Texas said to be eyeing new data privacy laws

The Texas House of Representatives has reportedly released two new bills aiming to protect consumers’ privacy and data.

These new bills are the Texas Consumer Privacy Act (Texas CPA) and Texas Privacy Protection Act (TPPA), according to a report from The Paypers.

Texas CPA will apply to a range of companies, predominantly those which do business and collect consumer data in Texas. Others to be impacted include companies which gross an annual revenue over $25m, or companies which buy, sell, or receive personal information of at least 50,000 customers, or derive 50 percent of annual revenue from selling personal information, it said.

Some of the propositions in the bill include the right for consumers to delete their personal information, to be informed what information is sold and where to, and to opt-out of the sale of data. In addition to this, consumers are able to ask to review the information a business has stored on them, the purposes of it and who it is shared with, the article said.

If the bill is passed, it will come into effect on 1 September 2020 and fines for violations are priced at $2,500 each; however, if a violation is intentional there is a $7,500 fine.

The second bill, Texas Privacy Protection Act, is in relation to processing and retention of personal identifying information. Companies required to comply with Texas CPA will also need to meet compliance with TPPA.

As part of TPPA, only information which is collected electronically will be susceptible to compliance. The new legislation would require explicit consent for the processing of personal identifying information, the deployment of a data security program and accountability program, and ensure businesses stop processing and delete personal information when an account is closed.

If the bill passes, it would go into effect on 1 September 2019, the article said. Penalties for violations have been set at $10,000 each but fines cannot exceed $1m.


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