Over the past year, a lot of businesses have put a strong focus on the California Consumer Privacy Act, also commonly referred to as the CCPA. This act aims to expand privacy rights for residents of California and to improve safeguards for the protection of personal information. And while the CCPA does impact lots of businesses, it’s important not to forget the new SHIELD Act that recently went into effect.
The SHIELD Act stands for the Stop Hacks and Improve Electronic Data Security Act. This act is meant to enhance the personal information protection standards of New York residents, helping them to avoid data breaches. Thanks to the SHIELD Act, businesses now have to implement more secure data practices and be more up to date on the data breach notifications they send out.
Just because you operate a business that doesn’t have a physical brick-and-mortar store in New York doesn’t mean you should avoid trying to meet the requirements of the SHIELD Act. In fact, if you serve customers in New York or offer your services to residents of New York, then it’s all the more important that you do all that you can to adhere to the standards laid out in the SHIELD Act. According to the act itself, its standards and requirements are applicable to any person or company that owns or licenses computerized data (like private information) of a person that resides in New York.
It’s very important to note that there are very few exceptions to the SHIELD Act, and this applies even to small businesses. So, if you’re a freelancer or solo entrepreneur operating a small company or brand, you still need to be aware of the SHIELD Act if you intend to sell services or products to any person residing in the state of New York. The only exceptions to the act are as follows:
The SHIELD Act itself made several changes to “New York’s data breach notification statute, New York General Business Law (GBL) §899-aa.” These changes include the following:
Staying in compliance with the SHIELD Act shouldn’t overwhelm you, but if you’re a business that’s never dealt with the Act before, then it’s pertinent to ensure you are in compliance. Want to make sure your company is in compliance with the SHIELD Act? If so, contact The HelpDesk Company today.