not provide folks with a direct private right of action, the GDPR and CCPA aim to protect folks’ privacy rights and ensure organization accountability. They recognize the importance of addressing non-compliance and providing folks with avenues for redress in case of privacy breaches. The GDPR empowers supervisory authorities to enforce compliance through investigations and fines, ensuring organizations face non-compliance consequences. The CCPA extends the right to legal action directly to consumers in certain data breach scenarios, allowing them to take a proactive role in holding businesses accountable.
The difference between the GDPR and CCPA regarding the private right of action lies in the specific circumstances under which folks can initiate legal action. The GDPR does not grant a direct private right of action, but folks can seek judicial remedies if the supervisory authority does not act on their complaint. On the other hand, the CCPA explicitly allows consumers to take legal action against businesses if specific data breaches result from inadequate security measures. This distinction reflects the varying approaches and legal frameworks of the European Union and California in addressing privacy breaches and providing avenues for folks to seek remedies.
The GDPR and CCPA differ in terms of the private right of action. The GDPR does not grant folks a direct right to legal action, while the CCPA allows consumers to initiate legal proceedings in specific data breach scenarios. Despite this difference, both regulations aim to protect privacy rights and ensure accountability for organizations in their respective jurisdictions. Understanding these differences is crucial for folks and businesses to effectively navigate the legal landscape and address privacy concerns.
The GDPR and CCPA are two significant regulations that play a big role in safeguarding data and protecting user privacy. While they share common goals, there are notable differences in their rules. For instance, all these laws require consent to send emails, except for CAN-SPAM, which only necessitates an opt-out option. CASL, on the other hand, requires consent, which can be explicit or implied. Explicit consent is unambiguous, where folks actively provide their email address or check a box, and it does not expire. Implied consent, however, is inferred from a pre-existing relationship, such as purchasing an eBook or requesting a receipt, and has expiration periods ranging from two years for purchases to six months for inquiries, renewing with each subsequent transaction. It’s important to note that explicit consent can be obtained verbally, electronically, or in writing.
Additionally, the CCPA emphasizes the right to refuse consent and opt out of the sale of email addresses, giving folks the power to exercise their preferences and say “nah” to such practices. These variations highlight the distinct approaches and considerations within the GDPR and CCPA regarding consent and user preferences. The GDPR and CCPA aim to protect user privacy and give folks more control over their data. While the GDPR has a broader scope and stronger penalties, the CCPA focuses specifically on the rights of California residents and allows them to opt out of the sale of their personal information.
Businesses operating in both regions must understand and comply with these email privacy laws to ensure they respect user privacy and maintain compliance. While there are similarities in protecting individual privacy rights, GDPR and CCPA have different origins, geographic scopes, and specific requirements. Businesses operating in the EU and California must navigate and comply with the respective regulations to ensure they handle personal data appropriately and meet the legal obligations imposed by the GDPR and CCPA. “nah” empowers folks to assert their preferences and control their personal information, creating a more privacy-centric landscape for email marketing practices.
This blog post offers a high-level or broad, plain-language comparison of GDPR and CCPA. It isn’t, and you shouldn’t consider it legal advice, but instead, legal information and education. Legal advice describes the law and how statutes, case law, and legal principles might apply to your situation. Legal information describes the law and how it might apply in general situations. If you’ve questions or concerns or need clarification, visit the abovementioned websites to learn about their fundamental rights, legislation, the national authorities, and the standard contractual clauses, and then refer to a lawyer or an attorney.
*Read time is the time an average person takes to read a piece of text while maintaining reading comprehension silently. Based on the meta-analysis of hundreds of studies involving over 18,000 participants, an adult’s average silent reading speed is approximately 238 words per minute (Marc Brysbaert, 2019).
References
Brysbaert, M. (2019). How many words do we read per minute? A review and meta-analysis of reading rate. Journal of Memory and Language, 109. https://doi.org/10.1016/j.jml.2019.104047
European Union. (2022). Data protection in the EU. https://ec.europa.eu/info/law/law-topic/data-protection/data-protection-eu_en
Office of the Attorney General. (2023, May 10). California Consumer Privacy Act (CCPA). https://oag.ca.gov/privacy/ccpa
Aren’t sure if comply with CAN-SPAM, CASL, GDPR, and CCPA? Take the Email Compliance: Are You in the Zone? Quiz. It’ll take you fewer than five minutes.
Author: Kenyana David, MBA, DBA(c), is the founder of 81Eighteen™, LLC and the creator of the Fe-Mail Marketing for Entrepreneurs (FEMME) Academy™. She's Cornell University certified in Women's Entrepreneurship and HubSpot certified in email marketing, inbound, inbound sales, inbound marketing, content marketing, frictionless sales, and social media marketing.