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Senior United States District Judge William H. Orrick, sitting in the Northern District of California, denied a motion to dismiss last week in an Automated License Plate Recognition (“ALPR”) matter, McGinty v. Reimagined Parking LLC, d/b/a Imperial Parking.[1] Judge Orrick held that the plaintiff plausibly alleged actionable harm based on his “right to know” about the use of ALPR systems in two garages. The order follows Bartholomew v. Parking Concepts, Inc.[2] and the guidance of Mata v. Digital Recognition Network, Inc.,[3] concluding that the California Supreme Court would likely recognize violation of a consumer’s “right to know” as actionable harm under California’s ALPR law if presented with the question.

The decision is significant because it marks the first time a federal judge adopted the state-court trajectory created in Bartholomew and Mata. Bartholomew treated the alleged failure to make required ALPR disclosures in an ALPR Privacy Policy as an actionable injury to a consumer’s right to know under the law. Though Mata did not deal with the failure to present an ALPR Privacy Policy, the decision in Mata did offer further guidance on how courts should analyze asserted ALPR harms.

Continue Reading Federal Court Follows Bartholomew Reasoning in Denying Motion to Dismiss ALPR Lawsuit
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It has been a busy spring for data privacy in the Southeast. On April 17, 2026, Alabama Governor Kay Ivey signed the Alabama Personal Data Protection Act (HB 351). Weeks later, on May 11, 2026, Governor Kemp signed Georgia’s SB 111. There is an important caveat there: although the Senate-passed version of SB 111 carried the title “Georgia Consumer Privacy Protection Act,” the House substituted the bill’s entire text with unrelated amendments to the rural hospital tax credit. The Senate agreed to the substitute on April 2, and the version Kemp ultimately signed has nothing to do with consumer privacy. Legislative tracking services continue to display the original title, which has caused understandable confusion, but Georgia did not enact a comprehensive privacy law this session.

That leaves the Southeast with three states currently operating under a comprehensive privacy statute: Florida (in effect since 2024), Tennessee (in effect since 2025), and Alabama (taking effect in 2027). Georgia remains a state to watch, with sponsors expected to introduce a successor measure when the new General Assembly convenes in 2027. And in keeping with the national trend, each state’s “omnibus” law (or proposed law) takes a slightly different approach with qualifying thresholds and defined terms. This article provides a short summary of what businesses operating in the region need to know and what they should be working on today.

Who Is Covered: Three Enacted Laws and Three Thresholds (and a Note on Georgia)

The biggest difference among the three enacted statutes is the way each defines businesses that must comply.

Florida’s Digital Bill of Rights (FDBR), which took effect on July 1, 2024, has the narrowest scope by a wide margin. The FDBR imposes obligations on controllers with annual global revenue of more than $1 billion that also meet one of three additional criteria: derive 50% or more of annual revenue from selling online ads, operate a consumer smart speaker with an integrated virtual assistant, or operate an app store with at least 250,000 applications. By design, the majority of the FDBR’s controller obligations apply only to the largest tech and platform companies. As a practical matter, most Southern businesses will never need to worry about Florida’s controller obligations, though enforcement has now begun. The Florida AG’s October 2025 action against Roku is a useful reminder that the FDBR is no longer dormant for the companies that do qualify.

Continue Reading Southeastern Privacy Laws Taking Shape: Current and Upcoming Omnibus Laws for Alabama, Georgia, Florida, and Tennessee
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The lesson from the PocketOS database deletion is not that agentic AI is dangerous. It’s about governance and controls.

You have probably seen some version of the headline by now: “AI Agent Deletes Company’s Entire Database in 9 Seconds.” It is a compelling story. But the headline, while technically accurate, obscures the far more important lesson buried in the details.

So what actually happened? PocketOS, a small SaaS company that makes software for car rental businesses, was using a popular AI-powered code editor running on Anthropic’s Claude Opus 4.6 model. The AI agent was tasked with resolving a routine issue in a staging environment. When it hit a credential mismatch, the agent decided on its own initiative to “fix” the problem by deleting a volume on Railway, the company’s cloud hosting provider. The agent found a password in an unrelated file and used it to execute a deletion command. Because of permissions made available to the agent and the way access to the infrastructure was configured, that single command using a password which was valid across all systems wiped both the production database and all associated backups.  

The agent, when asked to explain itself, produced what multiple outlets described as a “confession,” acknowledging it had violated its own safety instructions. The story has gone viral. The framing in most coverage puts the AI squarely at the center of the narrative: the agent “went rogue,” it “confessed,” it acted autonomously and destroyed a business. But the reports are not entirely accurate and usually miss the point.

Continue Reading The AI Didn’t Go Rogue. Guardrails Were Never There.
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Corporations face unprecedented challenges in safeguarding sensitive data and mitigating privacy risks in an era marked by the rapid proliferation of Internet of Things, or IoT, devices.

Recent developments, including federal and state regulators’ heightened focus on privacy enforcement, highlight the importance of proactive risk management, compliance and data governance. As IoT and smart devices continue to hit the marketplace, heightened scrutiny for businesses’ data governance practices follows.

The Federal Trade Commission’s recent technology blog, “Cars & Consumer Data: On Unlawful Collection & Use”[1] underscores the agency’s commitment to enforcing consumer protection laws. Despite their blog’s focus on the car industry, the FTC’s message extends to all businesses, emphasizing its vigilance against illegal — or “unfair and deceptive” — collection, use and disclosure of personal data.

Recent enforcement actions are a stark reminder of the FTC’s proactive stance in safeguarding consumer privacy.

Geolocation data is a prime example of sensitive information subject to enhanced protections under the Federal Trade Commission Act. Much like mobile phones, cars can reveal consumers’ persistent, precise locations, making them susceptible to privacy infringements.

Continue Reading Careful Data Governance Is a Must Amid Enforcement Focus

shutterstock_449129236In his “Data Is a Toxic Asset” blog post, Bruce Schneier argues that data is a toxic asset and that the lesson all the recent data breaches are teaching us is that storing this asset is “dangerous,” because it makes companies vulnerable to hackers, the government, and employee error. Schneier suggests addressing data breaches through stronger regulation at every stage of the data lifecycle and through personal liability of corporate executives. “Data is a toxic asset,” concludes Schneier, “We need to start thinking about it as such, and treat it as we would any other source of toxicity. To do anything else is to risk our security and privacy.”
Continue Reading Is Data Really a “Toxic” Asset?