Can I ignore consumer requests for information or deletion in Louisiana? What are the requirements?

Louisiana law requires that consumer requests for information or deletion be honored by businesses and agencies that collect and maintain personal information, with some exceptions. Under 16 LAAC Part III Chapter 7 Section 701, businesses or agencies that experience a breach of security must provide written notice to the Consumer Protection Section of the Attorney General’s Office. The notice must include the names of all Louisiana citizens affected by the breach. Failure to provide timely notice may result in a fine not to exceed $5,000 per violation. Notice to the attorney general is timely if received within 10 days of distribution of notice to Louisiana citizens. Each day notice is not received by the attorney general shall be deemed a separate violation.

However, there are exceptions to the notice and opt-out requirements for disclosure of nonpublic personal financial information for processing and servicing transactions. The requirements for initial notice in §9911.A.2, the opt-out in §§9917 and 9923, and service providers and joint marketing in §9929 do not apply if the licensee discloses nonpublic personal financial information as necessary to effect, administer or enforce a transaction that a consumer requests or authorizes, or in connection with servicing or processing an insurance product or service that a consumer requests or authorizes, maintaining or servicing the consumer’s account with a licensee, or with another entity as part of a private label credit card program or other extension of credit on behalf of such entity, a proposed or actual securitization, secondary market sale (including sales of servicing rights) or similar transaction related to a transaction of the consumer, or reinsurance or stop loss or excess loss insurance.

Necessary to Effect, Administer or Enforce a Transaction―that the disclosure is required, or is one of the lawful or appropriate methods, to enforce the licensee’s rights or the rights of other persons engaged in carrying out the financial transaction or providing the product or service, or required, or is a usual, appropriate or acceptable method to carry out the transaction or the product or service business of which the transaction is a part, and record, service or maintain the consumer’s account in the ordinary course of providing the insurance product or service, to administer or service benefits or claims relating to the transaction or the product or service business of which it is a part, to provide a confirmation, statement or other record of the transaction, or information on the status or value of the insurance product or service to the consumer or the consumer’s agent or broker, to accrue or recognize incentives or bonuses associated with the transaction that are provided by a licensee or any other party, to underwrite insurance at the consumer’s request or for any of the following purposes as they relate to a consumer’s insurance: account administration, reporting, investigating or preventing fraud or material misrepresentation, processing premium payments, processing insurance claims, administering insurance benefits (including utilization review activities), participating in research projects or as otherwise required or specifically permitted by federal or state law, or in connection with authorization, settlement, billing, processing, clearing, transferring, reconciling or collection of amounts charged, debited or otherwise paid using a debit, credit or other payment card, check or account number, or by other payment means, the transfer of receivables, accounts or interests therein, or the audit of debit, credit or other payment information.

In conclusion, businesses and agencies must generally honor consumer requests for information or deletion in Louisiana, with some exceptions. Failure to comply with these requirements may result in penalties and legal action. However, there are exceptions to the notice and opt-out requirements for disclosure of nonpublic personal financial information for processing and servicing transactions.

Jurisdiction

Louisiana

• Privacy