Published: September 2008

California bill forces retailers to protect data

Coalition: Privacy

California lawmakers approved a bill that would force retailers to implement stringent protections against identity theft before storing customers' personal information, including credit card account numbers, verification codes, or personal identification numbers.

Assembly Bill 1656, sponsored by Assemblyman Dave Jones, was approved by the California State Assembly by a 74-1 margin, after passing the Senate by a 34-4 vote a week ago. The bill, known as the Consumer Data Protection Act, would require retailers that accept payment card transactions to take specific precautions for protecting cardholder data and disclose more details about data breaches to affected consumers.

California governor Arnold Schwarzenegger vetoed an earlier version of the bill that required retailers to reimburse financial institutions for the costs involved in replacing compromised credit and debit cards. That provision was dropped and the bill will now go again to the Governor’s desk for approval.

Download a copy of Assembly Bill 1656

 

 

Lead Organization

Privacy Rights Clearinghouse

Other Organizations

ACLU | CALPIRG | Consumer Federation of California | Consumers Union | Electronic Frontier Foundation | Privacy Rights Clearinghouse | World Privacy Forum

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Category

Consumer Protection   ♦   Credit Cards   ♦   Privacy/rights   ♦