Hello all, and happy Thursday!
CalPrivacy has notched another of its many firsts in US data privacy enforcement–this time, with the first enforcement action involving the privacy of students and California schools.
PlayOn Sports, the company associated with the GoFan ticketing platform used by many high schools, was hit with a $1.1 million fine by CalPrivacy for CCPA violations. Here’s why:
- PlayOn Sports forced users, including high school students, to agree to tracking for targeted advertising before they could access digital event tickets.
- They also didn’t provide an opt-out mechanism, ignored opt-out preference signals (e.g., the GPC), and failed to get affirmative opt-in consent for teens aged 13–15.
Given that this is the first CCPA enforcement involving Californian students and schools, what should businesses learn from this action?
I think there’s a mistaken belief out there that US privacy law is all opt-out consent, all the time. (If you’re not familiar with the difference between opt-in and opt-out consent, our blog provides an overview.) Not so–in California, for example, opt-in consent is required when collecting the data of consumers aged 13 to 15, and parents must opt in for data collection for under-13-year-olds. Coupled with CIPA risk in California, we recommend defaulting to an opt-in standard of consent across the board when collecting data from Californians.
Interestingly, PlayOn also directed students to opt out via third parties (the Network Advertising Initiative and the Digital Advertising Alliance). The CPPA ruled this was not compliant; businesses must provide their own direct method for consumers to opt out.
Best,
Arlo
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Arlo Gilbert
Arlo Gilbert
Arlo Gilbert is the CIO & co-founder of Osano. A native of Austin, Texas, he has been building software companies for more than 25 years in categories including telecom, payments, procurement, and compliance. In 2005 Arlo invented voice commerce, he has testified before congress on technology issues, and is a frequent speaker on data privacy rights.
