On 29 March 2023, the final regulation text of the California Consumer Protection Act (CCPA) was approved, codifying an exception to the non-discrimination provisions elsewhere in the Act. The CCPA prohibits businesses from discriminating against consumers for exercising their rights under the Act, including denying services or charging different prices because consumers assert their data rights outlined in the law.
However, it allows business to offer a different service or prices if a consumer invokes their data rights if the difference is reasonably related to the value of the consumers’ data collected as a part of the transaction. That is, if a business offers a financial incentive or price or service difference, it must relate to the value of the data, and the business must disclose a good faith estimate of the value of the consumers’ data and describe the method used to calculate the value.
In this white paper, Managing Director Dr. Ling Ling Ang and Director Dr. Garrett Glasgow explore the challenges business face in offering incentives for consumer data, particularly in calculating and reporting the value of the data in compliance with the CCPA.