§ 7080. Discriminatory Practices.

ARTICLE 7. NON-DISCRIMINATION

(a) A price or service difference is discriminatory, and therefore prohibited by Civil Code section 1798.125, if the business treats a consumer differently because the consumer exercised a right conferred by the CCPA or these regulations.

(b) A business may offer a price or service difference that is non- discriminatory. A price or service difference is non-discriminatory if it is reasonably related to the value of the consumer’s data. If a business is unable to calculate a good-faith estimate of the value of the consumer’s data or cannot show that the price or service difference is reasonably related to the value of the consumer’s data, that business shall not offer the price or service difference.

(c) A business’s denial of a consumer’s request to delete, request to correct, request to know, or request to opt-out of sale/sharing for reasons permitted by the CCPA or these regulations shall not be considered discriminatory.

(d) Illustrative examples follow:

(1) Example 1: A music streaming business offers a free service as well as a premium service that costs $5 per month. If only the consumers who pay for the music streaming service are allowed to opt-out of the sale or sharing of their personal information, then the practice is discriminatory, unless the $5-per-month payment is reasonably related to the value of the consumer’s data to the business.

(2) Example 2: A clothing business offers a loyalty program whereby customers receive a $5-off coupon by email after spending $100 with the business. A consumer submits a request to delete all personal information the business has collected about them but also informs the business that they want to continue to participate in the loyalty program. The business may deny their request to delete with regard to their email address and the amount the consumer has spent with the business because that information is necessary for the business to provide the loyalty program requested by the consumer and is reasonably anticipated within the context of the business’s ongoing relationship with them pursuant to Civil Code section 1798.105, subdivision (d)(1).

(3) Example 3: A grocery store offers a loyalty program whereby consumers receive coupons and special discounts when they provide their phone numbers. A consumer submits a request to opt-out of the sale/sharing of their personal information. The retailer complies with their request but no longer allows the consumer to participate in the loyalty program. This practice is discriminatory unless the grocery store can demonstrate that the value of the coupons and special discounts are reasonably related to the value of the consumer’s data to the business.

(4) Example 4: An online bookseller collects information about consumers, including their email addresses. It offers coupons to consumers through browser pop-up windows while the consumer uses the bookseller’s website. A consumer submits a request to delete all personal information that the bookseller has collected about them, including their email address and their browsing and purchasing history. The bookseller complies with the request but stops providing the periodic coupons to the consumer. The bookseller’s failure to provide coupons is discriminatory unless the value of the coupons is reasonably related to the value provided to the business by the consumer’s data. The bookseller may not deny the consumer’s request to delete with regard to the email address because the email address is not necessary to provide the coupons or reasonably aligned with the expectations of the consumer based on the consumer’s relationship with the business.

(e) A business shall notify consumers of any financial incentive or price or service difference subject to Civil Code section 1798.125 that it offers in accordance with section 7016.

(f) A business’s charging of a reasonable fee pursuant to Civil Code section 1798.145, subdivision (h)(3), shall not be considered a financial incentive subject to these regulations.

(g) A price or service difference that is the direct result of compliance with a state or federal law shall not be considered discriminatory.

Note: Authority cited: Section 1798.185, Civil Code. Reference: Sections 1798.125, 1798.130 and 1798.185, Civil Code.