As data privacy regulations continue to expand across the United States, Connecticut has implemented its own consumer privacy law — Connecticut Data Privacy Act (CTDPA) — to protect residents’ personal information. Effective July 1, 2023, the CTDPA establishes stringent requirements for businesses that process consumer data and introduces obligations similar to those found in other state privacy laws, such as the California Consumer Privacy Act (CCPA/CPRA) and Virginia Consumer Data Protection Act (VCDPA).

If your business operates in Connecticut or handles data from Connecticut residents, understanding and complying with the CTDPA is crucial to avoid potential penalties and maintain consumer trust.

Who Does the CTDPA Apply To?

The Connecticut Data Privacy Act applies to organizations that:

• Process or control personal data of at least 100,000 Connecticut residents annually.
• Process data of at least 25,000 residents and derive more than 25% of gross revenue from the sale of personal data.

Note: Nonprofits and higher education institutions are largely exempt, as are entities subject to federal privacy laws such as Health Insurance Portability and Accountability Act (HIPAA) and Gramm – Leach – Bliley Act (GLBA).

 Key Definitions Under CTDPA

To comply effectively, businesses must understand the following key terms:

• Personal Data: Any information that can be linked to an identified or identifiable individual, excluding publicly available information.
• Sensitive Data: Includes data such as race, ethnicity, religious beliefs, sexual orientation, health data, biometric data, and information about children.
• Controller: An entity that determines the purpose and means of processing personal data.
• Processor: An entity that processes data on behalf of the controller.

CTDPA Compliance Requirements for Businesses

To meet CTDPA compliance, businesses must adhere to the following obligations:

1. Transparency and Privacy Notices

Controllers must provide clear and accessible privacy notices that include:

• Categories of personal data collected and processed.
• Purposes for data processing.
• Consumer rights and how they can be exercised.
• Any data sharing with third parties and the categories of recipients.

2. Consumer Rights

Connecticut residents are granted the following rights:

• Right to Access: Consumers can request a copy of their personal data.
• Right to Correction: They can request corrections to any inaccurate information.
• Right to Deletion: Consumers can ask businesses to delete their personal data.
• Right to Opt – Out: Individuals can opt out of targeted advertising, data sales, and profiling.
• Right to Data Portability: Consumers can receive their data in a structured, machine – readable format.

3. Consent for Sensitive Data

Businesses must obtain explicit consent before processing sensitive data. This consent must be freely given, informed, and unambiguous.

4. Data Protection Impact Assessments (DPIAs)

Businesses processing personal data for targeted advertising, profiling, or selling data must conduct Data Protection Impact Assessments (DPIAs) to identify and mitigate potential privacy risks.

5. Contracts with Processors

Controllers must establish Data Processing Agreements (DPAs) with processors to ensure appropriate safeguards and compliance with the CTDPA.

Penalties for Non – Compliance

Failure to comply with the CTDPA may result in enforcement actions by the Connecticut Attorney General’s Office. Businesses found in violation may face:

• Civil penalties of up to $5,000 per violation.
• Injunctive relief and potential reputational damage.

Connecticut offers a 60 – day cure period (until December 31, 2024), allowing businesses to rectify violations without facing penalties. However, starting January 1, 2025, this cure period will no longer be guaranteed.

How Curated Privacy LLC Can Help Your Business Stay Compliant

Navigating the complexities of CTDPA compliance can be overwhelming. At Curated Privacy LLC, we provide expert guidance to help businesses stay compliant and protect consumer data. Our tailored solutions include:

• Privacy Assessments and Gap Analysis: Evaluate your current privacy practices and identify compliance gaps.
• Data Protection Impact Assessments (DPIAs): Identify and mitigate privacy risks in high – risk data processing activities.
• Privacy Policy Drafting and Updates: Develop compliant and transparent privacy notices for your organization.
• Consumer Rights Management: Implement processes to manage and fulfill consumer data requests effectively.

Schedule a FREE Consultation Today!
www.curatedprivacy.com | 📧 info@curatedprivacy.com

Final Thoughts: Why CTDPA Compliance Matters

With the CTDPA now in full effect, businesses must prioritize compliance to avoid legal repercussions and maintain customer trust. Implementing a robust data privacy strategy not only ensures compliance but also demonstrates your commitment to protecting consumer information.

If your organization is looking to strengthen its data privacy posture and align with evolving regulatory frameworks, Curated Privacy LLC is here to help.