CCPA and CPRA Compliance for Businesses: What California Companies Must Do in 2026

The California Consumer Privacy Act (CCPA), as amended by the California Privacy Rights Act (CPRA), has transformed how businesses manage personal information and reshaped privacy compliance. By 2026, enforcement is active, guidance is well-developed, and the California Privacy Protection Agency (CPPA) is prioritizing operational accountability – not theoretical compliance. 

If your organization collects, shares, or monetizes personal information of California residents, your privacy practices must now withstand regulatory scrutiny. This guide explains what California businesses must have in place in 2026 to maintain defensible compliance under the CCPA/CPRA framework.  

Does the CCPA/CPRA Apply to Your Business in 2026? 

The CCPA/CPRA applies to for-profit businesses conducting business in California that meet at least one of the following thresholds: 

• Annual gross revenue exceeding the statutory threshold 
• Buying, selling, or sharing the personal information of 100,000+ California residents or households 
• Deriving 50% or more of annual revenue from selling or sharing personal information 

A physical California office is not required. Targeting or transacting with California residents may be enough to trigger obligations.  

Core CCPA/CPRA Compliance Requirements for 2026

1. Updated Privacy NoticesAlignedWith Actual Data Practices 

Your online or consumer-facing privacy policy must accurately disclose: 

• Categories of personal information collected 
• Categories of sensitive personal information 
• Business or commercial purposes for each category 
• Categories of third parties receiving information 
• Retention periods or retention criteria 
• Consumer request rights to access, delete, correct, or opt out

Regulators are closely comparing public disclosures against operational reality. Mismatches significantly increase enforcement risk. 

2. Consumer Rights Infrastructure

California consumers – and employees – hold expanded rights under the CCPA/CPRA, including: 

• Right to know 
• Right to delete 
• Right to correct inaccurate information 
• Right to opt out of sale or sharing 
• Right to limit the use of sensitive personal information 
• Businesses must maintain systems that: 
• Process verifiable requests 
• Track statutory deadlines 
• Document responses 
• Honor Global Privacy Control signals 
• Support internal escalation procedures 

Sensitive personal information includes, but is not limited to, Social Security numbers, genetic data, health information, biometric data, neural data, sexual orientation data, union membership, religious beliefs, and race or ethnic origin. 

3. Mandatory Risk Assessments for High-Risk Processing

In 2026, documented risk assessments are critical for businesses that: 

• Sell or share personal information 
• Process, use, or transmit sensitive personal information at scale
• Use automated decision-making technology 
• Conduct profiling that poses substantial risk to consumers 
• A compliant risk assessment evaluates: 
• Business purpose 
• Benefits of the processing 
• Potential harms to consumers 
• Safeguards and mitigation measures 
• These assessments must be clear, accurate, and ready for regulatory review. 

 4. Cybersecurity Audit Readiness

Businesses with elevated security risks may be required to complete regular cybersecurity audits. Even if deadlines are staggered, preparation must begin early. 

Audit-ready programs generally include: 

• Written information security policies 
• Access control documentation 
• Vendor oversight procedures 
• Incident response plans 
• Executive oversight records 
• Delayed preparation increases exposure during a breach or regulatory inquiry. 

 5. Vendor andThird-partyContract Updates 

The CPRA requires specific contractual terms with service providers and contractors. Agreements must: 

• Limit the use of personal information to specific purposes 
• Prohibit unauthorized sale or sharing 
• Require cooperation with consumer requests
• Mandate reasonable security controls 
• Address subcontractor management 
• Legacy CCPA era templates are often no longer sufficient. 

Common CPRA Compliance Mistakes in 2026 

Businesses frequently underestimate: 

• The operational demands of handling consumer requests 
• The documentation required for risk assessments 
• The importance of legally compliant retention schedules 
• The enforcement capabilities of the California Privacy Protection Agency 
• The reputational consequences of public enforcement actions 
• In California, privacy compliance is no longer a paperwork exercise – it is an ongoing governance discipline. 

How to Build a Defensible CCPA/CPRA Compliance Program 

A defensible privacy program in 2026 includes: 

• A complete data inventory 
• Documented data flows 
• Retention schedules 
• Regular employee training 
• Executive oversight structures 
• Annual legal review of privacy practices 
• Integration of privacy into product development processes 
• Regulators increasingly evaluate whether privacy is built into business operations, not bolted on after the fact. 

Frequently Asked Questions About CPRA Compliance 

What are the penalties for CPRA violations? 

Civil penalties may reach thousands of dollars per violation, with enhanced penalties for violations involving minors. Each affected consumer may count as a separate violation. 

Is CPRA the same as CCPA? 

No. The CPRA amended and expanded the CCPA – adding new rights, redefining sensitive data, eliminating the employee data exemption, creating a dedicated enforcement agency, and introducing risk assessment and audit obligations. 

Do small businesses need to comply? 

Some businesses below statutory thresholds may be exempt, but many are still required to adopt compliant practices by contract. Do not assume exemption based solely on business size. 

Do I need a data privacy risk assessment? 

You may – particularly if you sell or share personal information, process sensitive information at scale, or use automated decision systems. 

CCPA/CPRA Compliance for California Businesses in 2026 

Compliance now requires documented governance, operational controls, and executive oversight. Reactive compliance is far more costly – and riskier – than establishing a structured program upfront. 

A legal compliance audit conducted by experienced privacy counsel can identify vulnerabilities and strengthen defensibility. 

Next Steps for Your Organization 

In 2026, regulators expect California businesses to: 

• Understand their data environment 
• Conduct risk assessments before high impact processing 
• Honor consumer rights reliably 
• Maintain accurate documentation 

If your organization has not completed a comprehensive privacy review in the past year, this is the appropriate time to do so.
Copenbarger & Copenbarger LLP’s business attorneys include a Certified Information Privacy Professional who can assist with a proactive compliance assessment. 

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