What happened?

On July 30, 2024, Attorney General Letitia James launched 2 privacy guides for Business and Consumers.

What are the details?

Bites for Businesses (and Employers):

• The Business and Consumer Guides issued aim to enhance online privacy compliance and safety.

• These guides were developed after a review found unwanted tracking on popular websites, serving over 75 million visitors per month.

• While many websites inform visitors about tracking and provide controls, not all ensure accurate disclosures and effective privacy controls.
  • Most internet tracking relies on cookies, and small text files created by a web browser when visiting a website.
  • These cookies, often containing a unique device identifier, help websites and other online services recognize the user, and can be used by advertising companies to serve targeted ads.

• Both guides address tracking via cookies and other means, the phrasing of cookie pop-ups, and potentially misleading language in these pop-ups.

• These guidelines are beneficial for legal privacy professionals needing to understand cookies at a high level to spot potential compliance issues. It also reminds us that privacy compliance is a “whole business” issue, requiring understanding and addressing the impact on overall compliance.

• The Business Guide
  • The aim is to aid businesses in protecting New Yorkers and adhering to New York consumer laws.
  • The guide highlights common business errors, prevention methods, and compliance with New York laws, including truthful tracking representations. It also offers tips to avoid common pitfalls.
  • Key Mistakes: the guide identifies 6 of the most common mistakes businesses make.
  • Key Issues: the guide provides 3 “key issues to look out for” regarding New York consumer laws.
  • Recommendations: the guide offers a “checklist” of yes and noes to make compliance easier

• The Consumer Guide
  • The Consumer Guide to Tracking educates New Yorkers on online tracking, cookie pop-ups, and the reliability of website privacy controls (web browser privacy in general).
  • It highlights that tracking cookies are often created before users can opt-out, and opting out does not delete existing cookies. Thus, users can still be targeted by personalized ads even after opting out.

Business Considerations

• Employers should enhance online privacy compliance and safety, as emphasized in the Business and Consumer Guides.
• Employers should ensure accurate disclosures and effective privacy controls on their websites to inform visitors about tracking.
• Employers should address tracking via cookies and other means, and be aware of the phrasing of cookie pop-ups and potentially misleading language in these pop-ups.
• Employers should consider the ever-growing complexity of properly deploying consent-management tools and cookie pop-ups, considering requirements in state consumer data privacy laws and regulations to adapt or create appropriate mechanisms, ensuring compliance.

Source References

• NY AG Press Release
• NY AG Releases Website Privacy Guides for Businesses and Consumers (Sheppard Mullin)

Resources

• Business Guide to Website Privacy Controls
• Consumer Guide to Tracking on the Web

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