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What is the New Jersey Data Protection Act and How does it Affect Businesses?

  • New Jersey has passed a new cybersecurity regulation, known as the New Jersey Data Protection Act (NJDPA), which aims to enhance data protection for businesses and individuals.
  • The NJDPA applies to companies that handle personal data for 100,000 people or more, or generate revenue from selling or sharing data for 25,000 people or more, even international companies targeting New Jersey.
  • Certain sectors, such as banking, telecommunications, and iGaming, are already ahead in terms of data protection and are well-positioned to meet the new requirements.
  • The NJDPA encourages businesses to use encryption methods and other security measures to protect user data, and also requires companies to offer opt-out choices to consumers and limit unnecessary data collection.

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