Section § 1798.91

Explanation

This California law requires manufacturers of connected devices, like smart gadgets, to build in reasonable security features. These features must fit the device's use and the kinds of data it handles, keeping information safe from unauthorized access or changes. If a device can be accessed outside a local network, it must either have a unique password per unit or require users to choose a new password upon first use. In turn, manufacturers can meet these rules by aligning with standards from the National Institute of Standards and Technology (NIST), including third-party testing and labeling requirements.

(a)CA Civil Law Code § 1798.91(a) A manufacturer of a connected device shall equip the device with a reasonable security feature or features that are all of the following:
(1)CA Civil Law Code § 1798.91(a)(1) Appropriate to the nature and function of the device.
(2)CA Civil Law Code § 1798.91(a)(2) Appropriate to the information it may collect, contain, or transmit.
(3)CA Civil Law Code § 1798.91(a)(3) Designed to protect the device and any information contained therein from unauthorized access, destruction, use, modification, or disclosure.
(b)CA Civil Law Code § 1798.91(b) Subject to all of the requirements of subdivision (a), if a connected device is equipped with a means for authentication outside a local area network, it shall be deemed a reasonable security feature under subdivision (a) if either of the following requirements are met:
(1)CA Civil Law Code § 1798.91(b)(1) The preprogrammed password is unique to each device manufactured.
(2)CA Civil Law Code § 1798.91(b)(2) The device contains a security feature that requires a user to generate a new means of authentication before access is granted to the device for the first time.
(c)CA Civil Law Code § 1798.91(c) A manufacturer of a connected device may elect to satisfy the requirements of subdivision (a) by ensuring the connected device does all of the following:
(1)CA Civil Law Code § 1798.91(c)(1) Meets or exceeds the baseline product criteria of a NIST conforming labeling scheme.
(2)CA Civil Law Code § 1798.91(c)(2) Satisfies a conformity assessment as described by a NIST conforming labeling scheme that includes a third-party test, inspection, or certification.
(3)CA Civil Law Code § 1798.91(c)(3) Bears the binary label as described by a NIST conforming labeling scheme.

Section § 1798.91

Explanation

This section defines key terms for a California law about internet-connected devices. 'Authentication' is about confirming who's allowed to use a system. A 'connected device' is any object that can go online, even if indirectly, like a smart fridge. 'Manufacturer' refers to those who make these devices for sale in the state. A 'NIST conforming labeling scheme' involves special labels for IoT products that meet certain cybersecurity standards. 'Security feature' means anything on a device meant to keep it secure. Lastly, 'unauthorized access' covers any use of a device that wasn't given the green light by the user.

For the purposes of this title, the following terms have the following meanings:
(a)CA Civil Law Code § 1798.91(a) “Authentication” means a method of verifying the authority of a user, process, or device to access resources in an information system.
(b)CA Civil Law Code § 1798.91(b) “Connected device” means any device, or other physical object that is capable of connecting to the internet, directly or indirectly, and that is assigned an internet protocol address or Bluetooth address.
(c)CA Civil Law Code § 1798.91(c) “Manufacturer” means the person who manufactures, or contracts with another person to manufacture on the person’s behalf, connected devices that are sold or offered for sale in California. For the purposes of this subdivision, a contract with another person to manufacture on the person’s behalf does not include a contract only to purchase a connected device, or only to purchase and brand a connected device.
(d)CA Civil Law Code § 1798.91(d) “NIST conforming labeling scheme” means a labeling scheme conforming to the Cybersecurity White Paper titled “Recommended Criteria for Cybersecurity Labeling for Consumer Internet of Things (IoT) Products” published by the National Institute of Standards and Technology (NIST) on February 4, 2022, including any revisions or successor publications.
(e)CA Civil Law Code § 1798.91(e) “Security feature” means a feature of a device designed to provide security for that device.
(f)CA Civil Law Code § 1798.91(f) “Unauthorized access, destruction, use, modification, or disclosure” means access, destruction, use, modification, or disclosure that is not authorized by the consumer.

Section § 1798.91

Explanation

This law explains that manufacturers of connected devices and providers of apps can't be held responsible for third-party software users install on these devices. It also confirms that device users have the right to fully control and modify their devices. Security obligations under federal law take precedence, and private lawsuits aren't allowed under this statute — only certain government attorneys can enforce it. Furthermore, the law clarifies that these rules don't override existing legal duties and allow law enforcement access to device information as needed. Entities covered by specific health privacy laws like HIPAA aren't affected. This statute became effective on January 1, 2020.

(a)CA Civil Law Code § 1798.91(a) This title shall not be construed to impose any duty upon the manufacturer of a connected device related to unaffiliated third-party software or applications that a user chooses to add to a connected device.
(b)CA Civil Law Code § 1798.91(b) This title shall not be construed to impose any duty upon a provider of an electronic store, gateway, marketplace, or other means of purchasing or downloading software or applications, to review or enforce compliance with this title.
(c)CA Civil Law Code § 1798.91(c) This title shall not be construed to impose any duty upon the manufacturer of a connected device to prevent a user from having full control over a connected device, including the ability to modify the software or firmware running on the device at the user’s discretion.
(d)CA Civil Law Code § 1798.91(d) This title shall not apply to any connected device the functionality of which is subject to security requirements under federal law, regulations, or guidance promulgated by a federal agency pursuant to its regulatory enforcement authority.
(e)CA Civil Law Code § 1798.91(e) This title shall not be construed to provide a basis for a private right of action. The Attorney General, a city attorney, a county counsel, or a district attorney shall have the exclusive authority to enforce this title.
(f)CA Civil Law Code § 1798.91(f) The duties and obligations imposed by this title are cumulative with any other duties or obligations imposed under other law, and shall not be construed to relieve any party from any duties or obligations imposed under other law.
(g)CA Civil Law Code § 1798.91(g) This title shall not be construed to limit the authority of a law enforcement agency to obtain connected device information from a manufacturer as authorized by law or pursuant to an order of a court of competent jurisdiction.
(h)CA Civil Law Code § 1798.91(h) A covered entity, provider of health care, business associate, health care service plan, contractor, employer, or any other person subject to the federal Health Insurance Portability and Accountability Act of 1996 (HIPAA) (Public Law 104-191) or the Confidentiality of Medical Information Act (Part 2.6 (commencing with Section 56) of Division 1) shall not be subject to this title with respect to any activity regulated by those acts.
(i)CA Civil Law Code § 1798.91(i) This title shall become operative on January 1, 2020.