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Bill

AB 566

California Consumer Privacy Act of 2018: opt-out preference signal.

2025-2026 Regular Session Introduced by Josh Lowenthal and 2 co-sponsors

California requires businesses to recognize standardized opt-out preference signals as valid consumer requests to stop selling or sharing personal data.

Chaptered by Secretary of State - Chapter 465, Statutes of 2025.
#californiaconsumerprivacyactof2018 #opt-outpreferencesignal
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Bill Summary · AB 566

Legislative bill overview

AB 566 amends California's Consumer Privacy Act (CCPA) to require businesses to recognize and honor standardized opt-out preference signals (such as browser-based "Do Not Sell My Personal Information" buttons) as valid requests to stop the sale or sharing of consumer personal data. The bill establishes that responding to these signals is equivalent to receiving an explicit opt-out request from a consumer.

Why is this important

This legislation streamlines privacy protection by allowing consumers to exercise data privacy rights through automated, user-friendly mechanisms rather than requiring individual requests to each business. It potentially affects how thousands of California businesses handle consumer data sales and sharing practices, while also influencing privacy standard-setting at the national level as other states consider similar frameworks.

Potential points of contention

  • Compliance costs: Businesses must update systems to detect and process standardized signals, creating infrastructure expenses that may disproportionately burden smaller companies
  • Signal standardization disputes: Disagreement over which preference signals qualify as "valid" could lead to inconsistent implementation and litigation over compliance
  • Tension with business models: Companies relying on data monetization face revenue impacts, though consumer advocates argue this aligns with existing CCPA obligations

Compiled from official sources — confirm details with the bill’s official record.

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