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| 1 | + | Amended IN Senate May 23, 2019 Amended IN Assembly May 07, 2019 Amended IN Assembly April 22, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1035Introduced by Assembly Member Mayes(Coauthors: Assembly Members Cunningham and Gallagher)(Coauthor: Senator Wiener)February 21, 2019 An act to amend Sections 1798.29 and 1798.82 of the Civil Code, relating to information privacy. LEGISLATIVE COUNSEL'S DIGESTAB 1035, as amended, Mayes. Personal information: data breaches.(1) Existing law defines and regulates the use of personal information by businesses. Existing law requires a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose, as specified, any breach of the security of the system following discovery or notification of the breach. Existing law requires the disclosure to be made in the most expedient time possible and without unreasonable delay consistent with the legitimate needs of law enforcement, as provided, and other security and investigative measures.This bill would, instead, require a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case more than 45 days, following discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided. The bill would make other conforming changes.(2) Existing law, the Information Practices Act of 1977, requires a public agency, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay following discovery or notification of the breach, as specified. This bill would, instead, require an agency that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days, following discovery or notification of the breach. The bill would additionally require an agency that was the source of a security breach to offer, in the notice of the breach, appropriate identity theft prevention and mitigation services at no cost to potential or actual victims of the breach, as specified.The bill would also make nonsubstantive changes.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 1798.29 of the Civil Code is amended to read:1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation.(d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [internet website](E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting agency subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice.(D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number.(G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months.(ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed.(3) At the discretion of the agency, the security breach notification may also include any of the following:(A) Information about what the agency has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(g) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(i) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the agency has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media and the Office of Information Security within the Department of Technology.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account.(j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system.(k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code.(l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable.SEC. 2. Section 1798.82 of the Civil Code is amended to read:1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation.(d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [ internet website](E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting person or business subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) The date of the notice and, if known at the time the notice is provided, any of the following:(i) The date of the breach.(ii) The estimated date of the breach.(iii) The date range within which the breach occurred.(D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number.(G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).(3) At the discretion of the person or business, the security breach notification may also include any of the following:(A) Information about what the person or business has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section.(f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(h) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(j) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the person or business has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account.(k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable.(l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
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| 3 | - | ||
| 3 | + | Amended IN Senate May 23, 2019 Amended IN Assembly May 07, 2019 Amended IN Assembly April 22, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1035Introduced by Assembly Member Mayes(Coauthors: Assembly Members Cunningham and Gallagher)(Coauthor: Senator Wiener)February 21, 2019 An act to amend Sections 1798.29 and 1798.82 of the Civil Code, relating to information privacy. LEGISLATIVE COUNSEL'S DIGESTAB 1035, as amended, Mayes. Personal information: data breaches.(1) Existing law defines and regulates the use of personal information by businesses. Existing law requires a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose, as specified, any breach of the security of the system following discovery or notification of the breach. Existing law requires the disclosure to be made in the most expedient time possible and without unreasonable delay consistent with the legitimate needs of law enforcement, as provided, and other security and investigative measures.This bill would, instead, require a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case more than 45 days, following discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided. The bill would make other conforming changes.(2) Existing law, the Information Practices Act of 1977, requires a public agency, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay following discovery or notification of the breach, as specified. This bill would, instead, require an agency that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days, following discovery or notification of the breach. The bill would additionally require an agency that was the source of a security breach to offer, in the notice of the breach, appropriate identity theft prevention and mitigation services at no cost to potential or actual victims of the breach, as specified.The bill would also make nonsubstantive changes.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO | |
| 4 | 4 | ||
| 5 | - | ||
| 5 | + | Amended IN Senate May 23, 2019 Amended IN Assembly May 07, 2019 Amended IN Assembly April 22, 2019 | |
| 6 | 6 | ||
| 7 | - | Amended IN Senate June 25, 2020 | |
| 8 | 7 | Amended IN Senate May 23, 2019 | |
| 9 | 8 | Amended IN Assembly May 07, 2019 | |
| 10 | 9 | Amended IN Assembly April 22, 2019 | |
| 11 | 10 | ||
| 12 | 11 | CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION | |
| 13 | 12 | ||
| 14 | - | ||
| 13 | + | Assembly Bill No. 1035 | |
| 15 | 14 | ||
| 16 | - | ||
| 15 | + | Introduced by Assembly Member Mayes(Coauthors: Assembly Members Cunningham and Gallagher)(Coauthor: Senator Wiener)February 21, 2019 | |
| 17 | 16 | ||
| 18 | - | Introduced by Assembly Member Mayes Members Ramos and Mayes(Coauthors: Assembly Members Cunningham and Gallagher)(Coauthor: Senator Wiener)February 21, 2019 | |
| 19 | - | ||
| 20 | - | Introduced by Assembly Member Mayes Members Ramos and Mayes(Coauthors: Assembly Members Cunningham and Gallagher)(Coauthor: Senator Wiener) | |
| 17 | + | Introduced by Assembly Member Mayes(Coauthors: Assembly Members Cunningham and Gallagher)(Coauthor: Senator Wiener) | |
| 21 | 18 | February 21, 2019 | |
| 22 | 19 | ||
| 23 | - | An act to amend Sections 1798.29 and 1798.82 of the Civil Code, relating to information privacy. | |
| 20 | + | An act to amend Sections 1798.29 and 1798.82 of the Civil Code, relating to information privacy. | |
| 24 | 21 | ||
| 25 | 22 | LEGISLATIVE COUNSEL'S DIGEST | |
| 26 | 23 | ||
| 27 | 24 | ## LEGISLATIVE COUNSEL'S DIGEST | |
| 28 | 25 | ||
| 29 | - | AB 1035, as amended, | |
| 26 | + | AB 1035, as amended, Mayes. Personal information: data breaches. | |
| 30 | 27 | ||
| 31 | - | Existing law, the California Emergency Services Act, permits the Governor to proclaim a state of emergency during conditions of disaster or of extreme peril to the safety of persons and property, including epidemics. Existing law provides that the proclamation takes effect immediately, affords specified powers to the Governor, and terminates upon further proclamation by the Governor or by concurrent resolution of the Legislature. The Governor proclaimed a state of emergency March 4, 2020, related to the COVID-19 pandemic.Existing law generally provides that everyone is responsible, not only for the result of their willful acts, but also for an injury occasioned to another by that persons want of ordinary care or skill in the management of their property or person, except as specified. This bill would exempt a small business with 25 or fewer employees from liability for an injury or illness to a person due to coronavirus (COVID-19) based on a claim that the person contracted COVID-19 while at that small business, or due to the actions of that small business. The bill would require the small business, for this exemption to apply, to have implemented and abided by all applicable state and local health laws, regulations, and protocols. The bill would not permit this exemption to apply if the injury or illness resulted from a grossly negligent act or omission, willful or wanton misconduct, or unlawful discrimination by the business or an employee of the business. The bill would apply these provisions only during the timeframe in which the state of emergency related to the COVID-19 pandemic is effective. The bill would repeal these provisions on January 1, 2023. The bill would include related legislative findings.This bill would declare that it is to take effect immediately as an urgency statute.(1)Existing law defines and regulates the use of personal information by businesses. Existing law requires a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose, as specified, any breach of the security of the system following discovery or notification of the breach. Existing law requires the disclosure to be made in the most expedient time possible and without unreasonable delay consistent with the legitimate needs of law enforcement, as provided, and other security and investigative measures.This bill would, instead, require a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case more than 45 days, following discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided. The bill would make other conforming changes.(2)Existing law, the Information Practices Act of 1977, requires a public agency, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay following discovery or notification of the breach, as specified. This bill would, instead, require an agency that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days, following discovery or notification of the breach. The bill would additionally require an agency that was the source of a security breach to offer, in the notice of the breach, appropriate identity theft prevention and mitigation services at no cost to potential or actual victims of the breach, as specified.The bill would also make nonsubstantive changes. | |
| 32 | - | ||
| 33 | - | Existing law, the California Emergency Services Act, permits the Governor to proclaim a state of emergency during conditions of disaster or of extreme peril to the safety of persons and property, including epidemics. Existing law provides that the proclamation takes effect immediately, affords specified powers to the Governor, and terminates upon further proclamation by the Governor or by concurrent resolution of the Legislature. The Governor proclaimed a state of emergency March 4, 2020, related to the COVID-19 pandemic. | |
| 34 | - | ||
| 35 | - | Existing law generally provides that everyone is responsible, not only for the result of their willful acts, but also for an injury occasioned to another by that persons want of ordinary care or skill in the management of their property or person, except as specified. | |
| 36 | - | ||
| 37 | - | This bill would exempt a small business with 25 or fewer employees from liability for an injury or illness to a person due to coronavirus (COVID-19) based on a claim that the person contracted COVID-19 while at that small business, or due to the actions of that small business. The bill would require the small business, for this exemption to apply, to have implemented and abided by all applicable state and local health laws, regulations, and protocols. The bill would not permit this exemption to apply if the injury or illness resulted from a grossly negligent act or omission, willful or wanton misconduct, or unlawful discrimination by the business or an employee of the business. The bill would apply these provisions only during the timeframe in which the state of emergency related to the COVID-19 pandemic is effective. The bill would repeal these provisions on January 1, 2023. The bill would include related legislative findings. | |
| 38 | - | ||
| 39 | - | This bill would declare that it is to take effect immediately as an urgency statute. | |
| 28 | + | (1) Existing law defines and regulates the use of personal information by businesses. Existing law requires a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose, as specified, any breach of the security of the system following discovery or notification of the breach. Existing law requires the disclosure to be made in the most expedient time possible and without unreasonable delay consistent with the legitimate needs of law enforcement, as provided, and other security and investigative measures.This bill would, instead, require a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case more than 45 days, following discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided. The bill would make other conforming changes.(2) Existing law, the Information Practices Act of 1977, requires a public agency, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay following discovery or notification of the breach, as specified. This bill would, instead, require an agency that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days, following discovery or notification of the breach. The bill would additionally require an agency that was the source of a security breach to offer, in the notice of the breach, appropriate identity theft prevention and mitigation services at no cost to potential or actual victims of the breach, as specified.The bill would also make nonsubstantive changes. | |
| 40 | 29 | ||
| 41 | 30 | (1) Existing law defines and regulates the use of personal information by businesses. Existing law requires a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose, as specified, any breach of the security of the system following discovery or notification of the breach. Existing law requires the disclosure to be made in the most expedient time possible and without unreasonable delay consistent with the legitimate needs of law enforcement, as provided, and other security and investigative measures. | |
| 42 | 31 | ||
| 43 | - | ||
| 44 | - | ||
| 45 | 32 | This bill would, instead, require a person or business, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case more than 45 days, following discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided. The bill would make other conforming changes. | |
| 46 | - | ||
| 47 | - | ||
| 48 | 33 | ||
| 49 | 34 | (2) Existing law, the Information Practices Act of 1977, requires a public agency, as defined, that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay following discovery or notification of the breach, as specified. | |
| 50 | 35 | ||
| 51 | - | ||
| 52 | - | ||
| 53 | 36 | This bill would, instead, require an agency that owns or licenses computerized data that includes personal information to disclose a breach of the security of the system in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days, following discovery or notification of the breach. The bill would additionally require an agency that was the source of a security breach to offer, in the notice of the breach, appropriate identity theft prevention and mitigation services at no cost to potential or actual victims of the breach, as specified. | |
| 54 | 37 | ||
| 55 | - | ||
| 56 | - | ||
| 57 | 38 | The bill would also make nonsubstantive changes. | |
| 58 | - | ||
| 59 | - | ||
| 60 | 39 | ||
| 61 | 40 | ## Digest Key | |
| 62 | 41 | ||
| 63 | 42 | ## Bill Text | |
| 64 | 43 | ||
| 65 | - | The people of the State of California do enact as follows:SECTION 1. | |
| 44 | + | The people of the State of California do enact as follows:SECTION 1. Section 1798.29 of the Civil Code is amended to read:1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation.(d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [internet website](E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting agency subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice.(D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number.(G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months.(ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed.(3) At the discretion of the agency, the security breach notification may also include any of the following:(A) Information about what the agency has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(g) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(i) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the agency has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media and the Office of Information Security within the Department of Technology.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account.(j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system.(k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code.(l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable.SEC. 2. Section 1798.82 of the Civil Code is amended to read:1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation.(d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [ internet website](E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting person or business subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) The date of the notice and, if known at the time the notice is provided, any of the following:(i) The date of the breach.(ii) The estimated date of the breach.(iii) The date range within which the breach occurred.(D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number.(G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).(3) At the discretion of the person or business, the security breach notification may also include any of the following:(A) Information about what the person or business has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section.(f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(h) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(j) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the person or business has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account.(k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable.(l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
| 66 | 45 | ||
| 67 | 46 | The people of the State of California do enact as follows: | |
| 68 | 47 | ||
| 69 | 48 | ## The people of the State of California do enact as follows: | |
| 70 | 49 | ||
| 71 | - | SECTION 1. | |
| 50 | + | SECTION 1. Section 1798.29 of the Civil Code is amended to read:1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation.(d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [internet website](E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting agency subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice.(D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number.(G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months.(ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed.(3) At the discretion of the agency, the security breach notification may also include any of the following:(A) Information about what the agency has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(g) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(i) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the agency has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media and the Office of Information Security within the Department of Technology.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account.(j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system.(k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code.(l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable. | |
| 72 | 51 | ||
| 73 | - | SECTION 1. The Legislature finds and declares all of the following:(a) Californias economic activity has plummeted in the wake of the coronavirus (COVID-19) pandemic.(b) The depth and speed of the decline rivals that of the Great Depression.(c) It is therefore imperative that we act thoughtfully and courageously to recover from this devastating toll by improving business confidence to operate. (d) Increased confidence translates to business investment, which, in turn, will help limit the economic damage caused during the crisis. (e) As small businesses are the backbone of our economy and the financial engine that will allow the state to recover post-COVID-19, they need liability protection to continue serving the public and providing necessary jobs. California is home to 4,000,000 small businesses, according to a 2019 United States Small Business Administration Office of Advocacy report, and each one contributes significantly to our economic strength and employment.(f) California cannot afford for small businesses to delay reopening because of the fear of frivolous lawsuits. (g) This is a time to encourage entrepreneurs and support small, struggling enterprises.(h) California has recognized the need for protection from civil liability during times of crisis with the California Emergency Services Act (Chapter 7 (commencing with Sec. 8550 et. seq.) of Division 1 of Title 2 of the Government Code), while also allowing harmed individuals to seek redress for actions that rise to the level of gross negligence and willful misconduct. (i) It is the intent of the Legislature, through this act, to protect small businesses, which continue to make significant contributions to economic development during these unprecedented times caused by the COVID-19 state of emergency. | |
| 74 | - | ||
| 75 | - | SECTION 1. The Legislature finds and declares all of the following: | |
| 52 | + | SECTION 1. Section 1798.29 of the Civil Code is amended to read: | |
| 76 | 53 | ||
| 77 | 54 | ### SECTION 1. | |
| 78 | 55 | ||
| 79 | - | (a) | |
| 56 | + | 1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation.(d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [internet website](E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting agency subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice.(D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number.(G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months.(ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed.(3) At the discretion of the agency, the security breach notification may also include any of the following:(A) Information about what the agency has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(g) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(i) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the agency has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media and the Office of Information Security within the Department of Technology.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account.(j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system.(k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code.(l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable. | |
| 80 | 57 | ||
| 81 | - | (b) | |
| 58 | + | 1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation.(d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [internet website](E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting agency subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice.(D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number.(G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months.(ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed.(3) At the discretion of the agency, the security breach notification may also include any of the following:(A) Information about what the agency has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(g) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(i) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the agency has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media and the Office of Information Security within the Department of Technology.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account.(j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system.(k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code.(l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable. | |
| 82 | 59 | ||
| 83 | - | (c) It is | |
| 60 | + | 1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation.(d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [internet website](E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting agency subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice.(D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number.(G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months.(ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed.(3) At the discretion of the agency, the security breach notification may also include any of the following:(A) Information about what the agency has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(g) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(i) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the agency has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media and the Office of Information Security within the Department of Technology.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account.(j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system.(k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code.(l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable. | |
| 84 | 61 | ||
| 85 | - | (d) Increased confidence translates to business investment, which, in turn, will help limit the economic damage caused during the crisis. | |
| 86 | 62 | ||
| 87 | - | (e) As small businesses are the backbone of our economy and the financial engine that will allow the state to recover post-COVID-19, they need liability protection to continue serving the public and providing necessary jobs. California is home to 4,000,000 small businesses, according to a 2019 United States Small Business Administration Office of Advocacy report, and each one contributes significantly to our economic strength and employment. | |
| 88 | 63 | ||
| 89 | - | ( | |
| 64 | + | 1798.29. (a) An agency that owns or licenses computerized data that includes personal information shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to any resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person and the agency that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case longer than 45 days following the discovery or notification of the breach, consistent with the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system. | |
| 90 | 65 | ||
| 91 | - | ( | |
| 66 | + | (b) An agency that maintains computerized data that includes personal information that the agency does not own shall notify the owner or licensee of the information of a breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person. | |
| 92 | 67 | ||
| 93 | - | ( | |
| 68 | + | (c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made after the law enforcement agency determines that it will not compromise the investigation. | |
| 94 | 69 | ||
| 95 | - | ( | |
| 70 | + | (d) An agency that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements: | |
| 96 | 71 | ||
| 97 | - | ||
| 72 | + | (1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice. | |
| 98 | 73 | ||
| 99 | - | SEC. 2. Section 1714.28 is added to the Civil Code, immediately following Section 1714.26, to read: | |
| 74 | + | (A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains. | |
| 75 | + | ||
| 76 | + | (B) The title and headings in the notice shall be clearly and conspicuously displayed. | |
| 77 | + | ||
| 78 | + | (C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type. | |
| 79 | + | ||
| 80 | + | (D) For a written notice described in paragraph (1) of subdivision (i), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision. | |
| 81 | + | ||
| 82 | + | [NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date] | |
| 83 | + | NOTICE OF DATA BREACH | |
| 84 | + | What Happened? | |
| 85 | + | What Information Was Involved? | |
| 86 | + | What We Are Doing. | |
| 87 | + | What You Can Do. | |
| 88 | + | Other Important Information.[insert other important information] | |
| 89 | + | For More Information. Call [telephone number] or go to [internet website] | |
| 90 | + | ||
| 91 | + | [NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date] | |
| 92 | + | ||
| 93 | + | NOTICE OF DATA BREACH | |
| 94 | + | ||
| 95 | + | What Happened? | |
| 96 | + | ||
| 97 | + | What Information Was Involved? | |
| 98 | + | ||
| 99 | + | What We Are Doing. | |
| 100 | + | ||
| 101 | + | What You Can Do. | |
| 102 | + | ||
| 103 | + | Other Important Information. | |
| 104 | + | ||
| 105 | + | [insert other important information] | |
| 106 | + | ||
| 107 | + | For More Information. | |
| 108 | + | ||
| 109 | + | Call [telephone number] or go to [internet website] | |
| 110 | + | ||
| 111 | + | (E) For an electronic notice described in paragraph (2) of subdivision (i), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision. | |
| 112 | + | ||
| 113 | + | (2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information: | |
| 114 | + | ||
| 115 | + | (A) The name and contact information of the reporting agency subject to this section. | |
| 116 | + | ||
| 117 | + | (B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach. | |
| 118 | + | ||
| 119 | + | (C) If the information is possible to determine at the time the notice is provided, then any of the following: (i) the date of the breach, (ii) the estimated date of the breach, or (iii) the date range within which the breach occurred. The notification shall also include the date of the notice. | |
| 120 | + | ||
| 121 | + | (D) Whether the notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided. | |
| 122 | + | ||
| 123 | + | (E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided. | |
| 124 | + | ||
| 125 | + | (F) The toll-free telephone numbers and addresses of the major credit reporting agencies, if the breach exposed a social security number or a drivers license or California identification card number. | |
| 126 | + | ||
| 127 | + | (G) (i) If the agency providing the notification was the source of the breach, the agency shall, consistent with clause (ii), offer to provide appropriate identity theft prevention and mitigation services at no cost for not less than 12 months. | |
| 128 | + | ||
| 129 | + | (ii) The agency shall extend an offer of identity theft prevention or mitigation services made pursuant to clause (i) to any person whose personal information, as defined in subparagraph (A) or (B) of paragraph (1) of subdivision (h), was or may have been exposed. | |
| 130 | + | ||
| 131 | + | (3) At the discretion of the agency, the security breach notification may also include any of the following: | |
| 132 | + | ||
| 133 | + | (A) Information about what the agency has done to protect individuals whose information has been breached. | |
| 134 | + | ||
| 135 | + | (B) Advice on steps that the person whose information has been breached may take to protect that person. | |
| 136 | + | ||
| 137 | + | (e) An agency that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code. | |
| 138 | + | ||
| 139 | + | (f) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the agency. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure. | |
| 140 | + | ||
| 141 | + | (g) For purposes of this section, personal information means either of the following: | |
| 142 | + | ||
| 143 | + | (1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted: | |
| 144 | + | ||
| 145 | + | (A) Social security number. | |
| 146 | + | ||
| 147 | + | (B) Drivers license number or California identification card number. | |
| 148 | + | ||
| 149 | + | (C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account. | |
| 150 | + | ||
| 151 | + | (D) Medical information. | |
| 152 | + | ||
| 153 | + | (E) Health insurance information. | |
| 154 | + | ||
| 155 | + | (F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5. | |
| 156 | + | ||
| 157 | + | (2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account. | |
| 158 | + | ||
| 159 | + | (h) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records. | |
| 160 | + | ||
| 161 | + | (2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional. | |
| 162 | + | ||
| 163 | + | (3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records. | |
| 164 | + | ||
| 165 | + | (4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security. | |
| 166 | + | ||
| 167 | + | (i) For purposes of this section, notice may be provided by one of the following methods: | |
| 168 | + | ||
| 169 | + | (1) Written notice. | |
| 170 | + | ||
| 171 | + | (2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code. | |
| 172 | + | ||
| 173 | + | (3) Substitute notice, if the agency demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the agency does not have sufficient contact information. Substitute notice shall consist of all of the following: | |
| 174 | + | ||
| 175 | + | (A) Email notice when the agency has an email address for the subject persons. | |
| 176 | + | ||
| 177 | + | (B) Conspicuous posting, for a minimum of 30 days, of the notice on the agencys internet website if the agency maintains one. For purposes of this subparagraph, conspicuous posting on the agencys internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link. | |
| 178 | + | ||
| 179 | + | (C) Notification to major statewide media and the Office of Information Security within the Department of Technology. | |
| 180 | + | ||
| 181 | + | (4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for an online account, and no other personal information defined in paragraph (1) of subdivision (g), the agency may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached to promptly change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the agency and all other online accounts for which the person uses the same user name or email address and password or security question or answer. | |
| 182 | + | ||
| 183 | + | (5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (g) for login credentials of an email account furnished by the agency, the agency shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the agency knows the resident customarily accesses the account. | |
| 184 | + | ||
| 185 | + | (j) Notwithstanding subdivision (i), an agency that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part shall be deemed to be in compliance with the notification requirements of this section if it notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
| 186 | + | ||
| 187 | + | (k) Notwithstanding the exception specified in paragraph (4) of subdivision (b) of Section 1798.3, for purposes of this section, agency includes a local agency, as defined in subdivision (a) of Section 6252 of the Government Code. | |
| 188 | + | ||
| 189 | + | (l) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render the data useable, readable, and decipherable. | |
| 190 | + | ||
| 191 | + | SEC. 2. Section 1798.82 of the Civil Code is amended to read:1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation.(d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [ internet website](E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting person or business subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) The date of the notice and, if known at the time the notice is provided, any of the following:(i) The date of the breach.(ii) The estimated date of the breach.(iii) The date range within which the breach occurred.(D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number.(G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).(3) At the discretion of the person or business, the security breach notification may also include any of the following:(A) Information about what the person or business has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section.(f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(h) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(j) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the person or business has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account.(k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable.(l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
| 192 | + | ||
| 193 | + | SEC. 2. Section 1798.82 of the Civil Code is amended to read: | |
| 100 | 194 | ||
| 101 | 195 | ### SEC. 2. | |
| 102 | 196 | ||
| 103 | - | ||
| 197 | + | 1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation.(d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [ internet website](E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting person or business subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) The date of the notice and, if known at the time the notice is provided, any of the following:(i) The date of the breach.(ii) The estimated date of the breach.(iii) The date range within which the breach occurred.(D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number.(G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).(3) At the discretion of the person or business, the security breach notification may also include any of the following:(A) Information about what the person or business has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section.(f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(h) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(j) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the person or business has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account.(k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable.(l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
| 104 | 198 | ||
| 105 | - | ||
| 199 | + | 1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation.(d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [ internet website](E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting person or business subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) The date of the notice and, if known at the time the notice is provided, any of the following:(i) The date of the breach.(ii) The estimated date of the breach.(iii) The date range within which the breach occurred.(D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number.(G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).(3) At the discretion of the person or business, the security breach notification may also include any of the following:(A) Information about what the person or business has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section.(f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(h) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(j) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the person or business has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account.(k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable.(l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
| 106 | 200 | ||
| 107 | - | ||
| 201 | + | 1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.(b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person.(c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation.(d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements:(1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice.(A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains.(B) The title and headings in the notice shall be clearly and conspicuously displayed.(C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type.(D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.[NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date]NOTICE OF DATA BREACHWhat Happened? What Information Was Involved?What We Are Doing.What You Can Do. Other Important Information.[insert other important information]For More Information.Call [telephone number] or go to [ internet website](E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision.(2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information:(A) The name and contact information of the reporting person or business subject to this section.(B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach.(C) The date of the notice and, if known at the time the notice is provided, any of the following:(i) The date of the breach.(ii) The estimated date of the breach.(iii) The date range within which the breach occurred.(D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided.(E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided.(F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number.(G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).(3) At the discretion of the person or business, the security breach notification may also include any of the following:(A) Information about what the person or business has done to protect individuals whose information has been breached.(B) Advice on steps that the person whose information has been breached may take to protect that person.(e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section.(f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code.(g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure.(h) For purposes of this section, personal information means either of the following:(1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted:(A) Social security number.(B) Drivers license number or California identification card number.(C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account.(D) Medical information.(E) Health insurance information.(F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5.(2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account.(i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records.(2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional.(3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records.(4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security.(j) For purposes of this section, notice may be provided by one of the following methods:(1) Written notice.(2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code.(3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following:(A) Email notice when the person or business has an email address for the subject persons.(B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link.(C) Notification to major statewide media.(4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer.(5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account.(k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable.(l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. | |
| 108 | 202 | ||
| 109 | 203 | ||
| 110 | 204 | ||
| 111 | - | ||
| 205 | + | 1798.82. (a) A person or business that conducts business in California, and that owns or licenses computerized data that includes personal information, shall disclose a breach of the security of the system following discovery or notification of the breach in the security of the data to a resident of California (1) whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person, or, (2) whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person and the encryption key or security credential was, or is reasonably believed to have been, acquired by an unauthorized person, and the person or business that owns or licenses the encrypted information has a reasonable belief that the encryption key or security credential could render that personal information readable or useable. The disclosure shall be made in the most expedient time possible and without unreasonable delay, but in no case more than 45 days following the discovery or notification of the breach, subject to the legitimate needs of law enforcement, as provided in subdivision (c), or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system. | |
| 112 | 206 | ||
| 113 | - | (b) | |
| 207 | + | (b) A person or business that maintains computerized data that includes personal information that the person or business does not own shall notify the owner or licensee of the information of the breach of the security of the data immediately following discovery, if the personal information was, or is reasonably believed to have been, acquired by an unauthorized person. | |
| 114 | 208 | ||
| 115 | - | (c) | |
| 209 | + | (c) The notification required by this section may be delayed if a law enforcement agency determines that the notification will impede a criminal investigation. The notification required by this section shall be made promptly after the law enforcement agency determines that it will not compromise the investigation. | |
| 116 | 210 | ||
| 117 | - | (d) | |
| 211 | + | (d) A person or business that is required to issue a security breach notification pursuant to this section shall meet all of the following requirements: | |
| 118 | 212 | ||
| 119 | - | ( | |
| 213 | + | (1) The security breach notification shall be written in plain language, shall be titled Notice of Data Breach, and shall present the information described in paragraph (2) under the following headings: What Happened, What Information Was Involved, What We Are Doing, What You Can Do, and For More Information. Additional information may be provided as a supplement to the notice. | |
| 120 | 214 | ||
| 121 | - | ||
| 215 | + | (A) The format of the notice shall be designed to call attention to the nature and significance of the information it contains. | |
| 122 | 216 | ||
| 123 | - | ||
| 217 | + | (B) The title and headings in the notice shall be clearly and conspicuously displayed. | |
| 124 | 218 | ||
| 125 | - | ||
| 219 | + | (C) The text of the notice and any other notice provided pursuant to this section shall be no smaller than 10-point type. | |
| 126 | 220 | ||
| 127 | - | ||
| 221 | + | (D) For a written notice described in paragraph (1) of subdivision (j), use of the model security breach notification form prescribed below or use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision. | |
| 128 | 222 | ||
| 129 | - | In order to protect small businesses, which continue to make significant contributions to economic development during these unprecedented times caused by the COVID-19 state of emergency, as soon as possible, it is necessary for this act to take effect immediately. | |
| 223 | + | [NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date] | |
| 224 | + | NOTICE OF DATA BREACH | |
| 225 | + | What Happened? | |
| 226 | + | What Information Was Involved? | |
| 227 | + | What We Are Doing. | |
| 228 | + | What You Can Do. | |
| 229 | + | Other Important Information.[insert other important information] | |
| 230 | + | For More Information. Call [telephone number] or go to [ internet website] | |
| 231 | + | ||
| 232 | + | [NAME OF INSTITUTION / LOGO] _____ _____ Date: [insert date] | |
| 233 | + | ||
| 234 | + | NOTICE OF DATA BREACH | |
| 235 | + | ||
| 236 | + | What Happened? | |
| 237 | + | ||
| 238 | + | What Information Was Involved? | |
| 239 | + | ||
| 240 | + | What We Are Doing. | |
| 241 | + | ||
| 242 | + | What You Can Do. | |
| 243 | + | ||
| 244 | + | Other Important Information. | |
| 245 | + | ||
| 246 | + | [insert other important information] | |
| 247 | + | ||
| 248 | + | For More Information. | |
| 249 | + | ||
| 250 | + | Call [telephone number] or go to [ internet website] | |
| 251 | + | ||
| 252 | + | (E) For an electronic notice described in paragraph (2) of subdivision (j), use of the headings described in this paragraph with the information described in paragraph (2), written in plain language, shall be deemed to be in compliance with this subdivision. | |
| 253 | + | ||
| 254 | + | (2) The security breach notification described in paragraph (1) shall include, at a minimum, the following information: | |
| 255 | + | ||
| 256 | + | (A) The name and contact information of the reporting person or business subject to this section. | |
| 257 | + | ||
| 258 | + | (B) A list of the types of personal information that were or are reasonably believed to have been the subject of a breach. | |
| 259 | + | ||
| 260 | + | (C) The date of the notice and, if known at the time the notice is provided, any of the following: | |
| 261 | + | ||
| 262 | + | (i) The date of the breach. | |
| 263 | + | ||
| 264 | + | (ii) The estimated date of the breach. | |
| 265 | + | ||
| 266 | + | (iii) The date range within which the breach occurred. | |
| 267 | + | ||
| 268 | + | (D) Whether notification was delayed as a result of a law enforcement investigation, if that information is possible to determine at the time the notice is provided. | |
| 269 | + | ||
| 270 | + | (E) A general description of the breach incident, if that information is possible to determine at the time the notice is provided. | |
| 271 | + | ||
| 272 | + | (F) The toll-free telephone numbers and addresses of the major credit reporting agencies if the breach exposed a social security number or a drivers license or California identification card number. | |
| 273 | + | ||
| 274 | + | (G) If the person or business providing the notification was the source of the breach, an offer to provide appropriate identity theft prevention and mitigation services, if any, shall be provided at no cost to the affected person for not less than 12 months along with all information necessary to take advantage of the offer to any person whose information was or may have been breached if the breach exposed or may have exposed personal information defined in subparagraphs (A) and (B) of paragraph (1) of subdivision (h). | |
| 275 | + | ||
| 276 | + | (3) At the discretion of the person or business, the security breach notification may also include any of the following: | |
| 277 | + | ||
| 278 | + | (A) Information about what the person or business has done to protect individuals whose information has been breached. | |
| 279 | + | ||
| 280 | + | (B) Advice on steps that the person whose information has been breached may take to protect that person. | |
| 281 | + | ||
| 282 | + | (e) A covered entity under the federal Health Insurance Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d et seq.) will be deemed to have complied with the notice requirements in subdivision (d) and the timing requirements in subdivision (a) if it has complied completely with Section 13402(f) of the federal Health Information Technology for Economic and Clinical Health Act (Public Law 111-5). However, nothing in this subdivision shall be construed to exempt a covered entity from any other provision of this section. | |
| 283 | + | ||
| 284 | + | (f) A person or business that is required to issue a security breach notification pursuant to this section to more than 500 California residents as a result of a single breach of the security system shall electronically submit a single sample copy of that security breach notification, excluding any personally identifiable information, to the Attorney General. A single sample copy of a security breach notification shall not be deemed to be within subdivision (f) of Section 6254 of the Government Code. | |
| 285 | + | ||
| 286 | + | (g) For purposes of this section, breach of the security of the system means unauthorized acquisition of computerized data that compromises the security, confidentiality, or integrity of personal information maintained by the person or business. Good faith acquisition of personal information by an employee or agent of the person or business for the purposes of the person or business is not a breach of the security of the system, provided that the personal information is not used or subject to further unauthorized disclosure. | |
| 287 | + | ||
| 288 | + | (h) For purposes of this section, personal information means either of the following: | |
| 289 | + | ||
| 290 | + | (1) An individuals first name or first initial and last name in combination with any one or more of the following data elements, when either the name or the data elements are not encrypted: | |
| 291 | + | ||
| 292 | + | (A) Social security number. | |
| 293 | + | ||
| 294 | + | (B) Drivers license number or California identification card number. | |
| 295 | + | ||
| 296 | + | (C) Account number or credit or debit card number, in combination with any required security code, access code, or password that would permit access to an individuals financial account. | |
| 297 | + | ||
| 298 | + | (D) Medical information. | |
| 299 | + | ||
| 300 | + | (E) Health insurance information. | |
| 301 | + | ||
| 302 | + | (F) Information or data collected through the use or operation of an automated license plate recognition system, as defined in Section 1798.90.5. | |
| 303 | + | ||
| 304 | + | (2) A user name or email address, in combination with a password or security question and answer that would permit access to an online account. | |
| 305 | + | ||
| 306 | + | (i) (1) For purposes of this section, personal information does not include publicly available information that is lawfully made available to the general public from federal, state, or local government records. | |
| 307 | + | ||
| 308 | + | (2) For purposes of this section, medical information means any information regarding an individuals medical history, mental or physical condition, or medical treatment or diagnosis by a health care professional. | |
| 309 | + | ||
| 310 | + | (3) For purposes of this section, health insurance information means an individuals health insurance policy number or subscriber identification number, any unique identifier used by a health insurer to identify the individual, or any information in an individuals application and claims history, including any appeals records. | |
| 311 | + | ||
| 312 | + | (4) For purposes of this section, encrypted means rendered unusable, unreadable, or indecipherable to an unauthorized person through a security technology or methodology generally accepted in the field of information security. | |
| 313 | + | ||
| 314 | + | (j) For purposes of this section, notice may be provided by one of the following methods: | |
| 315 | + | ||
| 316 | + | (1) Written notice. | |
| 317 | + | ||
| 318 | + | (2) Electronic notice, if the notice provided is consistent with the provisions regarding electronic records and signatures set forth in Section 7001 of Title 15 of the United States Code. | |
| 319 | + | ||
| 320 | + | (3) Substitute notice, if the person or business demonstrates that the cost of providing notice would exceed two hundred fifty thousand dollars ($250,000), or that the affected class of subject persons to be notified exceeds 500,000, or the person or business does not have sufficient contact information. Substitute notice shall consist of all of the following: | |
| 321 | + | ||
| 322 | + | (A) Email notice when the person or business has an email address for the subject persons. | |
| 323 | + | ||
| 324 | + | (B) Conspicuous posting, for a minimum of 30 days, of the notice on the internet website page of the person or business, if the person or business maintains one. For purposes of this subparagraph, conspicuous posting on the persons or businesss business internet website means providing a link to the notice on the home page or first significant page after entering the internet website that is in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the link. | |
| 325 | + | ||
| 326 | + | (C) Notification to major statewide media. | |
| 327 | + | ||
| 328 | + | (4) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for an online account, and no other personal information defined in paragraph (1) of subdivision (h), the person or business may comply with this section by providing the security breach notification in electronic or other form that directs the person whose personal information has been breached promptly to change the persons password and security question or answer, as applicable, or to take other steps appropriate to protect the online account with the person or business and all other online accounts for which the person whose personal information has been breached uses the same user name or email address and password or security question or answer. | |
| 329 | + | ||
| 330 | + | (5) In the case of a breach of the security of the system involving personal information defined in paragraph (2) of subdivision (h) for login credentials of an email account furnished by the person or business, the person or business shall not comply with this section by providing the security breach notification to that email address, but may, instead, comply with this section by providing notice by another method described in this subdivision or by clear and conspicuous notice delivered to the resident online when the resident is connected to the online account from an Internet Protocol address or online location from which the person or business knows the resident customarily accesses the account. | |
| 331 | + | ||
| 332 | + | (k) For purposes of this section, encryption key and security credential mean the confidential key or process designed to render data useable, readable, and decipherable. | |
| 333 | + | ||
| 334 | + | (l) Notwithstanding subdivision (j), a person or business that maintains its own notification procedures as part of an information security policy for the treatment of personal information and is otherwise consistent with the timing requirements of this part, shall be deemed to be in compliance with the notification requirements of this section if the person or business notifies subject persons in accordance with its policies in the event of a breach of security of the system. |