January 2005 Tech Tip

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SB 27 requires companies that do business with California consumers and share personal information with third parties, for marketing purposes, must provide consumers with a designated contact point where they can request an Information-Sharing Disclosure Notice. These notices must list the categories of personal information that the organization shared, as well as the names and addresses of the companies with whom the information was shared over the preceding calendar year.

If your organization provides a means for consumers to opt in or opt out of third-party sharing and if you disclose this in your privacy policy, you can respond to the consumers’ request for an Information-Sharing Disclosure Notice with a Consumer Choice Notice explaining the consumers’ right to prevent further disclosure of their personal information and a cost-free means of how to exercise that right.

One way your organization can inform consumers of the designated contact point for requesting an Information-Sharing Disclosures Notice is through your Web site via a link on the site’s home page titled “Your Privacy Rights” or “Your California Privacy Rights.” This link can take the consumer to a separate page explaining their rights and providing contact information for notice requests or it can take the consumer to your site’s privacy policy, which should include a section regarding the consumer’s privacy rights and the contact point for notice requests. It is recommended that the California Privacy Rights section of the privacy policy be placed toward the beginning of the policy or in some other conspicuous location.

The California Office of Privacy Protection has recently published some guidelines on Information-Sharing Disclosures and Privacy Policy Statements on its Web site at http://www.privacy.ca.gov/recommendations/recomend.htm. The guidelines offer tips on best practices for providing Information-Sharing Disclosure Notices and Consumer Choice Notices as well as for crafting privacy policies.

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