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The rules for online businesses usually do not need you to operate physically in a state. For example, CCPA in California, is enforceable if you buy/sell/share
by darth_avocado 3y ago
The rules for online businesses usually do not need you to operate physically in a state. For example, CCPA in California, is enforceable if you buy/sell/share personal information of California residents and generate revenue from it, even if your business is not in California physically. You can be sued and the state will pursue fines if you are in violation of the law.
Similarly, even if Pornhub doesn't operate physically in Texas, if they make money off of users residing in Texas, you are "conducting business" in Texas and therefore the laws are applicable to you as any other business.
The concept is known as "minimum contacts".
- ranger_danger 3y agoWouldn't it be better to just stop accepting payments from Texas instead of blocking the site for them entirely?
- kossae 3y agoI assume this would be more complex than that. Logging (storing personal data), ad revenue from viewers in TX, etc could easily make this a much larger task than the revenue is worth. Even if those were done, you’re then serving content to an entire state completely for free, which makes no business sense.
- darth_avocado 3y agoAd revenue would be the problem.
- deleted 3y ago[deleted]
- ranger_danger 3y ago> You can be sued Not if your business isn't registered in that state. Just because you acquired personal information from CA residents doesn't mean they gave it to you directly.
- darth_avocado 3y ago> The CCPA applies to businesses that “collect” or “sell”[1] personal information of California residents and that meet one of the three statutory thresholds described below, even if they are not organized under California law and even if they have no physical presence in California. https://www.thsh.com/publications/what-businesses-outside-california-should-know-about-the-california-consumer-privacy-act#:~:text=The%20CCPA%20applies%20to%20businesses,no%20physical%20presence%20in%20California https://www.thsh.com/publications/what-businesses-outside-ca....
- slotrans 3y agoSo California claims. Show me a case against a non-California entity.
- darth_avocado 3y agoI think a burden of proof lies on you if you believe California's claims are wrong. Show me a case when such a case was thrown out.
- rysertio 3y agoThe bigger question is can they catch you.