California AG Focuses CCPA Enforcement on Loyalty Programs

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On Jan. 28, 2022, the California Attorney General Rob Bonta (AG) published a statement putting businesses that operate loyalty programs on notice that the California Consumer Privacy Act (CCPA) requirements for a Notice of Financial Incentive (NOFI) is likely going to be an area of focus for enforcement. This is the first time the AG has published a public statement singling out a particular business practice as a CCPA enforcement priority. Based on our experience assisting several clients with responding to similar Notices of Violation (NOV) involving the NOFI issue, here is a list of key issues that are likely at stake.

Industry Focus

The investigative sweep announced by the AG on Jan. 28 included a number of NOV letters sent to businesses in the retail, home improvement, travel and food service industries. The AG also highlighted in the statement that data brokers, marketing companies, businesses handling children’s information, media outlets and online retailers received notices to cure. In the past year and a

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