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New Hampshire Data Protection Act Overview

Effective Date: January 1, 2025

New Hampshire is taking significant steps to enhance consumer privacy protections with the introduction of the New Hampshire Data Protection Act (NHDPA), set to take effect on January 1, 2025. 

The NHDPA aims to safeguard the personal data of New Hampshire residents and provides for clear rights and responsibilities for, respectively, consumers and businesses. This legislation marks a significant development in the growing landscape of state-led privacy laws.

Scope and Applicability

The NHDPA applies to businesses that:

  1. Conduct business in New Hampshire or offer products or services targeted to New Hampshire residents; and
  2. During a calendar year, either:
  • Control or process the personal data of at least 100,000 consumers (excluding data processed solely for payment transactions), or
  • Control or process the personal data of at least 25,000 consumers and derive more than 25% of their revenue from the sale of personal data.

Important Note: The NHDPA does not apply to non-profits. It also excludes certain data governed by federal regulations, such as health data protected under HIPAA. Additionally, general exemptions apply, e.g. state entities and higher education institutions. Also, compliance with NHDPA’s requirements does not affect businesses’ need to comply with specific ordinances or provide products or services upon consumer request.

Definition of Sensitive Data

Sensitive data under the NHDPA includes:

  1. Racial or ethnic origin, religious beliefs, mental or physical health conditions or diagnoses, sex lifesexual orientation, or citizenship or immigration status.
  2. Genetic or biometric data used to uniquely identify an individual.
  3. Personal data of a known child (under the age of 13).
  4. Precise geolocation data.

Consumer Rights Under the NHDPA

New Hampshire residents are granted the following rights under the NHDPA:

  1. Access and Confirmation: Consumers can confirm whether their personal data is being processed and access it (unless revealing the data would expose trade secrets).
  2. Data Portability: Consumers can obtain a copy of their personal data in a portable format, allowing easy transfer to another service provider.
  3. Correction: Consumers can request that inaccurate or incomplete data be corrected.
  4. Deletion: Consumers can request the deletion of their personal data.
  5. Opt-Out Rights: Consumers can opt out of the sale of their personal data, targeted advertising, and certain profiling activities with legal or other significant implications.
  6. Non-Discrimination: Consumers cannot be discriminated against for exercising their rights under the NHDPA.

Exercising Consumer Rights

Consumers may submit requests to exercise their rights through secure and reliable means, as detailed in the business’s privacy notice. No account creation is required for requests, though businesses may ask consumers with existing accounts to use them for submitting requests. Additionally, parents or legal guardians can submit requests on behalf of children, and guardians or conservators can act on behalf of individuals under guardianship or conservatorship. Consumers may also designate an authorized agent to submit opt-out requests.

Response to Consumer Requests

Businesses must respond to consumer requests within 45 days. If more time is needed, businesses may extend this period by an additional 45 days, but consumers must be informed of the delay. Information provided in response to consumer requests must be free of charge, at least for one request every 12 months. If a request is deemed manifestly unfounded, excessive, or repetitive, businesses may charge a reasonable fee to cover administrative costs. 

Controllers must authenticate consumer requests using commercially reasonable efforts and ensure that they can fulfill requests in a timely and secure manner.

Appeal Process

If a business denies a consumer’s request or provides an unsatisfactory response, consumers have the right to appeal. The appeal process must be easily accessible and similar to the process for submitting original requests. Businesses must respond to appeals within 60 days of receipt. 

If an appeal is denied, businesses must provide a mechanism (online or otherwise) for consumers to contact the New Hampshire Attorney General’s Office to file a complaint.

Controller Obligations Under the NHDPA

Businesses (controllers) must adhere to several key obligations:

Limit Data Collection: Only collect and process personal data that is adequate, relevant, and necessary for the disclosed processing purposes.

Obtain Consumer Consent: Controllers must obtain explicit consent for:

  • Processing data for purposes not reasonably necessary to or compatible with the primary purposes disclosed in the privacy notice.
  • Processing sensitive data (a known child’s sensitive data must be processed in compliance with COPPA).
  • Processing personal data for targeted advertising or selling data, where the consumer is between 13 and 16 years old.

Consumers must also be able to easily withdraw consent, and businesses must cease processing personal data as soon as practicable, but no later than 15 days after receiving the revocation.

Privacy Notice Requirements: Controllers must provide a clear and accessible privacy notice that includes, among others:

  • The categories of personal data processed.
  • The purposes for processing the data.
  • The third parties with whom the data is shared.
  • A clear process for consumers to exercise their rights, including the right of appeal.
  • Contact information for consumers to reach the controller.

Contracts with Processors: Controllers must ensure that any third-party processors align with the NHDPA. This may involve updating existing data processing agreements to reflect the NHDPA’s requirements.

Data Protection Assessments: Controllers must conduct data protection assessments for activities that pose a heightened risk of harm to consumers’ privacy, including processing sensitive data and selling personal data.

Data Security: Controllers must implement and maintain reasonable administrative, technical, and physical security measures to safeguard personal data.

Universal Opt-Out Mechanisms

By January 1, 2025, businesses will need to allow consumers to opt out of the sale of their personal data and targeted advertising through universal opt-out signals. This may involve adopting emerging technologies that make it easier for consumers to control how their data is used.

Penalties and Enforcement

The New Hampshire Attorney General’s Office will have exclusive authority to enforce the NHDPA. Non-compliance with the law can result in significant penalties, with businesses given 60 days to remedy violations after receiving written notice (until December 31, 2025).

How iubenda can help

The New Hampshire Consumer Data Protection Act is an important development in the state’s effort to protect consumer privacy. By providing clear rights for consumers and outlining strict obligations for businesses, the NHDPA helps ensure that personal data is handled responsibly and securely.

Businesses operating in New Hampshire must prepare for the January 1, 2025 effective date by revising privacy policies, implementing data security practices, and ensuring that consumers can easily exercise their rights. Taking proactive steps now will help mitigate risks and ensure compliance with the NHDPA when it takes effect.