New regulations target entities selling consumer data and using dark patterns

March 21, 2025 | Senate Bills (Introduced), 2025 Bills, Pennsylvania Legislation Bills , Pennsylvania


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New regulations target entities selling consumer data and using dark patterns
On March 21, 2025, the Pennsylvania Legislature introduced Senate Bill 112, a significant piece of legislation aimed at enhancing consumer privacy protections in the digital age. This bill seeks to address growing concerns over the collection and sale of personal information by businesses, particularly those that derive a substantial portion of their revenue from such practices.

The primary purpose of Senate Bill 112 is to regulate entities that collect and sell consumer data, specifically targeting those that generate at least 50% of their annual revenue from these activities. The bill defines "covered entities" and outlines the responsibilities they must adhere to in order to protect consumer privacy. Notably, it introduces the concept of "dark patterns," which refers to user interface designs that manipulate consumer choices and undermine their autonomy. This provision aims to combat deceptive practices that can lead to unfavorable outcomes for consumers.

Key provisions of the bill include stringent requirements for how businesses handle personal data, including the necessity for companies to publicly commit to processing data in a de-identified manner. This means that data should not be linked to identifiable individuals unless the entity takes reasonable measures to ensure anonymity. Additionally, the bill mandates that any recipient of such data must also adhere to these de-identification standards.

The introduction of Senate Bill 112 has sparked notable debates among lawmakers and stakeholders. Proponents argue that the bill is a crucial step toward safeguarding consumer rights in an increasingly digital marketplace, where personal information is often exploited without adequate consent. Critics, however, express concerns about the potential burden on businesses, particularly small enterprises that may struggle to comply with the new regulations.

The implications of this legislation are far-reaching. Economically, it could reshape how businesses operate, particularly those in the tech and data industries. Socially, it aims to empower consumers by giving them greater control over their personal information and enhancing transparency in data practices. Politically, the bill reflects a growing bipartisan recognition of the need for stronger consumer protections in the face of evolving digital threats.

As the legislative process unfolds, the future of Senate Bill 112 remains uncertain. Lawmakers will need to navigate the complexities of balancing consumer protection with the interests of businesses. The outcome of this bill could set a precedent for privacy legislation not only in Pennsylvania but potentially influence similar efforts across the nation. The ongoing discussions will be critical in determining how effectively the bill can address the pressing issues of consumer privacy and data security.

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