Unpacking Your Digital Rights: A Guide to Alabama's HB283
In an increasingly data-driven world, understanding who controls your personal information and how it's used has become a critical concern. From the websites you browse to the apps you use, countless entities collect, process, and sometimes even sell your data. Recognizing this, Alabama has introduced House Bill 283 (HB283), a significant piece of legislation aimed at empowering consumers with greater control over their personal data.
This article will break down HB283, explaining its core provisions, who it affects, the rights it grants you, and what it means for how businesses handle your information.
The Heart of HB283: Your New Digital Powers
At its core, HB283 is about giving you, the consumer, more say over your personal data. It establishes several key rights you can exercise regarding the information that companies (referred to as "controllers" in the bill) hold about you.
Under HB283, you will have the right to confirm whether a company is processing your personal data and to access that data. You can also request corrections for any inaccuracies in your personal data, and direct a controller to delete your personal data. Furthermore, you have the right to obtain a copy of your personal data in a portable and usable format, enabling you to transfer it to another service if you choose. A significant aspect of these new powers is the ability to opt out of the processing of your personal data for specific purposes, including targeted advertising, the sale of your personal data, and profiling that leads to significant automated decisions affecting you (e.g., financial services, housing, or employment).
The bill also allows you to designate an authorized agent, such as a browser setting or extension, to exercise these opt-out rights on your behalf. Additionally, parents or legal guardians can exercise these rights for a known child, and guardians or conservators can do so for a consumer.
Who Does HB283 Apply To?
HB283 applies to individuals or legal entities ("controllers") that conduct business in Alabama or specifically target Alabama residents with their products or services. To fall under the purview of this law, these entities must meet one of two thresholds: either they control or process the personal data of more than 50,000 consumers (excluding data processed solely for payment transactions), or they control or process the personal data of more than 25,000 consumers and derive over 25% of their gross revenue from selling personal data.
What Kind of Data Are We Talking About?
The law distinguishes between general "Personal Data" and a more protected category, "Sensitive Data." Personal Data is broadly defined as any information that can be linked or reasonably linked to an identified or identifiable individual, generally excluding "deidentified data" (information that cannot be traced back to an individual) or publicly available information.
Sensitive Data receives heightened protection under the bill due to its personal nature. This category includes data revealing racial or ethnic origin, religious beliefs, health conditions, sex life, sexual orientation, or citizenship/immigration status. It also covers genetic or biometric data used for unique identification, personal data collected from a known child (under 13 years of age), and precise geolocation data (identifying a specific location within a 1,750-foot radius).
Who Is Exempt?
HB283 carves out several important exemptions, meaning its provisions do not apply to certain entities or types of data. These exemptions include state political subdivisions, nonprofit organizations, and both two-year and four-year institutions of higher education. Additionally, certain financial institutions and data regulated by federal laws like the Gramm-Leach-Bliley Act are exempt. The law also does not apply to covered entities or business associates as defined by HIPAA, nor to various types of protected health information or data used in human subjects research. Furthermore, data collected or used for purposes such as credit reporting, driver's privacy, family educational rights, farm credit, emergency contacts, or benefits administration is exempt if regulated by federal law.
What Does HB283 Require of Businesses (Controllers)?
For companies handling personal data, HB283 introduces several key obligations designed to enhance consumer privacy and control. Controllers must establish secure and reliable methods for consumers to exercise their rights and clearly describe these methods in their privacy notices. When a consumer makes a request, companies are obligated to respond within 45 days, with a possible 45-day extension for more complex requests. Generally, information provided in response to a consumer's request must be free of charge once per consumer every 12 months, although companies may charge a reasonable fee or decline requests deemed "manifestly unfounded, excessive, technically infeasible, or repetitive."
Furthermore, if a controller refuses to act on a consumer's request, they must provide a justification and establish an accessible appeals process. If an appeal is denied, the consumer must be informed on how to contact the Attorney General to file a complaint. Businesses are also required to limit data collection to what is "adequate, relevant, and reasonably necessary" for disclosed purposes and must maintain reasonable security practices to protect personal data. Processing sensitive data requires explicit consumer consent, and for data collected from a known child, compliance with the Children's Online Privacy Protection Act (COPPA) is mandated.
HB283 also prohibits discrimination against consumers for exercising their rights under the act, meaning companies cannot deny goods or services, charge different prices, or provide a different level of quality solely because a consumer has asserted their privacy rights. However, this does not prevent offering different prices or quality if the consumer opts out or if it's tied to a voluntary loyalty program. Lastly, controllers who sell personal data or process it for targeted advertising must clearly and conspicuously disclose these practices, as well as the mechanism for consumers to opt out. Their privacy notices must be clear and meaningful, detailing the categories of personal data processed, the purpose for processing, categories of personal data shared with third parties, the types of third parties receiving data, an active contact mechanism, and instructions on how consumers can exercise their rights and appeal decisions.
Enforcement: The Attorney General's Role
The Alabama Attorney General holds the exclusive authority to enforce violations of HB283. Before initiating any action for a violation, the Attorney General is required to issue a notice of violation to the controller. If the controller fails to correct the identified violation within 60 days of receiving the notice, the Attorney General may then proceed with legal action. However, if the controller rectifies the violation within this 60-day period and provides the Attorney General with a written statement confirming the correction and a commitment against future violations, no further action will be initiated against that controller.
What Does This Mean for You?
HB283 represents a significant step towards greater data privacy in Alabama. It empowers you with concrete rights to understand and control your personal information, especially concerning targeted advertising and the sale of your data. While the law outlines specific responsibilities for businesses, its real impact will be seen as it goes into effect and is interpreted through practice and potential legal challenges.
Understanding these rights is your first step in navigating the complex digital landscape and taking charge of your personal data.