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CIPP-US · Question #128

The use of cookies on a website by a service provider is generally not deemed a `sale' of personal information by CCPA, as long as which of the following conditions is met?

The correct answer is D. The information collected by the service provider is necessary to perform debugging and the. The California Consumer Privacy Act (CCPA) defines a `sale' of personal information as any transfer or disclosure of personal information to another business or third party for monetary or other valuable consideration. However, the CCPA also provides some exceptions to this…

State Privacy Laws

Question

The use of cookies on a website by a service provider is generally not deemed a `sale' of personal information by CCPA, as long as which of the following conditions is met?

Options

  • AThe third party stores personal information to trigger a response to a consumer's request to
  • BThe analytics cookies placed by the service provider are capable of being tracked but cannot be
  • CThe service provider retains personal information obtained in the course of providing the services
  • DThe information collected by the service provider is necessary to perform debugging and the

How the community answered

(43 responses)
  • A
    9% (4)
  • B
    5% (2)
  • C
    2% (1)
  • D
    84% (36)

Explanation

The California Consumer Privacy Act (CCPA) defines a `sale' of personal information as any transfer or disclosure of personal information to another business or third party for monetary or other valuable consideration. However, the CCPA also provides some exceptions to this definition, such as: If the consumer has directed the business to intentionally disclose the personal information or use the personal information to interact with a third party, provided the third party does not also sell the personal information. If the business transfers the personal information to a service provider that is contractually prohibited from retaining, using, or disclosing the personal information for any purpose other than performing the services specified in the contract with the business. If the business transfers the personal information to a third party as part of a merger, acquisition, bankruptcy, or other transaction in which the third party assumes control of all or part of the business, provided the information is used or shared consistently with the CCPA. The use of cookies on a website by a service provider is generally not deemed a sale of personal information by the CCPA, as long as the information collected by the service provider is necessary to perform the services specified in the contract with the business, and the service provider does not further collect, sell, or use the personal information of the consumer except as necessary to perform the business purpose. One of the examples of a valid business purpose is to perform debugging to identify and repair errors that impair existing intended functionality. Therefore, option D is the correct answer, as it describes a scenario where the use of cookies by a service provider is not a sale of personal information under the CCPA, assuming the service provider complies with the contractual obligations and does not further use or disclose the information.

Topics

#CCPA#sale of personal information#service provider exemption#cookies

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