Massachusetts 2023-2024 Regular Session

Massachusetts Senate Bill S2770 Compare Versions

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11 SENATE . . . . . . . . . . . . . . No. 2770
22 The Commonwealth of Massachusetts
33 _______________
44 In the One Hundred and Ninety-Third General Court
55 (2023-2024)
66 _______________
77 SENATE, May 9, 2024.
88 The committee on Advanced Information Technology, the Internet and Cybersecurity, to
99 whom was referred the petitions (accompanied by bill, Senate, No. 25) of Cynthia Stone Creem
1010 and Jason M. Lewis for legislation to establish the Massachusetts Data Privacy Protection Act,
1111 report the accompanying bill (Senate, No. 2770).
1212 For the committee,
1313 Michael O. Moore 1 of 64
1414 FILED ON: 5/6/2024
1515 SENATE . . . . . . . . . . . . . . No. 2770
1616 The Commonwealth of Massachusetts
1717 _______________
1818 In the One Hundred and Ninety-Third General Court
1919 (2023-2024)
2020 _______________
2121 An Act establishing the Massachusetts Data Privacy Act.
2222 Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
2323 of the same, as follows:
2424 1 SECTION 1.
2525 2 The General Laws, as appearing in the 2022 Official Edition, are hereby amended by
2626 3inserting after chapter 93L the following chapter:
2727 4 Chapter 93M. Massachusetts Data Privacy Protection Act
2828 5 Section 1. Definitions
2929 6 (a)As used in this chapter, the following words shall, unless the context clearly
3030 7requires otherwise, have the following meanings:
3131 8 (1)“authentication”, the process of verifying an individual or entity for security
3232 9purposes.
3333 10 (2)“biometric data”, data generated from the technological processing of an
3434 11individual’s unique biological, physical, or physiological characteristics that is linked or
3535 12reasonably linkable to an individual, including but not limited to retina or iris scans, fingerprint, 2 of 64
3636 13voiceprint, map or scan of hand or face geometry, vein pattern, gait pattern; provided, however,
3737 14that “biometric information” shall not include:
3838 15 (i)a digital or physical photograph;
3939 16 (ii)an audio or video recording; or
4040 17 (iii)data generated from a digital or physical photograph, or an audio or video
4141 18recording, unless such data is generated to identify a specific individual.
4242 19 (3)"chapter”, this chapter of the General Laws, as from time to time may be
4343 20amended, and any regulations promulgated under said chapter.
4444 21 (4)“collect” and “collection”, buying, renting, licensing, gathering, obtaining,
4545 22receiving, accessing, or otherwise acquiring covered data by any means. This includes receiving
4646 23information from the consumer either actively, through interactions such as user registration, or
4747 24passively, by observing the consumer’s behavior.
4848 25 (5)“consent”, a clear affirmative act signifying an individual’s freely given, specific,
4949 26informed, and unambiguous agreement to allow the processing of specific categories of personal
5050 27information relating to the individual for a narrowly defined particular purpose after having been
5151 28informed, in response to a specific request from a covered entity that meets the requirements of
5252 29this chapter; provided, however, that “consent” may include a written statement, including a
5353 30statement written by electronic means, or any other unambiguous affirmative action; and
5454 31provided further, that the following shall not constitute “consent”:
5555 32 (i)acceptance of a general or broad terms of use or similar document that contains
5656 33descriptions of personal information processing along with other, unrelated information; 3 of 64
5757 34 (ii)hovering over, muting, pausing, or closing a given piece of content; or
5858 35 (iii)agreement obtained through dark patterns or a false, fictitious, fraudulent, or
5959 36materially misleading statement or representation.
6060 37 (6)“control”, with respect to an entity:
6161 38 (i)ownership of, or the power to vote, more than 50 percent of the outstanding shares
6262 39of any class of voting security of the entity;
6363 40 (ii)control over the election of a majority of the directors of the entity (or of
6464 41individuals exercising similar functions); or
6565 42 (iii)the power to exercise a controlling influence over the management of the entity.
6666 43 (7)“covered data”, information, including derived data, inferences, and unique
6767 44persistent identifiers, that identifies or is linked or reasonably linkable, alone or in combination
6868 45with other information, to an individual or a device that identifies or is linked or reasonably
6969 46linkable to an individual. However, the term “covered data” does not include de-identified data
7070 47or publicly available information.
7171 48 (8)“covered entity”, any entity or any person, other than an individual acting in a
7272 49non-commercial context, that alone or jointly with others determines the purposes and means of
7373 50collecting, processing, or transferring covered data.
7474 51 The term “covered entity” does not include:
7575 52 (i)government agencies or service providers to government agencies that exclusively
7676 53and solely process information provided by government entities; 4 of 64
7777 54 (ii)any entity or person that meets the following criteria for the period of the 3
7878 55preceding calendar years (or for the period during which the covered entity or service provider
7979 56has been in existence if such period is less than 3 years):
8080 57 (A)the entity or person’s average annual gross revenues during the period did not
8181 58exceed $20,000,000;
8282 59 (B)the entity or person, on average, did not annually collect or process the covered
8383 60data of more than 25,000 individuals during the period, other than for the purpose of initiating,
8484 61rendering, billing for, finalizing, completing, or otherwise collecting payment for a requested
8585 62service or product, so long as all covered data for such purpose was deleted or de-identified
8686 63within 90 days, except when necessary to investigate fraud or as consistent with a covered
8787 64entity’s return policy; and
8888 65 (C)no component of its revenue comes from transferring covered data during any
8989 66year (or part of a year if the covered entity has been in existence for less than 1 year) that occurs
9090 67during the period.
9191 68 (iii)a national securities association that is registered under 15 U.S.C. 78o-3 of the
9292 69Securities Exchange Act of 1934.and is operating solely for purposes under that act.
9393 70 (iv)a nonprofit organization that is established to detect and prevent fraudulent acts in
9494 71connection with insurance and is operating solely for that purpose.
9595 72 (9)“covered high-impact social media company”, a covered entity that provides any
9696 73internet-accessible platform where:
9797 74 (i)such covered entity generates $3,000,000,000 or more in annual revenue; 5 of 64
9898 75 (ii)such platform has 300,000,000 or more monthly active users for not fewer than 3
9999 76of the preceding 12 months on the online product or service of such covered entity; and
100100 77 (iii)such platform constitutes an online product or service that is primarily used by
101101 78users to access or share user-generated content.
102102 79 (10)“dark pattern or deceptive design”, a user interface that is designed, modified, or
103103 80manipulated with the purpose or substantial effect of obscuring, subverting, or impairing a
104104 81reasonable individual’s autonomy, decision-making, or choice, including, but not limited to, any
105105 82practice the Federal Trade Commission refers to as a “dark pattern.”
106106 83 (11)“data broker”, a covered entity whose principal source of revenue is derived from
107107 84processing or transferring covered data that the covered entity did not collect directly from the
108108 85individuals linked or linkable to the covered data. This term does not include a covered entity
109109 86insofar as such entity processes employee data collected by and received from a third party
110110 87concerning any individual who is an employee of the third party for the sole purpose of such
111111 88third-party providing benefits to the employee. An entity may not be considered to be a data
112112 89broker for purposes of this chapter if the entity is acting as a service provider.
113113 90 (12)“de-identified data”, information that does not identify and is not linked or
114114 91reasonably linkable to a distinct individual or a device, regardless of whether the information is
115115 92aggregated, and if the covered entity or service provider:
116116 93 (i)takes technical measures to ensure that the information cannot, at any point, be
117117 94used to re-identify any individual or device that identifies or is linked or reasonably linkable to
118118 95an individual; 6 of 64
119119 96 (ii)publicly commits in a clear and conspicuous manner:
120120 97 (A)to process and transfer the information solely in a de-identified form without any
121121 98reasonable means for re-identification; and
122122 99 (B)to not attempt to re-identify the information with any individual or device that
123123 100identifies or is linked or reasonably linkable to an individual; and
124124 101 (iii)contractually obligates any person or entity that receives the information from the
125125 102covered entity or service provider:
126126 103 (A)to comply with all the provisions of this paragraph with respect to the
127127 104information; and
128128 105 (B)to require that such contractual obligations be included contractually in all
129129 106subsequent instances for which the data may be received.
130130 107 (13)“derived data”, covered data that is created by the derivation of information, data,
131131 108assumptions, correlations, inferences, predictions, or conclusions from facts, evidence, or another
132132 109source of information or data about an individual or an individual’s device.
133133 110 (14)“device”, any electronic equipment capable of collecting, processing, or
134134 111transferring data that is used by one or more individuals or households.
135135 112 (15)“genetic information”, any covered data, regardless of its format, that concerns an
136136 113individual’s genetic characteristics, including but not limited to:
137137 114 (i)raw sequence data that results from the sequencing of the complete, or a portion
138138 115of the, extracted deoxyribonucleic acid (DNA) of an individual; or 7 of 64
139139 116 (ii)genotypic and phenotypic information that results from analyzing raw sequence
140140 117data described in subparagraph (i).
141141 118 (16)“homepage”, the introductory page of an internet website and any internet web
142142 119page where personal information is collected; provided, however, that in the case of an online
143143 120service, such as a mobile application, “homepage” shall include:
144144 121 (i)the application’s platform page or download page;
145145 122 (ii)a link within the application, such as from the application configuration, “About,”
146146 123“Information,” or settings page; and
147147 124 (iii)any other location that allows individuals to review the notices required by this
148148 125chapter, including, but not limited to, before downloading the application.
149149 126 (17)“individual”, a natural person who is a Massachusetts resident or is present in
150150 127Massachusetts.
151151 128 (18)“knowledge”,
152152 129 (i)with respect to a covered entity that is a covered high-impact social media company,
153153 130the entity knew or should have known the individual was a minor;
154154 131 (ii)with respect to a covered entity or service provider that is a large data holder, and
155155 132otherwise is not a covered high-impact social media company, that the covered entity knew or
156156 133acted in willful disregard of the fact that the individual was a minor; and
157157 134 (iii)with respect to a covered entity or service provider that does not meet the
158158 135requirements of clause (i) or (ii), actual knowledge. 8 of 64
159159 136 (19)“large data holder”, a covered entity or service provider that in the most recent
160160 137calendar year:
161161 138 (i)had annual gross revenues of $200,000,000 or more; and
162162 139 (ii)collected, processed, or transferred the covered data of more than 2,000,000
163163 140individuals or devices that identify or are linked or reasonably linkable to one or more
164164 141individuals, excluding covered data collected and processed solely for the purpose of initiating,
165165 142rendering, billing for, finalizing, completing, or otherwise collecting payment for a requested
166166 143product or service; or the sensitive covered data of more than 200,000 individuals or devices that
167167 144identify or are linked or reasonably linkable to one or more individuals.
168168 145 The term “large data holder” does not include any instance in which the covered entity or
169169 146service provider would qualify as a large data holder solely on the basis of collecting or
170170 147processing personal email addresses, personal telephone numbers, or log-in information of an
171171 148individual or device to allow the individual or device to log in to an account administered by the
172172 149covered entity or service provider.
173173 150 (20)“material”, with respect to an act, practice, or representation of a covered entity
174174 151(including a representation made by the covered entity in a privacy policy or similar disclosure to
175175 152individuals) involving the collection, processing, or transfer of covered data, that such act,
176176 153practice, or representation is likely to affect a reasonable individual’s decision or conduct
177177 154regarding a product or service
178178 155 (21)“minor”, an individual under the age of 18.
179179 156 (22)“OCABR”, the Office of Consumer Affairs and Business Regulation. 9 of 64
180180 157 (23)“precise geolocation information,” information derived from a device or from
181181 158interactions between devices, with or without the knowledge of the user and regardless of the
182182 159technological method used, that pertains to or directly or indirectly reveals the present or past
183183 160geographical location of an individual or device within the Commonwealth of Massachusetts
184184 161with sufficient precision to identify street-level location information within a range of 1,850 feet
185185 162or less.
186186 163 (24)“process”, any operation or set of operations performed on information or on sets
187187 164of information, whether or not by automated means, including but not limited to the use, storage,
188188 165analysis, deletion, or modification of information.
189189 166 (25)“processing purpose”, a reason for which a covered entity or service provider
190190 167collects, processes, or transfers covered data that is specific and granular enough for a reasonable
191191 168individual to understand the material facts of how and why the covered entity or service provider
192192 169collects, processes, or transfers the covered data.
193193 170 (26)"profiling", any form of automated processing performed on personal data to
194194 171evaluate, analyze or predict personal aspects related to an identified or identifiable individual's
195195 172economic situation, health, personal preferences, interests, reliability, behavior, location or
196196 173movements.
197197 174 (27)“publicly available information”, any information that a covered entity or service
198198 175provider has a reasonable basis to believe has been lawfully made available to the general public
199199 176from: 10 of 64
200200 177 (i)federal, state, or local government records, if the covered entity collects,
201201 178processes, and transfers such information in accordance with any restrictions or terms of use
202202 179placed on the information by the relevant government entity;
203203 180 (ii)widely distributed media;
204204 181 (iii)a website or online service made available to all members of the public, for free or
205205 182for a fee, including where all members of the public, for free or for a fee, can log in to the
206206 183website or online service;
207207 184 (iv)a disclosure that has been made to the general public as required by federal, state,
208208 185or local law; or
209209 186 (v)the visual observation of the physical presence of an individual or a device in a
210210 187public place, not including data collected by a device in the individual’s possession.
211211 188 For purposes of this paragraph, information from a website or online service is not
212212 189available to all members of the public if the individual who made the information available via
213213 190the website or online service has either restricted the information to a specific audience or
214214 191reasonably expects that the information will not be distributed to so many persons as to become a
215215 192matter of public knowledge.
216216 193 The term “publicly available information” does not include:
217217 194 (i)any obscene visual depiction, as defined in 18 U.S.C. section 1460;
218218 195 (ii)any inference made exclusively from multiple independent sources of publicly
219219 196available information that reveals sensitive covered data with respect to an individual; 11 of 64
220220 197 (iii)biometric information;
221221 198 (iv)publicly available information that has been combined with covered data;
222222 199 (v)genetic information, unless otherwise made available by the individual to whom
223223 200the information pertains:
224224 201 (vi)intimate images known to have been created or shared without consent.
225225 202 (28)“reasonably understandable”, of length and complexity such that an individual
226226 203with an eighth-grade reading level, as established by the department of elementary and secondary
227227 204education, can read and comprehend.
228228 205 (29)“sensitive covered data”, a form of coved data, including:
229229 206 (i)an individual’s precise geolocation information;
230230 207 (ii)biometric or genetic information;
231231 208 (iii)the covered data of an individual when a covered entity or service provider has
232232 209knowledge the individual is a minor;
233233 210 (iv)covered data that reveals an individual’s:
234234 211 (A)race, color, ethnicity, or national origin;
235235 212 (B)sex or gender identity;
236236 213 (C)religious beliefs;
237237 214 (D)citizenship or immigration status; 12 of 64
238238 215 (E)military service; or
239239 216 (F)status as a victim of a crime.
240240 217 (v)covered data processed concerning an individual’s past, present or future mental
241241 218or physical health condition, disability, diagnosis or treatment, including pregnancy and cosmetic
242242 219treatment;
243243 220 (vi)covered data processed concerning an individual’s sexual orientation, sex life or
244244 221reproductive health, including, but not limited to, the use or purchase of contraceptives, birth
245245 222control, abortifacients or other medication, products or services related to reproductive health;
246246 223 (vii)covered data that reveals an individual’s philosophical beliefs or union
247247 224membership;
248248 225 (viii)covered data that reveals an individual’s government-issued identifier, including
249249 226but not limited to, social security number, driver’s license number, military identification
250250 227number, passport number or state-issued identification card number but does not include a
251251 228government-issued identifier required by law to be displayed in public;
252252 229 (ix)covered data that reveals an individual’s financial account number, or credit or
253253 230debit card number, with or without any required security code, access code, personal
254254 231identification number or password, that would permit access to an individual’s financial account,
255255 232or information that describes or reveals the income level or bank account balances of an
256256 233individual;
257257 234 (x)covered data that reveals account or device log-in credentials, or security or
258258 235access codes for an account or device; 13 of 64
259259 236 (xi)covered data that reveals an individual’s private communications such as
260260 237voicemails, emails, texts, direct messages, or mail, or information identifying the parties to such
261261 238communications, voice communications, video communications, and any information that
262262 239pertains to the transmission of such communications, including telephone numbers called,
263263 240telephone numbers from which calls were placed, the time calls were made, call duration, and
264264 241location information of the parties to the call, unless the covered entity or a service provider
265265 242acting on behalf of the covered entity is the sender or an intended recipient of the
266266 243communication. Communications are not private for purposes of this clause if such
267267 244communications are made from or to a device provided by an employer to an employee insofar
268268 245as such employer provides conspicuous notice that such employer may access such
269269 246communications;
270270 247 (xii)covered data that reveals calendar information, address book information, phone
271271 248or text logs, photos, audio recordings, or videos, maintained for private use by an individual,
272272 249regardless of whether such information is stored on the individual’s device or is accessible from
273273 250that device and is backed up in a separate location. Such information is not sensitive for purposes
274274 251of this paragraph if such information is sent from or to a device provided by an employer to an
275275 252employee insofar as such employer provides conspicuous notice that it may access such
276276 253information.
277277 254 (xiii)a photograph, film, video recording, or other similar medium that shows the
278278 255naked or undergarment-clad private area of an individual; 14 of 64
279279 256 (xiv)covered data that reveals the video content requested or selected by an individual
280280 257collected by a covered entity. This clause does not include covered data used solely for transfers
281281 258for independent video measurement.
282282 259 (xv)covered data that reveals an individual’s online activities over time and across
283283 260third-party websites or online services.
284284 261 (xvi)any other covered data collected, processed, or transferred for the purpose of
285285 262identifying the types of covered data listed in clauses (i) through (xv), inclusive.
286286 263 (30)“service provider”, a person or entity that:
287287 264 (i)collects, processes, or transfers covered data on behalf of, and at the direction of,
288288 265a covered entity or a government agency; and
289289 266 (ii)receives covered data from or on behalf of a covered entity or a government
290290 267agency.
291291 268 A service provider that receives service provider data from another service provider as
292292 269permitted under this chapter shall be treated as a service provider under this chapter with respect
293293 270to such data.
294294 271 (31)“service provider data”, covered data that is collected or processed by or has been
295295 272transferred to a service provider by or on behalf of a covered entity or a government agency or
296296 273another service provider for the purpose of allowing the service provider to whom such covered
297297 274data is transferred to perform a service or function on behalf of, and at the direction of, such
298298 275covered entity or government agency. 15 of 64
299299 276 (32)“targeted advertising”, presenting to an individual or device identified by a unique
300300 277identifier, or groups of individuals or devices identified by unique identifiers, an online
301301 278advertisement that is selected based on known or predicted preferences, characteristics, or
302302 279interests associated with the individual or a device identified by a unique identifier; provided,
303303 280however, that “targeted advertising” does not include:
304304 281 (i)advertising or marketing to an individual or an individual’s device in response to
305305 282the individual’s specific request for information or feedback;
306306 283 (ii)contextual advertising, which is when an advertisement is displayed based on the
307307 284content with or in which the advertisement appears and does not vary based on who is viewing
308308 285the advertisement; or
309309 286 (iii)processing covered data strictly necessary for the sole purpose of measuring or
310310 287reporting advertising or content performance, reach, or frequency, including independent
311311 288measurement.
312312 289 (33)“third party”, any person or entity, including a covered entity, that
313313 290 (i)collects, processes, or transfers covered data and is not a consumer-facing
314314 291business with which the individual linked or reasonably linkable to such covered data expects
315315 292and intends to interact; and
316316 293 (ii)is not a service provider with respect to such data.
317317 294 This term does not include a person or entity that collects covered data from another
318318 295entity if the two entities are related by common ownership or corporate control, but only if a
319319 296reasonable consumer’s reasonable expectation would be that such entities share information. 16 of 64
320320 297 (34)“third party data”, covered data that has been transferred to a third party.
321321 298 (35)“transfer”, to disclose, sell, release, disseminate, make available, license, rent, or
322322 299share covered data orally, in writing, electronically, or by any other means.
323323 300 (36)“unique identifier”, an identifier to the extent that such identifier is reasonably
324324 301linkable to an individual or device that identifies or is linked or reasonably linkable to 1 or more
325325 302individuals, including a device identifier, Internet Protocol address, cookie, beacon, pixel tag,
326326 303mobile ad identifier, or similar technology, customer number, unique pseudonym, user alias,
327327 304telephone number, or other form of persistent or probabilistic identifier that is linked or
328328 305reasonably linkable to an individual or device. This term does not include an identifier assigned
329329 306by a covered entity for the specific purpose of giving effect to an individual’s exercise of consent
330330 307or opt-outs of the collection, processing, and transfer of covered data pursuant to this chapter or
331331 308otherwise limiting the collection, processing, or transfer of such information.
332332 309 (37)“widely distributed media”, information that is available to the general public,
333333 310including information from a telephone book or online directory, a television, internet, or radio
334334 311program, the news media, or an internet site that is available to the general public on an
335335 312unrestricted basis, but does not include an obscene visual depiction, as defined in 18 U.S.C.
336336 313section 1460.
337337 314 Section 2. Duty of Loyalty
338338 315 (a) A covered entity or service provider may not collect, process, or transfer covered data
339339 316unless the collection, processing, or transfer is limited to what is reasonably necessary and
340340 317proportionate to carry out one of the following purposes: 17 of 64
341341 318 (1) provide or maintain a specific product or service requested by the individual to whom
342342 319the data pertains;
343343 320 (2) initiate, manage, complete a transaction, or fulfill an order for specific products or
344344 321services requested by an individual, including any associated routine administrative, operational,
345345 322and account-servicing activity such as billing, shipping, delivery, storage, and accounting;
346346 323 (3) authenticate users of a product or service;
347347 324 (4) fulfill a product or service warranty;
348348 325 (5) prevent, detect, protect against, or respond to a security incident. For purposes of this
349349 326paragraph, security is defined as network security and physical security and life safety, including
350350 327an intrusion or trespass, medical alerts, fire alarms, and access control security;
351351 328 (6) to prevent, detect, protect against, or respond to fraud, harassment, or illegal activity
352352 329targeted at or involving the covered entity or its services. For purposes of this paragraph, the
353353 330term “illegal activity”, a violation of a federal, state, or local law punishable as a felony or
354354 331misdemeanor that can directly harm;
355355 332 (7) comply with a legal obligation imposed by state or federal law, or to investigate,
356356 333establish, prepare for, exercise, or defend legal claims involving the covered entity or service
357357 334provider;
358358 335 (8) effectuate a product recall pursuant to state or federal law;
359359 336 (9) conduct a public or peer-reviewed scientific, historical, or statistical research project
360360 337that: 18 of 64
361361 338 (i) is in the public interest; and
362362 339 (ii) adheres to all relevant laws and regulations governing such research, including
363363 340regulations for the protection of human subjects, or is excluded from criteria of the institutional
364364 341review board;
365365 342 (10) deliver a communication that is not an advertisement to an individual, if the
366366 343communication is reasonably anticipated by the individual within the context of the individual’s
367367 344interactions with the covered entity;
368368 345 (11) deliver a communication at the direction of an individual between such individual
369369 346and one or more individuals or entities;
370370 347 (12) ensure the data security and integrity of covered data in accordance with chapter
371371 34893H; or
372372 349 (13) transfer assets to a third party in the context of a merger, acquisition, bankruptcy, or
373373 350similar transaction when the third party assumes control, in whole or in part, of the covered
374374 351entity’s assets, only if the covered entity, in a reasonable time prior to such transfer, provides
375375 352each affected individual with:
376376 353 (i) a notice describing such transfer, including the name of the entity or entities receiving
377377 354the individual’s covered data and their privacy policies; and
378378 355 (ii) a reasonable opportunity to withdraw any previously given consents related to the
379379 356individual’s covered data and a reasonable opportunity to request the deletion of the individual’s
380380 357covered data. 19 of 64
381381 358 (b) A covered entity or service provider may, with respect to covered data previously
382382 359collected in accordance with the previous subsection, process such data:
383383 360 (1) as necessary to provide advertising or marketing of products or services provided by
384384 361the covered entity to an individual who is not a minor or device by electronic or non-electronic
385385 362means, provided that the delivery of such advertising or marketing complies with the
386386 363requirements of this chapter;
387387 364 (2) process such data as necessary to perform system maintenance or diagnostics;
388388 365 (3) develop, maintain, repair, or enhance a product or service for which such data was
389389 366collected;
390390 367 (4) to conduct internal research or analytics to improve a product or service for which
391391 368such data was collected;
392392 369 (5) perform inventory management or reasonable network management;
393393 370 (6) protect against spam; or
394394 371 (7) debug or repair errors that impair the functionality of a service or product for which
395395 372such data was collected.
396396 373 (c) A covered entity or service provider shall not:
397397 374 (1) engage in deceptive advertising or marketing with respect to a product or service
398398 375offered to an individual; or
399399 376 (2) draw an individual into signing up for or acquiring a product or service through:— 20 of 64
400400 377 (i) the use of any false, fictitious, fraudulent, or materially misleading statement or
401401 378representation; or
402402 379 (ii) the use of a dark pattern or deceptive design.
403403 380 (d) Nothing in this chapter shall be construed or interpreted to:
404404 381 (1) limit or diminish free speech rights of covered entities guaranteed under the First
405405 382Amendment to the Constitution of the United States or under Article 16 of Massachusetts
406406 383Declaration of Rights; or
407407 384 (2) imply any purpose that is not enumerated in subsections (a) and (b), when applicable.
408408 385 Section 3. Sensitive Covered Data
409409 386 (a) A covered entity or service provider shall not:
410410 387 (1) collect, process, or transfer a Social Security number, except when necessary to
411411 388facilitate an extension of credit, authentication, fraud and identity fraud detection and prevention,
412412 389the payment or collection of taxes, the enforcement of a contract between parties, or the
413413 390prevention, investigation, or prosecution of fraud or illegal activity, or as otherwise required by
414414 391state or federal law;
415415 392 (2) collect or process sensitive covered data, except where such collection or processing
416416 393is strictly necessary to provide or maintain a specific product or service requested by the
417417 394individual to whom the covered data pertains or is strictly necessary to effect a purpose
418418 395enumerated in paragraphs (1), (2), (3), (5), (7), (9), (10), (11), (13), of subsection (a) of section 2,
419419 396and such data is only used for that purposes; 21 of 64
420420 397 (3) transfer an individual’s sensitive covered data to a third party, unless:
421421 398 (i) the transfer is made pursuant to the consent of the individual, given before each
422422 399specific transfer takes place;
423423 400 (ii) the transfer is necessary to comply with a legal obligation imposed by state or federal
424424 401law, so long as such obligation preexisted the collection and previous notice of such obligation
425425 402was provided to the individual to whom the data pertains;
426426 403 (iii) the transfer is necessary to prevent an individual from imminent injury where the
427427 404covered entity believes in good faith that the individual is at risk of death, serious physical
428428 405injury, or serious health risk;
429429 406 (iv) in the case of the transfer of a password, the transfer is necessary to use a designated
430430 407password manager or is to a covered entity for the exclusive purpose of identifying passwords
431431 408that are being reused across sites or accounts;
432432 409 (v) in the case of the transfer of genetic information, the transfer is necessary to perform a
433433 410medical diagnosis or medical treatment specifically requested by an individual, or to conduct
434434 411medical research in accordance with federal and state law; or
435435 412 (vi) in the case of transfer assets in case of a merger, if the transfer is made in accordance
436436 413with paragraph (13) of subsection (a) of section (2); or
437437 414 (4) process sensitive covered data for the purposes of targeted advertising.
438438 415 Section 4. Data Subject Rights 22 of 64
439439 416 (a) A covered entity shall provide an individual, after receiving a verified request from
440440 417the individual, with the right to:
441441 418 (1) access:
442442 419 (i) in a human-readable format that a reasonable individual can understand and download
443443 420from the internet and transmit freely, the covered data (except covered data in a back-up or
444444 421archival system) of the individual making the request that is collected, processed, or transferred
445445 422by the covered entity or any service provider of the covered entity within the 12 months
446446 423preceding the request;
447447 424 (ii) the categories of any third party or service provider, if applicable, and an option for
448448 425consumers to obtain the names of any such third party as well as and the categories of any
449449 426service providers to whom the covered entity has transferred the covered data of the individual,
450450 427as well as the categories of sources from which the covered data was collected; and
451451 428 (iii) a description of the purpose for which the covered entity transferred the covered data
452452 429of the individual to a third party or service provider;
453453 430 (2) correct any verifiable substantial inaccuracy or substantially incomplete information
454454 431with respect to the covered data of the individual that is processed by the covered entity and
455455 432instruct the covered entity to make reasonable efforts to notify all third parties or service
456456 433providers to which the covered entity transferred such covered data of the corrected information;
457457 434 (3) delete covered data of the individual that is processed by the covered entity and
458458 435instruct the covered entity to make reasonable efforts to notify all third parties or service 23 of 64
459459 436provider to which the covered entity transferred such covered data of the individual’s deletion
460460 437request; and
461461 438 (4) to the extent technically feasible, export to the individual or directly to another entity
462462 439the covered data of the individual that is processed by the covered entity, including inferences
463463 440linked or reasonably linkable to the individual but not including other derived data, without
464464 441licensing restrictions that limit such transfers in:
465465 442 (i) a human-readable format that a reasonable individual can understand and download
466466 443from the internet and transmit freely; and
467467 444 (ii) a portable, structured, interoperable, and machine-readable format.
468468 445 (b) A covered entity may not condition, effectively condition, attempt to condition, or
469469 446attempt to effectively condition the exercise of a right described in subsection (a) through:
470470 447 (1) the use of any false, fictitious, fraudulent, or materially misleading statement or
471471 448representation; or
472472 449 (2) the use of any dark pattern or deceptive design.
473473 450 (c) Subject to subsections (d) and (e), each request under subsection (a) shall be
474474 451completed within 45 days of such request from an individual, unless it is demonstrably
475475 452impracticable or impracticably costly to verify such individual’s request.
476476 453 (d)A response period set forth in this subsection may be extended once by 20 additional
477477 454days when reasonably necessary, considering the complexity and number of the individual’s
478478 455requests, so long as the covered entity informs the individual of any such extension within the
479479 456initial 45-day response period, together with the reason for the extension. 24 of 64
480480 457 (e) A covered entity:
481481 458 (1) shall provide an individual with the opportunity to exercise each of the rights
482482 459described in subsection (a) and with respect to:
483483 460 (i) the first two times that an individual exercises any right described in subsection (a) in
484484 461any 12-month period, shall allow the individual to exercise such right free of charge; and
485485 462 (ii) any time beyond the initial two times described in subparagraph (i), may allow the
486486 463individual to exercise such right for a reasonable fee for each request.
487487 464 (f) A covered entity may not permit an individual to exercise a right described in
488488 465subsection (a), in whole or in part, if the covered entity:
489489 466 (1) cannot reasonably verify that the individual making the request to exercise the right is
490490 467the individual whose covered data is the subject of the request or an agent authorized to make
491491 468such a request on the individual’s behalf;
492492 469 (2) reasonably believes that the request is made to interfere with a contract between the
493493 470covered entity and another individual;
494494 471 (3) determines that the exercise of the right would require access to or correction of
495495 472another individual’s sensitive covered data;
496496 473 (4) reasonably believes that the exercise of the right would require the covered entity to
497497 474engage in an unfair or deceptive practice under state law; or
498498 475 (5) reasonably believes that the request is made to further fraud, support criminal activity,
499499 476or the exercise of the right presents a data security threat. 25 of 64
500500 477 (g) If a covered entity cannot reasonably verify that a request to exercise a right described
501501 478in subsection (a) is made by the individual whose covered data is the subject of the request, the
502502 479covered entity:
503503 480 (1) may request that the individual making the request to exercise the right provide any
504504 481additional information necessary for the sole purpose of verifying the identity of the individual;
505505 482and
506506 483 (2) may not process or transfer such additional information for any other purpose.
507507 484 (h) A covered entity may decline, with adequate explanation to the individual, to comply
508508 485with a request to exercise a right described in subsection (a), in whole or in part, that would:
509509 486 (1) require the covered entity to retain any covered data collected for a single, one-time
510510 487transaction, if such covered data is not processed or transferred by the covered entity for any
511511 488purpose other than completing such transaction;
512512 489 (2) be demonstrably impracticable or prohibitively costly to comply with, and the
513513 490covered entity shall provide a description to the requestor detailing the inability to comply with
514514 491the request;
515515 492 (3) require the covered entity to attempt to re-identify any de-identified data;
516516 493 (4) require the covered entity to either maintain covered data in an identifiable form or to
517517 494collect, retain, or access any data in order to be capable of associating a verified individual
518518 495request with covered data of such individual;
519519 496 (5) result in the release of trade secrets or other privileged or confidential business
520520 497information; 26 of 64
521521 498 (6) require the covered entity to correct any covered data that cannot be reasonably
522522 499verified as being inaccurate or incomplete;
523523 500 (7) interfere with law enforcement, judicial proceedings, investigations, or reasonable
524524 501efforts to guard against, detect, prevent, or investigate fraudulent, malicious, or unlawful activity,
525525 502or enforce valid contracts;
526526 503 (8) violate state or federal law or the rights and freedoms of another individual, including
527527 504under the Constitution of the United States and Massachusetts Declaration of Rights;
528528 505 (9) prevent a covered entity from being able to maintain a confidential record of deletion
529529 506requests, maintained solely for the purpose of preventing covered data of an individual from
530530 507being recollected after the individual submitted a deletion request and requested that the covered
531531 508entity no longer collect, process, or transfer such data; or
532532 509 (10) endanger the source of the data if such data could only have been obtained from a
533533 510single identified source.
534534 511 (i) A covered entity may decline, with adequate explanation to the individual, to comply
535535 512with a request for deletion pursuant to paragraph (3) of subsection (a) if such request:
536536 513 (1) unreasonably interferes with the provision of products or services by the covered
537537 514entity to another person it currently serves;
538538 515 (2) requests to delete covered data that relates to (A) a public figure, public official, or
539539 516limited-purpose public figure; or (B) any other individual that has no reasonable expectation of
540540 517privacy with respect to such data; 27 of 64
541541 518 (3) requests to delete covered data reasonably necessary to perform a contract between
542542 519the covered entity and the individual;
543543 520 (4) requests to delete covered data that the covered entity needs to retain in order to
544544 521comply with professional ethical obligations;
545545 522 (5) requests to delete covered data that the covered entity reasonably believes may be
546546 523evidence of unlawful activity or an abuse of the covered entity’s products or service; or
547547 524 (6) is directed to a consumer reporting agency, as defined in 15 U.S.C. 1681a(f) and
548548 525targets covered data that is used for the purpose of evaluating a consumer’s creditworthiness,
549549 526credit standing, credit capacity, character, general reputation, personal characteristics or mode of
550550 527living, subject to and strictly maintained in accordance with, the provisions of the Fair Credit
551551 528Reporting Act, 15 U.S.C. 1681 et seq.
552552 529 (j) In a circumstance that would allow a denial pursuant to this section, a covered entity
553553 530shall partially comply with the remainder of the request if it is possible and not unduly
554554 531burdensome to do so.
555555 532 (k) The receipt of a large number of verified requests, on its own, may not be considered
556556 533to render compliance with a request demonstrably impracticable.
557557 534 (l) A covered entity shall facilitate the ability of individuals to make requests under
558558 535subsection (a) in any language in which the covered entity provides a product or service. The
559559 536mechanisms by which a covered entity enables individuals to make requests under subsection (a)
560560 537shall be readily accessible and usable by individuals with disabilities. Such mechanisms shall, at 28 of 64
561561 538a minimum, be accessible in the same or a similar location as the privacy policies required by
562562 539section 9 of this chapter.
563563 540 Section 5. Consent Practices
564564 541 (a) The requirements of this chapter with respect to a request for consent from a covered
565565 542entity or service provider to an individual are the following:
566566 543 (1) The request for consent shall be provided to the individual in a clear and conspicuous
567567 544standalone disclosure made through the primary medium used to offer the covered entity’s
568568 545product or service, or, in the case that the product or service is not offered in a medium that does
569569 546permits the making of the request under this paragraph, another medium regularly used in
570570 547conjunction with the covered entity’s product or service;
571571 548 (2) The request includes a description of the processing purpose for which the
572572 549individual’s consent is sought by:
573573 550 (i) clearly stating the specific categories of covered data that the covered entity shall
574574 551collect, process, and transfer necessary to effectuate the processing purpose; and
575575 552 (ii) including a prominent heading and is reasonably understandable so that an individual
576576 553can identify and understand the processing purpose for which consent is sought and the covered
577577 554data to be collected, processed, or transferred by the covered entity for such processing purpose;
578578 555 (3) The request clearly explains the individual’s applicable rights related to consent;
579579 556 (4) The request is made in a manner reasonably accessible to and usable by individuals
580580 557with disabilities; 29 of 64
581581 558 (5) The request is made available to the individual in each covered language in which the
582582 559covered entity provides a product or service for which authorization is sought;
583583 560 (6) The option to refuse consent shall be at least as prominent as the option to accept, and
584584 561the option to refuse consent shall take the same number of steps or fewer as the option to accept;
585585 562 (7)Processing or transferring any covered data collected pursuant to consent for a
586586 563different processing purpose than that for which consent was obtained shall require consent for
587587 564the subsequent processing purpose;
588588 565 (8)The request for consent must be displayed at or before the point of collection; and
589589 566 (9) The request must be accompanied by a copy of the covered entity’s or service
590590 567provider’s privacy policy subject to the requirements of section 9, which may be included with
591591 568the request as a hyperlink, and, if the covered entity is a large data holder, shall also include the
592592 569short form privacy policy as required by subsection (h) of section 9.
593593 570 (b) A covered entity shall not infer that an individual has provided consent to a practice
594594 571from the inaction of the individual or the individual’s continued use of a service or product
595595 572provided by the covered entity.
596596 573 (c)A covered entity shall not obtain or attempt to obtain the consent of an individual
597597 574through:
598598 575 (1) the use of any false, fictitious, fraudulent, or materially misleading statement or
599599 576representation;
600600 577 (2) the use of any dark pattern or deceptive design; or 30 of 64
601601 578 (3) conditioning or limiting access to an individual’s account.
602602 579 Section 6. Privacy by Design
603603 580 (a) A covered entity or service provider shall establish, implement, and maintain
604604 581reasonable policies, practices, and procedures that reflect the role of the covered entity or service
605605 582provider in the collection, processing, and transferring of covered data and that:
606606 583 (1 ) consider applicable federal and state laws, rules, or regulations related to covered
607607 584data the covered entity or service provider collects, processes, or transfers;
608608 585 (2) identify, assess, and mitigate privacy risks related to minors;
609609 586 (3) mitigate privacy risks related to the products and services of the covered entity or the
610610 587service provider, including in the design, development, and implementation of such products and
611611 588services, considering the role of the covered entity or service provider and the information
612612 589available to it;
613613 590 (4) evaluate the length of time that covered data shall be retained and circumstances
614614 591under which covered data shall be deleted, de-identified, or otherwise modified with respect to
615615 592the purposes for which it was collected or processed and the sensitivity of the covered data; and
616616 593 (5) implement reasonable training and safeguards within the covered entity and service
617617 594provider to promote compliance with all privacy laws applicable to covered data the covered
618618 595entity collects, processes, or transfers or covered data the service provider collects, processes, or
619619 596transfers on behalf of the covered entity and mitigate privacy risks taking into account the role of
620620 597the covered entity or service provider and the information available to it. 31 of 64
621621 598 (b)The policies, practices, and procedures established by a covered entity or service
622622 599provider under subsection (a), shall correspond with, as applicable:
623623 600 (1) the size of the covered entity or the service provider and the nature, scope, and
624624 601complexity of the activities engaged in by the covered entity or service provider, including
625625 602whether the covered entity or service provider is a large data holder, nonprofit organization,
626626 603small business, third party, or data broker, considering the role of the covered entity or service
627627 604provider and the information available to it;
628628 605 (2) the sensitivity of the covered data collected, processed, or transferred by the covered
629629 606entity or service provider;
630630 607 (3)the volume of covered data collected, processed, or transferred by the covered entity
631631 608or service provider;
632632 609 (4)the number of individuals and devices to which the covered data collected, processed,
633633 610or transferred by the covered entity or service provider relates; and
634634 611 (5)the cost of implementing such policies, practices, and procedures in relation to the
635635 612risks and nature of the covered data.
636636 613 Section 7. Pricing
637637 614 (a) A covered entity may not retaliate against an individual for:
638638 615 (1) exercising any of the rights guaranteed by this chapter, or any regulations
639639 616promulgated under this chapter; or 32 of 64
640640 617 (2) refusing to agree to collection or processing of covered data for a separate product or
641641 618service, including denying goods or services, charging different prices or rates for goods or
642642 619services, or providing a different level of quality of goods or services.
643643 620 (b) Nothing in subsection (a) shall be construed to:
644644 621 (1) prohibit the relation of the price of a service or the level of service provided to an
645645 622individual to the provision, by the individual, of financial information that is necessarily
646646 623collected and processed only for the purpose of initiating, rendering, billing for, or collecting
647647 624payment for a service or product requested by the individual;
648648 625 (2) prohibit a covered entity from offering a different price, rate, level, quality or
649649 626selection of goods or services to an individual, including offering goods or services for no fee, if
650650 627the offering is in connection with an individual’s voluntary participation in a bona fide loyalty,
651651 628rewards, premium features, discount or club card program, provided, that the covered entity may
652652 629not sell covered data to a third-party as part of such a program unless:
653653 630 (i) the sale is reasonably necessary to enable the third party to provide a benefit to which
654654 631the consumer is entitled;
655655 632 (ii) the sale of personal data to third parties is clearly disclosed in the terms of the
656656 633program; and
657657 634 (iii) the third party uses the personal data only for purposes of facilitating such a benefit
658658 635to which the consumer is entitled and does not retain or otherwise use or disclose the personal
659659 636data for any other purpose; 33 of 64
660660 637 (3) require a covered entity to provide a bona fide loyalty program that would require the
661661 638covered entity to collect, process, or transfer covered data that the covered entity otherwise
662662 639would not collect, process, or transfer;
663663 640 (4) prohibit a covered entity from offering a financial incentive or other consideration to
664664 641an individual for participation in market research;
665665 642 (5)prohibit a covered entity from offering different types of pricing or functionalities with
666666 643respect to a product or service based on an individual’s exercise of a right to delete; or
667667 644 (6)prohibit a covered entity from declining to provide a product or service insofar as the
668668 645collection and processing of covered data is strictly necessary for such product or service.
669669 646 (c) Notwithstanding the provisions in this section, no covered entity may offer different
670670 647types of pricing that are unjust, unreasonable, coercive, or usurious in nature.
671671 648 Section 8. Civil Rights Protections
672672 649 (a) A covered entity or a service provider may not collect, process, or transfer covered
673673 650data or publicly available data in a manner that discriminates in or otherwise makes unavailable
674674 651the equal enjoyment of goods or services (i.e., has a disparate impact) on the basis of race, color,
675675 652religion, national origin, sex, sexual orientation, gender identity, disability, genetic information,
676676 653pregnancy or a condition related to said pregnancy including, but not limited to, lactation or the
677677 654need to express breast milk for a nursing child, ancestry or status as a veteran, or any other basis
678678 655protected by chapter 151B.
679679 656 (b) This subsection shall not apply to:
680680 657 (1) the collection, processing, or transfer of covered data for the purpose of: 34 of 64
681681 658 (i) covered entity’s or a service provider’s self-testing to prevent or mitigate unlawful
682682 659discrimination; or
683683 660 (ii) diversifying an applicant, participant, or customer pool; or
684684 661 (2) any private club or group not open to the public, as described in section 201(e) of the
685685 662Civil Rights Act of 1964, 42 U.S.C. section 2000a(e).
686686 663 (c) Whenever the Attorney General obtains information that a covered entity or service
687687 664provider may have collected, processed, or transferred covered data in violation of subsection
688688 665(a), the Attorney General shall initiate enforcement actions relating to such violation in
689689 666accordance with section 12 of this chapter.
690690 667 (1) Not later than 3 years after the date of enactment of this chapter, and annually no
691691 668later than December 31 of each year thereafter, the Attorney General shall submit to the joint
692692 669committee on ways and means, the joint committee on racial equity, civil rights, and inclusion,
693693 670and the joint committee on advanced information technology, the internet and cybersecurity a
694694 671report that includes a summary of the enforcement actions taken under this subsection.
695695 672 Section 9. Privacy Policy
696696 673 (a) Each covered entity or service provider shall make publicly available, in a clear and
697697 674conspicuous location on its homepage, a reasonably understandable and not misleading privacy
698698 675policy that provides a detailed and accurate representation of the data collection, processing, and
699699 676transfer activities of the covered entity or service provider.
700700 677 (b)The privacy policy must be provided in a manner that is reasonably accessible to and
701701 678usable by individuals with disabilities. The policy shall be made available to the public in each 35 of 64
702702 679covered language in which the covered entity or service provider provides a product or service
703703 680that is subject to the privacy policy; or carries out activities related to such product or service.
704704 681 (c) The privacy policy must include, at a minimum:
705705 682 (1) The identity and the contact information of:
706706 683 (i) the covered entity or service provider to which the privacy policy applies, including
707707 684the covered entity’s or service provider’s points of contact and generic electronic mail addresses,
708708 685as applicable for privacy and data security inquiries;
709709 686 (ii) any other entity within the same corporate structure as the covered entity or service
710710 687provider to which covered data is transferred by the covered entity;
711711 688 (2) the categories of covered data the covered entity or service provider collects or
712712 689processes;
713713 690 (3) the processing purposes for each category of covered data the covered entity or
714714 691service provider collects or processes;
715715 692 (4) whether the covered entity or service provider transfers covered data and, if so, each
716716 693category of service provider and third party to which the covered entity or service provider
717717 694transfers covered data, the name of each data broker to which the covered entity or service
718718 695provider transfers covered data, and the purposes for which such data is transferred to such
719719 696categories of service providers and third parties or third-party collecting entities, except for a
720720 697transfer to a governmental entity pursuant to a court order or law that prohibits the covered entity
721721 698or service provider from disclosing such transfer; 36 of 64
722722 699 (5) The length of time the covered entity or service provider intends to retain each
723723 700category of covered data, including sensitive covered data, or, if it is not possible to identify that
724724 701timeframe, the criteria used to determine the length of time the covered entity or service provider
725725 702intends to retain categories of covered data;
726726 703 (6) A prominent, clear, and reasonably understandable description of how an individual
727727 704can exercise the rights described in this chapter;
728728 705 (7) A general description of the covered entity’s or service provider’s data security
729729 706practices; and
730730 707 (8) The effective date of the privacy policy.
731731 708 (d) If a covered entity or service provider makes a material change to its privacy policy or
732732 709practices, the covered entity or service provider shall notify each individual affected by such
733733 710material change before implementing the material change with respect to any prospectively
734734 711collected covered data and, except as provided in paragraphs (1) through (13) of section 2,
735735 712subsection (a), provide a reasonable opportunity for each individual to withdraw consent to any
736736 713further materially different collection, processing, or transfer of previously collected covered
737737 714data under the changed policy.
738738 715 (e) A covered entity or service provider shall take all reasonable electronic measures to
739739 716provide direct notification regarding material changes to the privacy policy to each affected
740740 717individual, in each covered language in which the privacy policy is made available, and taking
741741 718into account available technology and the nature of the relationship. 37 of 64
742742 719 (f) Nothing in this section shall be construed to affect the requirements for covered
743743 720entities or service providers under other sections of this chapter.
744744 721 (g) Each large data holder shall retain copies of previous versions of its privacy policy for
745745 722at least 10 years beginning after the date of enactment of this chapter and publish them on its
746746 723website. Such large data holder shall make publicly available, in a clear, conspicuous, and
747747 724readily accessible manner, a log describing the date and nature of each material change to its
748748 725privacy policy over the past 10 years. The descriptions shall be sufficient for a reasonable
749749 726individual to understand the material effect of each material change. The obligations in this
750750 727paragraph shall not apply to any previous versions of a large data holder’s privacy policy, or any
751751 728material changes to such policy, that precede the date of enactment of this Act.
752752 729 (h) In addition to the privacy policy required under subsection (a), a large data holder that
753753 730is a covered entity shall provide a short form notice of no more than 500 words in length that
754754 731includes the main features of their data practices.
755755 732 (i) Each covered entity or service provider that collects, processes, or transfers biometric
756756 733data shall provide a separate privacy policy detailing the collection, processing, and transfer of
757757 734such biometric data, subject to the provisions of subsections (a) through (h) of this section.
758758 735 (j)Each covered entity or service provider that collects, processes, or transfers specific
759759 736precise geolocation information shall provide a separate privacy policy detailing the collection,
760760 737processing, and transfer of such precise geolocation information, subject to the provisions of
761761 738subsections (a) through (h) of this section.
762762 739 Section 10. Advanced Data Rights 38 of 64
763763 740 (a)A covered entity or service provider shall provide an individual with a clear and
764764 741conspicuous, easy-to-execute means to withdraw consent. Those means shall be at least as easy
765765 742to execute by an individual as the means to provide consent and shall, at a minimum, be
766766 743accessible in the same or a substantially similar location as the privacy policies required by
767767 744section 9.
768768 745 (b)Right to opt out of covered data transfers. A covered entity:
769769 746 (1)may not transfer or direct the transfer of the covered data of an individual to a
770770 747third party if the individual or an agent authorized to make such a request on the individual’s
771771 748behalf objects to the transfer; and
772772 749 (2)shall allow an individual to object to such a transfer through an opt out
773773 750mechanism, at a minimum, accessible in the same or a substantially similar location as the
774774 751privacy policies required by section 9.
775775 752 (c)Right to opt out of targeted advertising. A covered entity or service provider that
776776 753directly delivers a targeted advertisement shall:
777777 754 (1)prior to engaging in targeted advertising to an individual or device and at all
778778 755times, thereafter, provide such individual with a clear and conspicuous means to opt out of
779779 756targeted advertising;
780780 757 (2)abide by any opt out designation by an individual or an agent authorized to make
781781 758such a request on the individual’s behalf with respect to targeted advertising and notify the
782782 759covered entity that directed the service provider to deliver the targeted advertisement of the opt
783783 760out decision; and 39 of 64
784784 761 (3)allow an individual to make an opt out designation with respect to targeted
785785 762advertising through an opt out mechanism, at a minimum, accessible in the same or a
786786 763substantially similar location as the privacy policies required by section 9.
787787 764 (d)Right to opt out of profiling. A covered entity or service provider that engages in
788788 765profiling in furtherance of automated decisions that produce legal or similarly significant effects
789789 766on an individual shall:
790790 767 (1)provide such individual with a clear and conspicuous means to opt out of such
791791 768profiling; and
792792 769 (2)allow an individual to object to such profiling through an opt out mechanism, at a
793793 770minimum, accessible in the same or a substantially similar location as the privacy policies
794794 771required by section 9.
795795 772 (e)A covered entity or service provider that receives an opt out notification pursuant
796796 773to this section shall abide by such opt out designations in a commercially reasonable timeframe.
797797 774Such covered entity or service provider shall notify any other person that directed the covered
798798 775entity or service provider to either serve, deliver, or otherwise process targeted advertisements or
799799 776to engage in profiling in furtherance of automated decisions of the individual's opt out decision
800800 777within a commercially reasonable timeframe.
801801 778 (f)A covered entity or service provider may not condition, effectively condition,
802802 779attempt to condition, or attempt to effectively condition the exercise of any individual right under
803803 780this section through: 40 of 64
804804 781 (1)the use of any false, fictitious, fraudulent, or materially misleading statement or
805805 782representation; or
806806 783 (2)the use of a dark pattern or deceptive design.
807807 784 (g)A covered entity shall notify third parties who had access to an individual’s
808808 785covered data when the individual exercises any of the rights established in this section. The third
809809 786party shall comply with the request to opt out of sale or data transfer forwarded to them from a
810810 787covered entity that provided, made available, or authorized the collection of the individual’s
811811 788covered data. The third party shall comply with the request in the same way a covered entity is
812812 789required to comply with the request. The third party shall no longer retain, use, or disclose the
813813 790personal information unless the third party becomes a service provider or a covered entity in the
814814 791terms of this chapter.
815815 792 (h)A covered entity that communicates an individual’s opt out request to a third
816816 793party or service provider pursuant to this section shall not be liable under this chapter if the third
817817 794party or service provider receiving the opt-out request violates the restrictions set forth in this
818818 795chapter; provided, however, that at the time of communicating the opt-out request, the covered
819819 796entity does not know or should not reasonably know that the third party or service provider
820820 797intends to commit such a violation.
821821 798 (i)If an individual decides to opt out of the processing of the individual’s covered
822822 799data for the purposes specified in subsections (b), (c), or (d) and such decision conflicts with the
823823 800individual’s existing, voluntary participation in a covered entity’s bona fide loyalty, rewards,
824824 801premium features, discounts or club card program, the covered entity shall comply with the
825825 802individual’s opt out preference signal but may notify the individual of the conflict and provide 41 of 64
826826 803the individual with the choice to opt back into such processing for participation in such a
827827 804program; provided, however, that the controller shall not use dark patterns or deceptive design to
828828 805coerce the individual to opt back into such processing related to that individual’s participation in
829829 806such program.
830830 807 (j)A covered entity or service provider shall not require an individual to create an
831831 808account for the purposes of exercising any right under this chapter.
832832 809 Section 11. Service Providers
833833 810 (a)A service provider:
834834 811 (1)shall adhere to the instructions of a covered entity and only collect, process, and
835835 812transfer service provider data to the extent necessary and proportionate to provide a service
836836 813requested by the covered entity, as set out in the contract required by subsection (b), and this
837837 814paragraph does not require a service provider to collect, process, or transfer covered data if the
838838 815service provider would not otherwise do so;
839839 816 (2)may not collect, process, or transfer service provider data if the service provider has
840840 817actual knowledge that a covered entity violated this chapter with respect to such data;
841841 818 (3)shall assist a covered entity in responding to a request made by an individual under
842842 819this chapter, by either:
843843 820 (i)providing appropriate technical and organizational measures, considering the nature of
844844 821the processing and the information reasonably available to the service provider, for the covered
845845 822entity to comply with such request for service provider data; or 42 of 64
846846 823 (ii)fulfilling a request by a covered entity to execute an individual rights request that the
847847 824covered entity has determined should be complied with, by either:
848848 825 (A)complying with the request pursuant to the covered entity’s instructions; or
849849 826 (B)providing written verification to the covered entity that it does not hold covered data
850850 827related to the request, that complying with the request would be inconsistent with its legal
851851 828obligations, or that the request falls within an exception under this chapter;
852852 829 (4)may engage another service provider for purposes of processing service provider data
853853 830on behalf of a covered entity only after providing that covered entity with notice and pursuant to
854854 831a written contract that requires such other service provider to satisfy the obligations of the
855855 832service provider with respect to such service provider data, including that the other service
856856 833provider be treated as a service provider under this chapter;
857857 834 (5)shall, upon the reasonable request of the covered entity, make available to the covered
858858 835entity information necessary to demonstrate the compliance of the service provider with the
859859 836requirements of this chapter, which may include making available a report of an independent
860860 837assessment arranged by the service provider on terms agreed to by the service provider and the
861861 838covered entity or providing information necessary to enable the covered entity to conduct and
862862 839document a privacy impact assessment;
863863 840 (6)shall, at the covered entity’s direction, delete or return all covered data to the covered
864864 841entity as requested at the end of the provision of services, unless retention of the covered data is
865865 842required by law; 43 of 64
866866 843 (7)shall develop, implement, and maintain reasonable administrative, technical, and
867867 844physical safeguards that are designed to protect the security and confidentiality of covered data
868868 845the service provider processes consistent with chapter 93H of the general laws; and
869869 846 (8)shall allow and cooperate with reasonable assessments by the covered entity or the
870870 847covered entity’s designated assessor. Alternatively, the service provider may arrange for a
871871 848qualified and independent assessor to conduct an assessment of the service provider’s policies
872872 849and technical and organizational measures in support of the obligations under this chapter using
873873 850an appropriate and accepted control standard or framework and assessment procedure for such
874874 851assessments. The service provider shall provide a report of such assessment to the covered entity
875875 852upon request.
876876 853 (b)A person or entity may only act as a service provider pursuant to a written contract
877877 854between the covered entity and the service provider, or a written contract between one service
878878 855provider and a second service provider as described under paragraph (4) of subsection (a), if the
879879 856contract:
880880 857 (1)sets forth the data processing procedures of the service provider with respect to
881881 858collection, processing, or transfer performed on behalf of the covered entity or service provider;
882882 859 (2)clearly sets forth:
883883 860 (i)instructions for collecting, processing, or transferring data;
884884 861 (ii)the nature and purpose of collecting, processing, or transferring;
885885 862 (iii)the type of data subject to collecting, processing, or transferring;
886886 863 (iv)the duration of processing; and 44 of 64
887887 864 (v)the rights and obligations of both parties, including a method by which the service
888888 865provider shall notify the covered entity of material changes to its privacy practices;
889889 866 (3)does not relieve a covered entity or a service provider of any requirement or liability
890890 867imposed on such covered entity or service provider under this chapter; and
891891 868 (4)prohibits:
892892 869 (i)collecting, processing, or transferring covered data in contravention to subsection (a);
893893 870and
894894 871 (ii)combining service provider data with covered data which the service provider receives
895895 872from or on behalf of another person or persons or collects from the interaction of the service
896896 873provider with an individual, provided that such combining is not necessary to effectuate a
897897 874purpose described in paragraphs (1) through (13) of section 2(a) and is otherwise permitted under
898898 875the contract required by this subsection.
899899 876 (c)Each service provider shall retain copies of previous contracts entered into in
900900 877compliance with this subsection with each covered entity to which it provides requested products
901901 878or services.
902902 879 (d)The classification of a person or entity as a covered entity or as a service provider and
903903 880the relationship between covered entities and service providers are regulated by the following
904904 881provisions:
905905 882 (1)Determining whether a person is acting as a covered entity or service provider with
906906 883respect to a specific processing of covered data is a fact-based determination that depends upon
907907 884the context in which such data is processed. 45 of 64
908908 885 (2)A person or entity that is not limited in its processing of covered data pursuant to the
909909 886instructions of a covered entity, or that fails to adhere to such instructions, is a covered entity and
910910 887not a service provider with respect to a specific processing of covered data. A service provider
911911 888that continues to adhere to the instructions of a covered entity with respect to a specific
912912 889processing of covered data remains a service provider. If a service provider begins, alone or
913913 890jointly with others, determining the purposes and means of the processing of covered data, it is a
914914 891covered entity and not a service provider with respect to the processing of such data.
915915 892 (3)A covered entity that transfers covered data to a service provider or a service provider
916916 893that transfers covered data to a covered entity or another service provider, in compliance with the
917917 894requirements of this chapter, is not liable for a violation of this chapter by the service provider or
918918 895covered entity to whom such covered data was transferred, if at the time of transferring such
919919 896covered data, the covered entity or service provider did not have actual knowledge that the
920920 897service provider or covered entity would violate this chapter.
921921 898 (4)A covered entity or service provider that receives covered data in compliance with the
922922 899requirements of this chapter is not in violation of this chapter as a result of a violation by a
923923 900covered entity or service provider from which such data was received.
924924 901 (e)A third party:
925925 902 (1)shall not process third party data for a processing purpose other than the processing
926926 903purpose for which
927927 904 (i)the individual gave consent or to effect a purpose enumerated in paragraph (2), (3), or
928928 905(5) of subsection (a) of section 2 in the case of sensitive covered data; or 46 of 64
929929 906 (ii)the covered entity made a disclosure pursuant to their privacy policy and in the case of
930930 907data that is not sensitive covered data; and
931931 908 (2)may reasonably rely on representations made by the covered entity that transferred the
932932 909third-party data if the third party conducts reasonable due diligence on the representations of the
933933 910covered entity and finds those representations to be credible.
934934 911 (f)Solely for the purposes of this section, the requirements for service providers to
935935 912contract with, assist, and follow the instructions of covered entities shall be read to include
936936 913requirements to contract with, assist, and follow the instructions of a government entity if the
937937 914service provider is providing a service to a government entity.
938938 915 Section 12. Enforcement
939939 916 (a) A violation of this chapter constitutes an injury to that individual and shall be deemed
940940 917an unfair or deceptive act or practice in the conduct of trade or commerce under chapter 93A,
941941 918provided that if the court finds for any petitioner, subject to section 9, paragraph (3) of such
942942 919chapter, recovery under such chapter shall be in the amount of actual damages or $5,000,
943943 920whichever is higher.
944944 921 (b) Private right of action. Any individual alleging a violation of this chapter by a covered
945945 922entity, service provider, or third party that is a large data holder may bring a civil action in the
946946 923superior court or any court of competent jurisdiction.
947947 924 (c) An individual protected by this chapter may not be required, as a condition of service
948948 925or otherwise, to file an administrative complaint with the attorney general or to accept mandatory
949949 926arbitration of a claim under this chapter. 47 of 64
950950 927 (d) The civil action shall be directed to the covered entity, service provider, and third-
951951 928parties alleged to have committed the violation.
952952 929 (e) In a civil action in which the plaintiff prevails, the court may award:
953953 930 (1)liquidated damages of not less than 0.15% of the annual global revenue of the covered
954954 931entity or $15,000 per violation, whichever is greater;
955955 932 (2)punitive damages; and
956956 933 (3)any other relief, including but not limited to an injunction, that the court deems to be
957957 934appropriate.
958958 935 (f) In addition to any relief awarded pursuant to the previous paragraph, the court shall
959959 936award reasonable attorney’s fees and costs to any prevailing plaintiff.
960960 937 (g) The Attorney General may bring an action pursuant to section 4 of chapter 93A
961961 938against a covered entity, service provider, or third party to remedy violations of this chapter and
962962 939for other relief, including but not limited to an injunction, that may be appropriate, subject to the
963963 940following:
964964 941 (1)If the court finds that the defendant has employed any method, act, or practice
965965 942which they knew or should have known to be in violation of this chapter, the court may require
966966 943the defendant to pay to the commonwealth a civil penalty of:
967967 944 (i) not less than 0.15% of the annual global revenue or $15,000, whichever is greater, per
968968 945violation; and 48 of 64
969969 946 (ii) not more than 4% of the annual global revenue of the covered entity, service provider,
970970 947or third-party or $20,000,000, whichever is greater, per action if such action includes multiple
971971 948violations to multiple individuals;
972972 949 (2)If the court finds that a defendant has engaged in flagrant, willful and repeat
973973 950violations of this chapter, the court may issue an order to suspend or prohibit a covered entity,
974974 951service provider, or third party from operating in the commonwealth or collecting, processing,
975975 952and transferring covered data and any other relief, including but not limited to an injunction, that
976976 953the court deems to be appropriate.
977977 954 (3)In addition to any penalty or relief awarded under this subsection, a defendant
978978 955violating this chapter shall also be liable to the commonwealth for the reasonable costs of
979979 956investigation and litigation of such violation, including reasonable attorneys’ fees and reasonable
980980 957expert fees.
981981 958 (h) When calculating awards and civil penalties in all the actions in this section, the court
982982 959shall consider:
983983 960 (1)the number of affected individuals;
984984 961 (2)the severity of the violation or noncompliance;
985985 962 (3)the risks caused by the violation or noncompliance;
986986 963 (4)whether the violation or noncompliance was part of a pattern of noncompliance
987987 964and violations and not an isolated instance;
988988 965 (5)whether the violation or noncompliance was willful and not the result of error; 49 of 64
989989 966 (6)the precautions taken by the defendant to prevent a violation;
990990 967 (7)the number of administrative actions, lawsuits, settlements, and consent-decrees
991991 968under this chapter involving the defendant;
992992 969 (8)the number of administrative actions, lawsuits, settlements, and consent-decrees
993993 970involving the defendant in other states and at the federal level in issues involving information
994994 971privacy; and
995995 972 (9)the international record of the defendant when it comes to information privacy
996996 973issues.
997997 974 (i) It is a violation of this chapter for a covered entity or anyone else acting on behalf of a
998998 975covered entity to retaliate against an individual who makes a good-faith complaint that there has
999999 976been a failure to comply with any part of this chapter.
10001000 977 (1)An injured individual by a violation of the previous paragraph may bring a civil
10011001 978action for monetary damages and injunctive relief in any court of competent jurisdiction.
10021002 979 (j) Any provision of a contract or agreement of any kind, including a covered entity’s
10031003 980terms of service or a privacy policy, including the short-form privacy notice required under
10041004 981section 9 subsection (h) that purports to waive or limit in any way an individual’s rights under
10051005 982this chapter, including but not limited to any right to a remedy or means of enforcement shall be
10061006 983deemed contrary to public policy and shall be void and unenforceable.
10071007 984 (k) No private or government action brought pursuant to this chapter shall preclude any
10081008 985other action under this chapter.
10091009 986 Section 13. Information Non-applicability 50 of 64
10101010 987 (a)This chapter shall not apply to only the following specific types of information:
10111011 988 (1)personal information captured from a patient by a health care provider or health
10121012 989care facility or biometric information collected, processed, used, or stored exclusively for
10131013 990medical education or research, public health or epidemiological purposes, health care treatment,
10141014 991insurance, payment, or operations under the federal Health Insurance Portability and
10151015 992Accountability Act of 1996, or to X-ray, roentgen process, computed tomography, MRI, PET
10161016 993scan, mammography, or other image or film of the human anatomy used exclusively to diagnose,
10171017 994prognose, or treat an illness or other medical condition or to further validate scientific testing or
10181018 995screening;
10191019 996 (2)nonpublic personal information that is processed by a financial institution subject
10201020 997to, and in compliance with, the Gramm-Leach-Bliley Act, 15 U.S.C. 6801 et seq., as amended
10211021 998from time to time;
10221022 999 (3)personal information regulated by the federal Family Educational Rights and
10231023 1000Privacy Act, 20 U.S.C. 1232g et seq., as amended from time to time;
10241024 1001 (4)individuals sharing their personal contact information such as email addresses
10251025 1002with other individuals in the workplace, or other social, political, or similar settings where the
10261026 1003purpose of the information is to facilitate communication among such individuals, provided that
10271027 1004this chapter shall cover any processing of such contact information beyond interpersonal
10281028 1005communication; or
10291029 1006 (5)covered entities’ publication of entity-based member or employee contact
10301030 1007information where such publication is intended to allow members of the public to contact such
10311031 1008member or employee in the ordinary course of the entity’s operations. 51 of 64
10321032 1009 (b)For the purpose of this section, the burden of proving that information is exempt
10331033 1010from the provisions of this chapter shall be upon the party claiming the exemption.
10341034 1011 Section 14. Implementation
10351035 1012 (a) The Attorney General shall adopt rules and regulations for the implementation,
10361036 1013administration, and enforcement of this chapter and may from time to time amend or repeal said
10371037 1014regulations. The rules and regulations shall include but are not limited to:
10381038 1015 (1) establishing or adopting baseline technical requirements that determine if a given
10391039 1016dataset has been or can be considered sufficiently de-identified;
10401040 1017 (2) establishing reasonable policies, practices, and procedures that satisfy the
10411041 1018requirements set forward in Section 6;
10421042 1019 (3) establishing a nonexclusive list of practices that constitute deceptive designs or dark
10431043 1020patterns or otherwise violate the requirements set forward in Section 5; and
10441044 1021 (4) further defining when a covered entity is a data broker and additional compliance
10451045 1022requirements for data brokers under this chapter.
10461046 1023 (b) The Attorney General may:
10471047 1024 (1)gather facts and information applicable to the Attorney General’s obligation to enforce
10481048 1025this chapter and ensure its compliance, consistent with the provisions of section 4 of chapter
10491049 102693A;
10501050 1027 (2) conduct investigations for possible violations of this chapter; and 52 of 64
10511051 1028 (3) refer cases for civil enforcement or criminal prosecution to the appropriate federal,
10521052 1029state, or local authorities.
10531053 1030 (c) The Attorney General shall, within one year after the effective date of chapter, create
10541054 1031an official internet website that outlines the provisions of this chapter and provides individuals
10551055 1032with a form or other mechanism to report violations of this chapter to the Office of the Attorney
10561056 1033General. The Attorney General shall update the website at least annually. The website shall
10571057 1034include statistics on the Attorney General’s enforcement actions undertaken under this chapter,
10581058 1035broken down by fiscal year, including but not limited to:
10591059 1036 (1) number of complaints received;
10601060 1037 (2) number of open investigations;
10611061 1038 (3) number of closed investigations; and
10621062 1039 (4) a summary of case dispositions in which a violation of this chapter occurred.
10631063 1040 Section 15. Authorized Agents
10641064 1041 (a)An individual may designate another person to serve as the individual’s
10651065 1042authorized agent to exercise the individual’s rights under section 4, to withdraw consent under
10661066 1043section 10, or opt out of the processing of such individual's covered data for one or more of the
10671067 1044purposes specified in section 10.
10681068 1045 (b)An individual may designate an authorized agent as provided in subsection (a) by
10691069 1046technological means, including, but not limited to, an Internet link or a browser setting, browser
10701070 1047extension or global device setting that indicates the individual’s intent to opt out processing for
10711071 1048one or more of the purposes specified in section 10. 53 of 64
10721072 1049 (c)A covered entity or service provider shall comply with a request received from an
10731073 1050authorized agent if the covered entity or service provider is able to verify the identity of the
10741074 1051individual and the authorized agent's authority to act on such individual’s behalf by the same
10751075 1052means and subject to the same restrictions as a covered entity under section 4(g).
10761076 1053 (d)In the case of covered data concerning an individual known to be a child as
10771077 1054defined by the Children’s Online Privacy Protection Act, 15 U.S.C. 6501, the parent or legal
10781078 1055guardian of such child may exercise the rights provided under this chapter on the child's behalf.
10791079 1056 (e)In the case of covered data concerning an individual subject to a guardianship,
10801080 1057conservatorship or other protective arrangement, the guardian or the conservator of the
10811081 1058individual may exercise the rights provided under this chapter on the individual's behalf.
10821082 1059 Section 16. Advertising to Minors
10831083 1060 (a)A covered entity or service provider may not engage in targeted advertising to any
10841084 1061individual if the covered entity has knowledge that the individual is a minor.
10851085 1062 Section 17. Data Brokers
10861086 1063 (a)Each data broker shall place a clear, conspicuous, not misleading, and readily
10871087 1064accessible notice on the website or mobile application of the data broker (if the data broker
10881088 1065maintains such a website or mobile application) that:
10891089 1066 (1)notifies individuals that the entity is a data broker;
10901090 1067 (2)includes a link to the data broker registry website; and
10911091 1068 (3)is reasonably accessible to and usable by individuals with disabilities. 54 of 64
10921092 1069 (b)Data broker registration. Not later than January 31 of each calendar year that follows a
10931093 1070calendar year during which a covered entity acted as a data broker, data brokers shall register
10941094 1071with the OCABR in accordance with this subsection.
10951095 1072 (1)In registering with the OCABR, a data broker shall do the following:
10961096 1073 (i)Pay to the OCABR a registration fee of $100;
10971097 1074 (ii)Provide the OCABR with the following information:
10981098 1075 (A)The legal name and primary physical, email, and internet addresses of the data broker;
10991099 1076 (B)A description of the categories of covered data the data broker processes and
11001100 1077transfers;
11011101 1078 (C) The contact information of the data broker, including a contact person, a telephone
11021102 1079number, an e-mail address, a website, and a physical mailing address; and
11031103 1080 (D) A link to a website through which an individual may easily exercise the rights
11041104 1081provided under this subsection.
11051105 1082 (c)The OCABR shall establish and maintain on a website a searchable, publicly available,
11061106 1083central registry of third-party collecting entities that are registered with the OCABR under this
11071107 1084subsection that includes a listing of all registered data brokers and a search feature that allows
11081108 1085members of the public to identify individual data brokers and access to the registration
11091109 1086information provided under subsection (b).
11101110 1087 (d)Penalties. A data broker that fails to register or provide the notice as required under
11111111 1088this section shall be subject to enforcement proceedings under section 12. 55 of 64
11121112 1089 Section 18. Severability and Relationship to Other Laws
11131113 1090 (a)Should any provision of this chapter or part hereof be held under any
11141114 1091circumstances in any court of competent jurisdiction to be invalid or unenforceable, such
11151115 1092invalidity or unenforceability shall not affect the validity or enforceability of any other provision
11161116 1093of this or other parts of this chapter.
11171117 1094 (b)Nothing in this chapter shall diminish any individual’s rights or obligations under
11181118 1095chapters 66A, 93A, 93H, or under sections 1B or 3B of chapter 214.
11191119 1096 SECTION 2. The General Laws, as appearing in the 2022 Official Edition, are hereby
11201120 1097further amended by inserting after chapter 93M the following chapter:
11211121 1098 Chapter 93N. Privacy Protections for Location Information Derived from Electronic
11221122 1099Devices
11231123 1100 Section 1. Definitions
11241124 1101 (a)As used in this chapter, the following words shall, unless the context clearly
11251125 1102requires otherwise, have the following meanings:
11261126 1103 (1)“Application”, a software program that runs on the operating system of a device.
11271127 1104 (2)“Collect”, to obtain, infer, generate, create, receive, or access an individual’s
11281128 1105location information.
11291129 1106 (3)“Consent”, freely given, specific, informed, unambiguous, opt-in consent. This
11301130 1107term does not include either of the following: (i) agreement secured without first providing to the
11311131 1108individual a clear and conspicuous disclosure of all information material to the provision of 56 of 64
11321132 1109consent, apart from any privacy policy, terms of service, terms of use, general release, user
11331133 1110agreement, or other similar document; or (ii) agreement obtained through the use of a user
11341134 1111interface designed or manipulated with the substantial effect of subverting or impairing user
11351135 1112autonomy, decision making, or choice.
11361136 1113 (4)“Covered entity”, any individual, partnership, corporation, limited liability
11371137 1114company, association, or other group, however organized. A covered entity does not include a
11381138 1115state or local government agency, or any court of Massachusetts, a clerk of the court, or a judge
11391139 1116or justice thereof. A covered entity does not include an individual acting in a non-commercial
11401140 1117context. A covered entity includes all agents of the entity.
11411141 1118 (5)“Device”, a mobile telephone, as defined in section 1 of chapter 90 of the general
11421142 1119laws, or any other electronic device that is or may commonly be carried by or on an individual
11431143 1120and is capable of connecting to a cellular, bluetooth, or other wireless network.
11441144 1121 (6) “Disclose”, to make location information available to a third party, including but
11451145 1122not limited to by sharing, publishing, releasing, transferring, disseminating, providing access to,
11461146 1123or otherwise communicating such location information orally, in writing, electronically, or by
11471147 1124any other means.
11481148 1125 (7)“Individual”, a person located in the Commonwealth of Massachusetts.
11491149 1126 (8)“Location information”, information derived from a device or from interactions
11501150 1127between devices, with or without the knowledge of the user and regardless of the technological
11511151 1128method used, that pertains to or directly or indirectly reveals the present or past geographical
11521152 1129location of an individual or device within the Commonwealth of Massachusetts with sufficient
11531153 1130precision to identify street-level location information within a range of 1,850 feet or less. 57 of 64
11541154 1131Location information includes but is not limited to (i) an internet protocol address capable of
11551155 1132revealing the physical or geographical location of an individual; (ii) Global Positioning System
11561156 1133(GPS) coordinates; and (iii) cell-site location information. This term does not include location
11571157 1134information identifiable or derived solely from the visual content of a legally obtained image,
11581158 1135including the location of the device that captured such image, or publicly posted words.
11591159 1136 (9)“Location Privacy Policy”, a description of the policies, practices, and procedures
11601160 1137controlling a covered entity’s collection, processing, management, storage, retention, and
11611161 1138deletion of location information.
11621162 1139 (10)“Monetize”, to collect, process, or disclose an individual’s location information
11631163 1140for profit or in exchange for monetary or other consideration. This term includes but is not
11641164 1141limited to selling, renting, trading, or leasing location information.
11651165 1142 (11)“Person”, any natural person.
11661166 1143 (12)“Permissible purpose”, one of the following purposes: (i) provision of a product,
11671167 1144service, or service feature to the individual to whom the location information pertains when that
11681168 1145individual requested the provision of such product, service, or service feature by subscribing to,
11691169 1146creating an account, or otherwise contracting with a covered entity; (ii) initiation, management,
11701170 1147execution, or completion of a financial or commercial transaction or fulfill an order for specific
11711171 1148products or services requested by an individual, including any associated routine administrative,
11721172 1149operational, and account-servicing activity such as billing, shipping, delivery, storage, and
11731173 1150accounting; (iii) compliance with an obligation under federal or state law; or (iv) response to an
11741174 1151emergency service agency, an emergency alert, a 911 communication, or any other
11751175 1152communication reporting an imminent threat to human life. 58 of 64
11761176 1153 (13)“Process”, to perform any action or set of actions on or with location information,
11771177 1154including but not limited to collecting, accessing, using, storing, retaining, analyzing, creating,
11781178 1155generating, aggregating, altering, correlating, operating on, recording, modifying, organizing,
11791179 1156structuring, disposing of, destroying, de-identifying, or otherwise manipulating location
11801180 1157information. This term does not include disclosing location information.
11811181 1158 (14)“Reasonably understandable”, of length and complexity such that an individual
11821182 1159with an eighth-grade reading level, as established by the department of elementary and secondary
11831183 1160education, can read and comprehend.
11841184 1161 (15)“Service feature”, a discrete aspect of a service provided by a covered entity,
11851185 1162including but not limited to real-time directions, real-time weather, and identity authentication.
11861186 1163 (16)"Service provider”, an individual, partnership, corporation, limited liability
11871187 1164company, association, or other group, however organized, that collects, processes, or transfers
11881188 1165location information for the sole purpose of, and only to the extent that such service provider is,
11891189 1166conducting business activities on behalf of, for the benefit of, at the direction of, and under
11901190 1167contractual agreement with a covered entity.
11911191 1168 (17)“Third party”, any covered entity or person other than (i) a covered entity that
11921192 1169collected or processed location information in accordance with this chapter or its service
11931193 1170providers, or (ii) the individual to whom the location information pertains. This term does not
11941194 1171include government entities.
11951195 1172 Section 2. Protection of location information 59 of 64
11961196 1173 (a)It shall be unlawful for a covered entity to collect or process an individual’s
11971197 1174location information except for a permissible purpose. Prior to collecting or processing an
11981198 1175individual’s location information for one of those permissible purposes, a covered entity shall
11991199 1176provide the individual with a copy of the Location Privacy Policy and obtain consent from that
12001200 1177individual; provided, however, that this shall not be required when the collection and processing
12011201 1178is done in (1) compliance with an obligation under federal or state law or (2) in response to an
12021202 1179emergency service agency, an emergency alert, a 911 communication, or any other
12031203 1180communication reporting an imminent threat to human life.
12041204 1181 (b)If a covered entity collects location information for the provision of multiple
12051205 1182permissible purposes, it shall be mentioned in the Location Privacy Policy and individuals shall
12061206 1183provide discrete consent for each purpose; provided, however, that this shall not be required for
12071207 1184the purpose of collecting and processing location information to comply with an obligation under
12081208 1185federal or state law or to respond to an emergency service agency, an emergency alert, a 911
12091209 1186communication, or any other communication reporting an imminent threat to human life.
12101210 1187 (c) A covered entity that directly delivers targeted advertisements as part of its product or
12111211 1188services shall provide individuals with a clear, conspicuous, and simple means to opt out of the
12121212 1189processing of their location information for purposes of selecting and delivering targeted
12131213 1190advertisements.
12141214 1191 (d) Consent provided under this section shall expire (1) after one year, (2) when the initial
12151215 1192purpose for processing the information has been satisfied, or (3) when the individual revokes
12161216 1193consent, whichever occurs first, provided that consent may be renewed pursuant to the same 60 of 64
12171217 1194procedures. Upon expiration of consent, any location information possessed by a covered entity
12181218 1195shall be permanently destroyed.
12191219 1196 (e) It shall be unlawful for a covered entity or service provider that lawfully collects and
12201220 1197processes location information to:
12211221 1198 (1)collect more precise location information than necessary to carry out the
12221222 1199permissible purpose;
12231223 1200 (2)retain location information longer than necessary to carry out the permissible
12241224 1201purpose;
12251225 1202 (3)sell, rent, trade, or lease location information to third parties; or
12261226 1203 (4)derive or infer from location information any data that is not necessary to carry
12271227 1204out a permissible purpose.
12281228 1205 (5)disclose, cause to disclose, or assist with or facilitate the disclosure of an
12291229 1206individual’s location information to third parties, unless such disclosure is (i) necessary to carry
12301230 1207out the permissible purpose for which the information was collected, or (ii) requested by the
12311231 1208individual to whom the location data pertains.
12321232 1209 (f) It shall be unlawful for a covered entity or service providers to disclose location
12331233 1210information to any federal, state, or local government agency or official unless (1) the agency or
12341234 1211official serves the covered entity or service provider with a valid warrant or establishes the
12351235 1212existence of exigent circumstances that make it impracticable to obtain a warrant, (2) disclosure
12361236 1213is mandated under federal or state law, including in response to a court order or lawfully issued 61 of 64
12371237 1214and properly served subpoena or civil investigative demand under state or federal law, or (3) the
12381238 1215data subject requests such disclosure.
12391239 1216 (g) A covered entity shall maintain and make available to the data subject a Location
12401240 1217Privacy Policy, which shall include, at a minimum, the following:
12411241 1218 (1)the permissible purpose for which the covered entity is collecting, processing, or
12421242 1219disclosing any location information;
12431243 1220 (2)the type of location information collected, including the precision of the data;
12441244 1221 (3)the identities of service providers with which the covered entity contracts with
12451245 1222respect to location data;
12461246 1223 (4)any disclosures of location data necessary to carry out a permissible purpose and
12471247 1224the identities of the third parties to whom the location information could be disclosed;
12481248 1225 (5)whether the covered entity’s practices include the internal use of location
12491249 1226information for purposes of targeted advertisement;
12501250 1227 (6)the data management and data security policies governing location information;
12511251 1228and
12521252 1229 (7)the retention schedule and guidelines for permanently deleting location
12531253 1230information.
12541254 1231 (h) A covered entity in lawful possession of location information shall provide notice to
12551255 1232individuals to whom that information pertains of any change to its Location Privacy Policy at
12561256 1233least 20 business days before the change goes into effect, and shall request and obtain consent 62 of 64
12571257 1234before collecting or processing location information in accordance with the new Location
12581258 1235Privacy Policy.
12591259 1236 (i) It shall be unlawful for a government entity to monetize location information.
12601260 1237 Section 3: Prohibition Against Retaliation
12611261 1238 A covered entity shall not take adverse action against an individual because the
12621262 1239individual exercised or refused to waive any of such individual’s rights under this chapter, unless
12631263 1240location data is essential to the provision of the good, service, or service feature that the
12641264 1241individual requests, and then only to the extent that such data is essential. This prohibition
12651265 1242includes but is not limited to:
12661266 1243 (1)refusing to provide a good or service to the individual;
12671267 1244 (2)charging different prices or rates for goods or services, including through the use
12681268 1245of discounts or other benefits or imposing penalties; or
12691269 1246 (3)providing a different level or quality of goods or services to the individual.
12701270 1247 Section 4. Enforcement
12711271 1248 (a)A violation of this chapter or a regulation promulgated under this chapter
12721272 1249regarding an individual’s location information constitutes an injury to that individual and shall be
12731273 1250deemed an unfair or deceptive act or practice in the conduct of trade or commerce under chapter
12741274 125193A.
12751275 1252 (b)Any individual alleging a violation of this chapter by a covered entity or service
12761276 1253provider may bring a civil action in the superior court or any court of competent jurisdiction; 63 of 64
12771277 1254provided that, venue in the superior court shall be proper in the county in which the plaintiff
12781278 1255resides or was located at the time of any violation.
12791279 1256 (c) An individual protected by this chapter shall not be required, as a condition of service
12801280 1257or otherwise, to file an administrative complaint with the attorney general or to accept mandatory
12811281 1258arbitration of a claim arising under this chapter.
12821282 1259 (d) In a civil action in which the plaintiff prevails, the court may award (1) actual
12831283 1260damages, including damages for emotional distress, or $5,000 per violation, whichever is greater,
12841284 1261(2) punitive damages; and (3) any other relief, including but not limited to an injunction or
12851285 1262declaratory judgment, that the court deems to be appropriate. The court shall consider each
12861286 1263instance in which a covered entity or service provider collects, processes, or discloses location
12871287 1264information in a manner prohibited by this chapter or a regulation promulgated under this chapter
12881288 1265as constituting a separate violation of this chapter or regulation promulgated under this chapter.
12891289 1266In addition to any relief awarded, the court shall award reasonable attorney’s fees and costs to
12901290 1267any prevailing plaintiff.
12911291 1268 (e) The attorney general may bring an action pursuant to section 4 of chapter 93A against
12921292 1269a covered entity or service provider to remedy violations of this chapter and for other relief that
12931293 1270may be appropriate.
12941294 1271 (f) Any provision of a contract or agreement of any kind, including a covered entity’s
12951295 1272terms of service or policies, including but not limited to the Location Privacy Policy, that
12961296 1273purports to waive or limit in any way an individual’s rights under this chapter, including but not
12971297 1274limited to any right to a remedy or means of enforcement, shall be deemed contrary to state law
12981298 1275and shall be void and unenforceable. 64 of 64
12991299 1276 (g) No private or government action brought pursuant to this chapter shall preclude any
13001300 1277other action under this chapter.
13011301 1278 Section 5. Implementation
13021302 1279 The Attorney General may adopt, amend or repeal rules and regulations for the
13031303 1280implementation, administration, and enforcement of this chapter.
13041304 1281 SECTION 3. Location Information Collected Before Effective Date
13051305 1282 Location information collected, processed, and stored prior to the effective date of this
13061306 1283Act shall be subject to subsections 2(e)(3), 2(e)(5), and 2(f) of Chapter 93N.
13071307 1284 SECTION 4. Effective Date
13081308 1285 This Act shall take effect 1 year after enactment.