The Montana Consumer Data Privacy Act (MTCDPA), signed into law in 2023, reflects the state’s commitment to strong consumer data protections. Similar to frameworks like the Connecticut Data Privacy Act, this law introduces robust rights for residents and new compliance obligations for businesses handling personal information.
With an effective date of October 1, 2024, organizations that process personal data of Montana residents must ensure their practices align with the law.
For broader context on other state laws, review our guides on the Colorado Privacy Act and Minnesota Consumer Data Privacy Act.
What Is the Montana Consumer Data Privacy Act?
The Montana Consumer Data Privacy Act (MTCDPA) establishes comprehensive rules for collecting, processing, and sharing personal data. Its structure draws heavily from privacy models like the Connecticut Consumer Privacy Act and Colorado’s CPA, with key features such as:
- Consumer rights to access, delete, and correct data.
- Requirements for opt-out mechanisms for targeted advertising and profiling.
- Consent obligations for sensitive data categories, including health and biometric information.
The full statutory language is available on the Montana Legislature website.
Applicability: Who Must Comply with the Montana CDPA?
The law applies to entities operating in Montana or targeting its residents if they:
- Control or process personal data for 50,000 or more consumers annually, or
- Handle data for 25,000 consumers and derive 25% or more revenue from selling personal data.
Key exemptions include:
- State and local government entities.
- Data subject to federal laws like HIPAA and GLBA (similar to the Connecticut Data Privacy Law HIPAA exemption).
- Publicly available and de-identified information.
Montana Consumer Data Privacy Act Effective Date
The MTCDPA becomes enforceable on October 1, 2024. Compared to the Connecticut Privacy Law effective date, Montana’s timeline is slightly earlier than states that passed laws in 2024, leaving businesses little room for delay.
Consumer Privacy Rights in Montana: What’s Covered?
Montana residents receive rights similar to those in Connecticut privacy laws and other progressive states, including:
- Right to Access: Consumers can confirm whether a business processes their personal data and request access.
- Right to Correction: Fix inaccuracies in personal data.
- Right to Deletion: Request erasure of personal data collected.
- Right to Portability: Receive data in a structured, machine-readable format.
- Right to Opt-Out: Decline processing for targeted advertising, sale of personal data, or automated profiling that impacts significant decisions.
Businesses must also honor Global Privacy Control signals as part of universal opt-out compliance.
Montana CDPA: Key Business Obligations
Organizations subject to the MTCDPA must adhere to strict operational standards, including:
- Publish Transparent Privacy Notices: Notices should explain what data is collected, why, and how consumers can exercise their rights. See examples from Connecticut’s law guidance for alignment.
- Consent for Sensitive Data: Obtain explicit opt-in consent for sensitive categories such as precise geolocation, racial or ethnic origin, and biometric identifiers.
- Implement Universal Opt-Out Mechanisms (UOOMs): Similar to Colorado and Connecticut, businesses must recognize browser-based opt-out tools like Global Privacy Control (GPC).
- Conduct Data Protection Assessments: Required for high-risk processing activities, including profiling and targeted advertising, following frameworks outlined in NIST Privacy Guidelines.
- Secure Data Storage and Processing: Maintain strong safeguards to avoid violations under Montana’s standards and the Minnesota Data Breach Law for comparative practices.
Comparing Montana CDPA to CCPA and Other State Laws
Montana’s law shares features with the California Consumer Privacy Act (CCPA) and the Connecticut Data Privacy Act, but has key differences:
- Lower Applicability Threshold: 50,000 consumers vs. California’s 100,000.
- Mandatory UOOM Compliance: Aligns with Colorado and Connecticut; stricter than some states.
- Consent-First for Sensitive Data: Explicit opt-in required, consistent with laws in Colorado and Maryland.
For a breakdown of Connecticut’s framework, see this compliance guide.
Enforcement and Penalties
The Montana Attorney General enforces compliance. There is no private right of action, aligning with models like Connecticut and Colorado.
- Cure Period: Businesses receive a 60-day window to fix violations after AG notice.
- Penalties: Up to $7,500 per violation for unresolved non-compliance.
For official enforcement details, check the Montana Department of Justice.
FAQ: Montana Consumer Data Privacy Act
What consumer rights exist under Montana’s law?
Access, deletion, correction, portability, and opt-out rights similar to Connecticut’s privacy act.
How are privacy violations enforced in Montana?
Through the Attorney General, with civil fines and injunctions for repeated violations.
Are there exemptions under the Montana CDPA?
Yes,HIPAA-regulated health data, GLBA-covered financial data, and de-identified information.
What are the enforcement mechanisms and consequences for violating the MTCDPA?
A 60-day cure period, then fines up to $7,500 per violation.
What are data protection assessments, and when are they required under the MTCDPA?
Risk analyses required for high-risk processing such as profiling, targeted advertising, and data sales.
Final Thoughts
The Montana Consumer Data Privacy Act creates one of the most stringent privacy frameworks in the U.S., closely mirroring models like the Connecticut Data Privacy Law. With its October 1, 2024 effective date, businesses should prioritize:
- Updating privacy policies to reflect MTCDPA’s requirements.
- Implementing consent workflows for sensitive data.
- Configuring systems to honor universal opt-out mechanisms.
- Conducting data protection assessments for high-risk processing.
For official resources, review the Montana Legislature’s text and the Montana DOJ Consumer Protection page.
Disclaimer: This article is provided for informational purposes only and does not constitute legal advice. Reading this content does not create an attorney-client relationship. A qualified legal professional should be consulted for guidance specific to your organization’s situation and compliance obligations.
