Connecticut, California, and Colorado attorneys general, along with the California Privacy Protection Agency, announced a joint investigative sweep targeting businesses that fail to honor Global Privacy Control (GPC) signals, which allow consumers to opt-out of the sale of their personal information. The coalition sent letters to non-compliant businesses demanding immediate compliance with state privacy laws requiring respect for consumer opt-out preferences.
In-house legal teams should review contracts with vendors and partners to ensure they include obligations to honor Global Privacy Control (GPC) signals and comply with state privacy laws like CTDPA, CCPA, and CPA. Contracts should mandate prompt processing of opt-out requests, prohibit unauthorized data sharing for targeted advertising, and include audit rights and reporting requirements for privacy compliance. Clauses related to data sale, consumer consent, and privacy preference signals should be updated to align with enforcement priorities.
Entity
Businesses
Industry
Other"businesses"
"The Connecticut Data Privacy Act"
"CTDPA"
"refusing to honor consumers’ right to opt-out of the sale of their personal information"
$625K
Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.
$2.6M
Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.
Connecticut joined a coalition of state attorneys general filing a notice in Character Technologies, Inc.’s bankruptcy proceedings, raising concerns about the company’s safety and privacy practices and the sensitive information it holds. The states seek protections for children and consumers if the company’s business or assets are sold or transferred; the filing does not impose a fine or other remedy.
Attorney General William Tong and Consumer Counsel Claire Coleman petitioned PURA to review how Connecticut public utilities use artificial intelligence, citing potential data privacy and cybersecurity risks, algorithmic errors, and misleading outputs. The petition asks PURA to examine utility AI systems, safeguards, vendors, and data security practices; it does not report a finding of violation or an imposed penalty.
$2.0M
Connecticut Attorney General William Tong announced a settlement with RZ Smoke, Inc. over allegations that it distributed and sold high-potency cannabis products without a state license. The stipulated judgment is $2 million, with $375,000 payable to the State and $1.6 million suspended to ensure compliance; the company is barred from specified cannabis activities in Connecticut unless licensed.
$13.7M
Connecticut joined a coalition of states and the federal government in settling allegations that Takeda paid healthcare providers speaker honoraria and provided meals to induce prescriptions of Trintellix, leading to allegedly false claims to government healthcare programs. Takeda agreed to pay $13,670,921 plus accrued interest, with portions allocated to federal and state programs.