Sephora Inc., one of the world’s largest cosmetics retailers, has settled a lawsuit claiming that the company sold customer information without proper notice in violation of the California’s landmark consumer privacy law as stated by the State Attorney General Rob Bonta said 24th August,2022. The company was founded in France and has its U.S. headquarters in San Francisco. In its settlement, Sephora agreed to clarify its website disclosures and privacy policy to tell customers it sells their data, and allow them to opt out of that sale options which is in compliance with the law.
Mr. Bonta asserts that “Data in today’s world is power and selling of it is crime. Some of the most intimate details about your life are being harvested when you sell it. The more data a company has on you, the more power they have over you, the more they can target you to buy their goods and services.”
The California Consumer Privacy Act is a state statute intended to enhance privacy rights and consumer protection for residents of California, United States.
The California Consumer Privacy Act of 2018 gives consumers more control over the personal information that businesses collect about them.
- The right to know about the personal information a business collects about them and how it is used and shared;
- The right to delete personal information collected from them (with some exceptions);The right to opt-out of the sale of their personal information; and
- The right to non-discrimination for exercising their CCPA rights.
The bill was passed by the California State Legislature and signed into law by Jerry Brown, Governor of California, on June 28, 2018.
Sephora even after being notified with this issue didn’t fix the problem within 30 days as required by the law. The company agreed to pay $1.2 million and immediately correct the problem under the settlement.