Senior Content Marketing Manager II
February 8, 2024•11 min read
The California Privacy Rights Act (CPRA) expanded the opt-out requirements set by the California Consumer Privacy Act (CCPA)—giving consumers the ability to limit both the sale and sharing of their personal or sensitive information online.
The CPRA states:
“A consumer shall have the right, at any time, to direct a business that sells or shares personal information about the consumer to third parties not to sell or share the consumer's personal information. This right may be referred to as the right to opt-out of sale or sharing.”
It goes on to cover a few additional guidelines, noting that businesses:
Below we'll cover 9 steps that will help your organization become compliant with CPRA Do Not Sell or Share.
Though you should work to address all areas of CPRA compliance, Do Not Sell or Share is highly visible and easy to audit—meaning it’s worth spending the extra time to dot your I’s and cross your T’s.
The good news is that CPRA does offer detailed guidance on how businesses can comply with these requirements, which we’ve outlined in a nine step compliance checklist below.
Part of what makes the CPRA Do Not Sell or Share requirements confusing is the growing acceptance of opt-out signals. In fact, in Sephora’s $1.2M settlement with California in 2022, the attorney general specifically called out the cosmetics retailer for not honoring opt-outs received via the Global Privacy Control signal.
We’ll provide more details about CPRA’s requirements regarding opt-out signals below.
Honoring opt-out signals, like the Global Privacy Control, is another option businesses may use for Do Not Sell or Share compliance.
While the original draft of CPRA seemed to give businesses an either/or choice between a link-based protocol and honoring opt-out signals—the Draft Regulations finalized in early 2023 took a different tact.
Section 7025 of the Draft Regulations define opt-out signals as:
“a signal that is sent by a platform, technology, or mechanism, on behalf of the consumer, that communicates the consumer choice to opt-out of the sale and sharing of personal information”
It goes on to note that:
“The purpose of an opt-out preference signal is to provide consumers with a simple and easy-to-use method by which consumers interacting with businesses online can automatically exercise their right to opt-out of sale/sharing.”
In stark contrast to the original draft of the CPRA, the Draft Regulations require businesses to honor consumer preferences transmitted through an opt-out signal as long as that signal meets certain technical requirements, including:
The Draft Regulations also outline several mandates for businesses who receive an opt-out preference signal from consumers, requiring that the business:
One thing the Draft Regulations make imminently clear is that honoring opt-out preference signals is not optional. This stands in contrast to the original draft of the CPRA, where the language seemed to indicate a choice between providing a “Do Not Sell or Share” link or honoring opt-out preference signals.
The Draft Regulations state very clearly that:
“[CPRA] section 1798.135 [...] does not give the business the choice between posting the above-referenced links or honoring opt-out preference signals. Even if the business posts the above-referenced links, the business must still process opt-out preference signals, though it may do so in a non-frictionless manner.”
The proposed Draft Regulations go on to provide a few if/then scenarios that address potential opt-out signal conflicts i.e. the consumer is part of a financial incentives program, but has their opt-out signal on. They also provide several detailed examples of how a business might make it clear to a consumer that their preference signal is being honored.
So, it’s well-worth your time to fully review Draft Regulations Section 7025.
According to the CPRA Draft Regulations:
“The purpose of the Alternative Opt-out Link is to provide businesses the option of providing consumers with a single, clearly-labeled link that allows consumers to easily exercise both their right to opt-out of sale/sharing and right to limit.”
This option is meant as an alternative to providing two different links—one for “Do Not Sell or Share My Personal Information” and one for “Limit the Use of My Sensitive Personal Information.”
For an Alternative Opt-out Link to be compliant, it must:
“Frictionless” opt-out is a concept that appears only in the CPRA Draft Regulations, which offer several criteria for what defines a “frictionless” opt-out process. Specifically, the regs state that a business may not:
For added context on #3, notifying the consumer that their opt-out signal is being honored does not count against the business. Also, the business may provide a link through which the consumer can instruct the business to ignore the opt-out signal.
Though businesses are always required to honor opt-out preference signals, the Draft Regulations do provide criteria for a scenario where they don't need to provide either type of opt-out link, including:
Transcend can help your business comply with CPRA Do Not Sell or Share requirements, including requests received via opt-out browser signals like Global Privacy Control. Below you’ll find an abridged version of our guide for implementing Transcend for Do Not Sell or Share compliance.
If you’d like to take a deeper dive, you can find the complete guide here.
Full compliance relies on having a comprehensive picture of where personal data is being collected and whether it’s being sold or shared to a third party.
Using Transcend Data Mapping and Transcend Consent, you can automatically scan your entire tech stack for conversion pixels, ad networks, and other technologies that collect or share personal information.
Under CCPA and CPRA, businesses must provide specific, foundational opt-out capabilities. Applied to the context of your own tech stack, data sharing practices, and ideal user experience, there’s a few other things you may want to consider.
At a minimum, your business must enable a consumer to:
You can use Transcend Consent to achieve this “frictionless” opt out flow. But you may need or want to support other opt-out experiences. If any of the below scenarios apply to you then you probably aren’t a good candidate for the Frictionless workflow, but don’t worry—set up can still be simple.
1) Does your business need to collect any additional information in order to fully effectuate the opt-out request?
If the only data sharing taking place is happening client-side, the request can be fully honored by Transcend Consent without needing to collect additional information.
However, if data sharing is happening in your backend or via offline channels and you need additional information to fully honor the request then you must collect that information. For example, this may include collecting the user’s email address or asking them to log in to their account. We’ll cover how to do this via a Data Subject Request in your Privacy Center in the complete implementation guide.
2) Does your website have user accounts?
If so, you must store an opt-out submitted by a logged-in user to ensure it’s honored on future site visits. This information can be stored within Transcend Consent or be piped out via our API and stored on your backend.
You may already have specific privacy settings for a logged-in user that conflict with their opt-out signal. While the regulation requires that you immediately honor the opt-out signal and process their request, it does permit you to ask them if they would like to re-consent and give permission for you to ignore their opt-out signal. We walk through enabling this flow in the complete implementation guide.
3) Does your business want to offer consumers the ability to narrow their opt-out request to only apply to certain types of data sale or sharing?
You have the option to present consumers with the choice to opt out of the sale or sharing of personal information for certain uses as long as a single option to opt-out for ALL personal information is more prominently presented.
Read the full California Do Not Sell or Share guide to learn how to implement Transcend Data Mapping and Transcend Consent for full compliance.
Has your organization has been impacted by the California Privacy Rights Act or other consumer privacy laws? Transcend, an all-in-one platform for modern privacy and data governance, can help you ensure compliance.
Encoding privacy at the code layer, we provide solutions for any privacy challenge your teams may be facing—including getting you ready for state privacy laws coming online in 2024.
From Consent Management, to automated DSR Fulfillment, to a full suite of data mapping solutions (Data Inventory, Silo Discovery, Structured Discovery, and more), Transcend has you covered as your company grows and evolves in a swiftly changing regulatory environment.
Senior Content Marketing Manager II