Delaware DPDPA Compliance Guide | Blue Frog Docs

Delaware DPDPA Compliance Guide

Comprehensive guide to the Delaware Personal Data Privacy Act (DPDPA), featuring the nation's lowest consumer data threshold at 35,000 consumers.

Overview

The Delaware Personal Data Privacy Act (DPDPA) establishes the lowest data volume threshold of any comprehensive U.S. state privacy law, applying to businesses processing personal data of just 35,000 Delaware consumers.

Full Name and Description

Delaware Personal Data Privacy Act (DPDPA): Signed into law on September 11, 2023, the DPDPA becomes effective January 1, 2025. It provides Delaware consumers with comprehensive data rights and imposes obligations on businesses processing their personal data.

Enforcement Date

  • Effective Date: January 1, 2025
  • Cure Period Expires: December 31, 2025

Governing Body

  • Delaware Attorney General: Exclusive enforcement authority
  • Delaware Department of Justice: Primary enforcement unit
  • No Private Right of Action: Consumers cannot sue directly

Primary Purpose

The DPDPA aims to:

  • Extend privacy protections to Delaware's residents
  • Establish the most accessible threshold for consumer privacy coverage
  • Grant consumers comprehensive rights over their personal data
  • Require transparency in data processing practices

Applicability

Who Needs to Comply?

The DPDPA applies to persons that conduct business in Delaware or target products/services to Delaware residents AND:

  1. Control or process personal data of 35,000+ Delaware consumers (excluding payment-only processing), OR
  2. Control or process personal data of 10,000+ Delaware consumers AND derive more than 20% of gross revenue from the sale of personal data

Lowest Thresholds in the Nation

Comparison Consumer Threshold Revenue Threshold
Delaware 35,000 / 10,000 20%
Montana 50,000 / 25,000 25%
Colorado 100,000 / 25,000 Any revenue
Virginia 100,000 / 25,000 50%
Connecticut 100,000 / 25,000 25%

Delaware's thresholds are designed to capture more businesses despite the state's smaller population.

Key Exemptions

Entity-Level Exemptions:

  • State and local government entities
  • Financial institutions subject to GLBA
  • HIPAA-covered entities and business associates
  • Nonprofit organizations
  • Higher education institutions

Data-Level Exemptions:

  • Employment data
  • B2B contact information
  • Data subject to HIPAA, GLBA, FCRA, FERPA, COPPA, DPPA
  • Publicly available information

What the DPDPA Governs

Types of Data Covered

Personal Data - Information linked or reasonably linkable to an identified or identifiable individual.

Sensitive Data (requires opt-in consent):

  • Racial or ethnic origin
  • Religious beliefs
  • Mental or physical health condition or diagnosis
  • Sex life or sexual orientation
  • Citizenship or immigration status
  • Genetic data
  • Biometric data processed for identification
  • Known child's personal data
  • Precise geolocation data

Consumer Rights Under DPDPA

Delaware consumers have six core rights:

  1. Right to Access: Confirm processing and access personal data
  2. Right to Correct: Request correction of inaccurate data
  3. Right to Delete: Request deletion of personal data
  4. Right to Portability: Obtain data in portable, usable format
  5. Right to Opt-Out: Decline sale, targeted advertising, and profiling
  6. Right to Third-Party Information: Obtain list of specific third parties

Like Oregon, Delaware grants consumers the right to obtain specific third-party names, not just categories.


Compliance Requirements

Key Obligations for Controllers

1. Privacy Notice Requirements

Clear, accessible privacy notices must include:

  • Categories of personal data processed
  • Purposes for processing
  • How to exercise consumer rights
  • Categories shared with third parties
  • Categories of third parties receiving data
  • Information about third-party disclosure requests

2. Consumer Request Handling

Requirement Timeframe
Initial Response 45 days
Extension (reasonably necessary) Additional 45 days
Appeals Response 60 days
Third-Party List Response 45 days

3. Data Protection Assessments

Required for:

  • Targeted advertising
  • Sale of personal data
  • Profiling with significant effects
  • Sensitive data processing
  • Any processing presenting heightened risk

4. Third-Party Tracking

Controllers must maintain records of specific third parties receiving consumer data to fulfill disclosure requests.

Security Requirements

  • Implement reasonable administrative, technical, and physical security
  • Security appropriate to data volume and sensitivity

Consequences of Non-Compliance

Enforcement Process

  1. Notice of Violation: AG provides written notice
  2. Cure Period: 60 days to cure (until December 31, 2025)
  3. Post-Cure Period: No cure opportunity after 2025
  4. Enforcement: Civil action

Penalties and Fines

  • Up to $10,000 per violation
  • Investigative costs and attorney fees
  • Injunctive relief available

Higher Penalty Cap

Delaware's $10,000 per violation penalty is higher than the $7,500 standard in most other states.


Why the DPDPA Exists

Historical Background

  • 2023 Legislative Session: Delaware passes HB 154
  • September 11, 2023: Governor Carney signs DPDPA
  • January 1, 2025: DPDPA takes effect

Distinctive Features

  1. Lowest thresholds: 35,000/10,000 consumer thresholds
  2. Lowest revenue percentage: 20% from data sales
  3. Third-party disclosure right: Specific names required
  4. Higher penalties: $10,000 per violation
  5. 60-day appeal response: Extended timeline

Implementation & Best Practices

How to Become Compliant

Step 1: Threshold Analysis

  • Count Delaware consumers (lower bar than other states)
  • Calculate data sales revenue percentage (20% threshold)
  • Document applicability determination

Step 2: Third-Party Tracking System

  • Implement detailed third-party sharing records
  • Prepare for specific name disclosure requests
  • Update records when sharing arrangements change

Step 3: Standard Compliance Framework

  • Follow comprehensive state privacy compliance steps
  • Implement all consumer rights infrastructure
  • Conduct data protection assessments
  • Update privacy notices

Special Considerations

Given Delaware's low thresholds:

  • More mid-sized businesses may be subject to DPDPA
  • The 20% revenue threshold is lowest among states
  • Third-party tracking requirements match Oregon
  • Higher penalties ($10,000) warrant careful compliance


Conclusion

The Delaware Personal Data Privacy Act sets the most accessible thresholds for comprehensive privacy law coverage in the United States. At just 35,000 consumers (or 10,000 with 20% data sales revenue), more businesses will find themselves subject to Delaware's requirements than under other state laws.

Organizations should carefully assess their Delaware consumer counts and implement third-party tracking systems to comply with the specific disclosure requirements. The higher $10,000 per-violation penalty makes compliance particularly important.

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