Legislative Advances for Data Privacy in June 2025
In the ever-evolving landscape of data privacy and protection, the Insights Association achieved a series of critical victories in June 2025. The organization, which represents professionals in market research, data analytics, and insights industries, was successful in pushing back against several potential legislative hurdles that could have disrupted business operations and consumer privacy protections.
One of the most significant developments occurred when the U.S. Consumer Financial Protection Bureau (CFPB) withdrew a proposed regulation that could have placed restrictive privacy measures on the consumer research industry. If implemented, this regulation would have applied certain provisions of the Fair Credit Reporting Act (FCRA) to the work of many market research professionals, significantly hindering their ability to collect and analyze data in line with their clients’ needs.
The proposal was contentious because it would have created unnecessary regulatory overlap with existing privacy laws, particularly those under the purview of the Federal Trade Commission (FTC) and state-level consumer privacy legislation. The Insights Association argued that such regulations would have placed undue burden on businesses and slowed the flow of important consumer insights. The CFPB’s decision to withdraw the proposal was hailed as a win for industry professionals and their ability to operate without unnecessary federal oversight.
Defeating Restrictive State-Level Legislation
At the state level, the Insights Association also scored a major victory in California, where a bill aimed at further restricting the use of location data was defeated. The proposed legislation sought to establish a more stringent privacy regime for location-based data, which could have had serious implications for businesses that rely on such data for consumer insights and market research.
This defeat was significant because California has often led the way in setting precedents for data privacy laws in the U.S. The California Consumer Privacy Act (CCPA), passed in 2020, has already made it one of the most stringent states when it comes to consumer data protection. The new bill would have added an extra layer of complexity for companies operating in the state, forcing them to adapt to potentially conflicting regulations. With the bill’s defeat, businesses in California can continue to rely on the existing privacy framework, providing much-needed clarity.
New Privacy Laws Take Shape Across the U.S.
As consumer concerns about privacy grow, several states introduced new privacy regulations in June 2025, which will reshape how companies handle and protect personal data. One notable law that is set to take effect soon is the Minnesota Consumer Data Privacy Act, which is scheduled to become enforceable on July 31, 2025. This law will impact both for-profit companies and nonprofit organizations, creating a unified framework for data privacy across Minnesota. The state’s Attorney General will be responsible for enforcement, and businesses will need to ensure compliance to avoid penalties.
In New York, another significant piece of legislation, the New York Child Data Protection Act, took effect on June 20, 2025. This law focuses specifically on protecting the personal data of minors under the age of 18. It restricts the collection, use, and sharing of personal information from children by websites and online services primarily directed to minors. The law is part of a broader movement across the country to ensure that children’s data is protected from exploitation, particularly as more and more children engage with digital platforms at younger ages.
Ongoing Changes and Compliance Guidance
Several states, including Oregon, Nebraska, Virginia, and Alabama, are also taking steps to improve consumer data protection. In Oregon, for instance, the state’s Attorney General released a report detailing the enforcement of its comprehensive privacy law. The report offers valuable insights into what businesses should expect in terms of compliance and provides best practices for handling personal data responsibly.
Another important development is the introduction of new regulations in several states that focus specifically on genetic data privacy. Nebraska, Virginia, and Alabama have introduced laws that restrict how personal genetic information can be collected, stored, and used. As the use of genetic testing services like Ancestry.com and 23andMe becomes more widespread, these laws will play a crucial role in protecting individuals’ sensitive data from misuse.
The Road Ahead for Data Privacy
With a growing patchwork of state and federal privacy laws, businesses face an increasingly complex regulatory environment. Companies must navigate these regulations carefully to ensure compliance and avoid potential fines or legal issues. However, the growing focus on data protection is ultimately a positive development for consumers, ensuring that their personal information remains secure as the digital economy continues to expand.
