By Saachi S. Gorinstein and Scott C. Hall
By the end of 2025, eight new states will have enacted comprehensive privacy laws: Delaware, Iowa, Maryland, Minnesota, Nebraska, New Hampshire, New Jersey, and Tennessee. With twenty states expected to have such laws effective by year’s end and more than a dozen additional states actively considering similar legislation for 2026 and beyond, businesses must continue to navigate an increasingly complex and fragmented regulatory landscape. While all state privacy laws share common core principles such as transparency in notice, data minimization, and opt-out rights for certain data usage, other aspects such as applicability thresholds, consumer rights, and enforcement mechanisms vary significantly across jurisdictions, all in the absence of a unifying federal privacy framework.
Certain baseline privacy principles remain consistent across all states. Businesses operating in any jurisdiction should provide clear notices to consumers about how their data is collected, used, and disclosed, and should limit the use of data collected to specific, disclosed purposes. Businesses should ensure they are collecting only the data necessary for legitimate business purposes and using it solely for the purposes stated in clear and conspicuous privacy notices.
Most states grant consumers a core set of rights that typically include the ability to access, delete, and correct personal data; request copies of their data (data portability); and opt out of targeted advertising, the sale of personal data, and certain types of profiling. However, there are notable exceptions. Iowa’s law does not provide consumers with the right to correct inaccurate data or to opt out of processing for targeted advertising and profiling, limiting individual control compared to other states. In contrast, Minnesota extends consumer protections by allowing individuals to understand the basis of profiling decisions, access the data used, and pursue alternative outcomes. Minnesota also grants a transparency right (similar to Oregon’s and Delaware’s) allowing consumers to request a list of third parties that have received their data. Maryland takes a more limited approach, allowing consumers to request a list of categories of third parties to whom their data has been disclosed.
All state privacy laws require businesses to honor opt-out requests, and some require respect for universal opt-out preference signals through mechanisms such as Global Privacy Control (GPC), which allow consumers to communicate their preferences regarding the sale of personal data and targeted advertising across all websites without needing to opt out individually. Amidst enforcement attention on this topic from California regulators, new laws in Delaware, Nebraska, New Hampshire, and New Jersey require recognition of such signals, with Maryland and Minnesota set to align by the end of the year.
Many new state laws also require businesses to conduct data protection impact assessments (“DPIAs”) and/or internal or external audits when engaging in “high-risk” processing. This typically includes activities such as selling or sharing data for targeted advertising, profiling, or processing sensitive personal information.
All state privacy laws, including those taking effect in 2025, impose heightened restrictions on the collection and processing of sensitive information, and several expand what qualifies as “sensitive.“ New categories include national origin (Delaware, Maryland, New Jersey), transgender or non-binary status (Delaware, Maryland, New Jersey), biometric data (Maryland, Tennessee), and certain financial account information (New Jersey). Maryland’s law is particularly stringent, with a broad definition of “consumer health data” that includes information related to gender-affirming treatment and reproductive or sexual health care, and it prohibits processing or sharing sensitive information unless strictly necessary for a consumer requested service even with consent. Additionally, new state laws in Delaware, Maryland, Nebraska, New Hampshire, New Jersey, and Tennessee follow several already enacted state laws in requiring businesses to conduct DPIAs when processing sensitive data or engaging in other high-risk activities.
Determining which state privacy laws apply to your business requires careful analysis. While California, Tennessee, and Utah use revenue-based thresholds (e.g., $25 million) either alone or in combination with other factors, most states rely on volume-based criteria, typically applying to businesses that process the personal data of 100,000+ residents or derive a certain portion of revenue from selling data.
Several states have lower or broader thresholds:
Adding to the complexity, California uniquely includes employee, contractor, job applicant, and business-to-business transaction data under its CPRA, while most other states limit “consumer” to individuals acting in a personal or household context.
As a result, businesses must be aware of their data collection and processing activities in each state with a privacy law, and must analyze those activities against the requirements of each applicable state law.
Like most state privacy laws, the 2025 statutes do not authorize any private rights of action (California remains the exception for certain data breaches involving sensitive personal information). Enforcement authority generally lies with each state’s Attorney General (or, in California, its newly created Privacy Protection Agency), who are expected to take a more active role in investigating compliance and responding to consumer complaints, especially involving sensitive personal data. Most of the new laws also include cure periods, giving businesses an opportunity to correct violations before enforcement proceeds. Notably, New Jersey’s law grants rulemaking authority to the Director of the Division of Consumer Affairs, signaling that additional implementing regulations may follow, similar to frameworks in California and Colorado. A unique provision in Tennessee’s law introduces an affirmative defense to enforcement actions–the first of its kind among U.S. privacy statutes. Businesses may invoke this defense by demonstrating that they maintain a written privacy program that “reasonably conforms” with the National Institute of Standards and Technology (NIST) privacy framework or a comparable standard. This incentivizes the adoption of widely recognized best practices and supports a more proactive approach to privacy compliance.
With twenty comprehensive privacy laws expected to be effective by the end of 2025 and many more under consideration, privacy compliance is a national business imperative. Although discussions around a federal privacy law continue, no such law has yet materialized. As in the past, companies cannot rely on potential federal intervention to alleviate the burden of multi-jurisdictional compliance.
It is essential for all businesses to consistently map their data collection, use and disclosure, update privacy policies and notices, implement consumer rights requests mechanisms, honor opt-out and limitation requests, and continue to monitor evolving requirements and implement scalable, principle based privacy programs that can adapt to a shifting—and ever-increasing—patchwork of obligations.
See the U.S. State Privacy Laws – Applicability Thresholds chart linked here for more details.
If your company needs assistance with any privacy issues, Coblentz Data Privacy & Cybersecurity attorneys can help. Please contact Scott Hall at shall@coblentzlaw.com or Mari Clifford at mclifford@coblentzlaw.com for further information or assistance.