QuestionQ57

Federal Privacy Laws

Which of the following constitutes an example of federal preemption?

  • A The Payment Card Industry’s (PCI) ability to self-regulate and enforce data security standards for payment card data.
  • B The U.S. Federal Trade Commission’s (FTC) ability to enforce against unfair and deceptive trade practices across sectors and industries.
  • C The California Consumer Privacy Act (CCPA) regulating businesses that have no physical brick-and-mortal presence in California, but which do business there.
  • D The U.S. Controlling the Assault of Non-Solicited Pornography and Marketing (CAN-SPAM) Act prohibiting states from passing laws that impose greater obligations on senders of email marketing.
Explanation

The CAN-SPAM Act expressly supersedes specified state laws regulating the use of commercial email, while preserving limited exceptions such as state laws prohibiting falsity or deception. A federal statute preventing states from imposing additional commercial-email requirements is federal preemption.

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