Client Alert
Billee Elliott McAuliffe, Hilary A. Henning
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The Maryland Online Data Privacy Act of 2024 (the “MODPA”) is a comprehensive privacy law which contains strict data minimization requirements for data controllers. The MODPA took effect on October 1, 2025.
As discussed in our prior alert, the MODPA applies to persons or entities conducting business in Maryland or providing products or services that are targeted to Maryland residents and that during the preceding calendar year either (1) controlled or processed the personal data of at least 35,000 consumers (excluding data necessary for completing a payment transaction); or (2) controlled or processed the personal data of at least 10,000 consumers and derived more than 20% of gross revenue from the sale of personal data.
The MODPA applies to institutions of higher education and non-profit organizations, with exceptions for limited instances when assisting law enforcement or first responders. The MODPA exempts protected health information under HIPAA, personal data processed by a consumer reporting agency under the Fair Credit Reporting Act, personal data regulated by the Family Educational Rights and Privacy Act, and employee personal data and business-to-business personal data.
The MODPA’s data collection and processing requirements depart from the consent-based standards found in most state comprehensive privacy laws. Instead of consumers bearing the onus of policing the collection and processing of their data through various opt-ins and opt-outs, the MODPA instead requires data controllers to preemptively limit their own practices, regardless of consumer consent, to those necessary to carry out the business purposes for which the consumer is engaging them. The least restricted type of data under MODPA is “personal data,” or any information that is linked or can be reasonably linked to an identified or identifiable consumer. Even so, controllers may only collect such data to the extent reasonably necessary and proportionate to provide or maintain a specific product or service requested by the consumer. Even more restricted is “sensitive data,” which is defined in the MODPA to mean any of the following data: (i) data revealing racial or ethnic origin, religious beliefs, consumer health data, sex life, sexual orientation, status as transgender or nonbinary, national origin, or citizenship or immigration status; (ii) genetic or biometric data; (iii) personal data of a consumer that the controller knows or has reason to know is a child (i.e., an individual under thirteen); or (iv) precise geolocation data. The MODPA prohibits controllers from collecting, processing, or sharing sensitive data of a consumer except where strictly necessary to provide or maintain a product or service that the consumer requested. The MODPA also prohibits controllers from selling sensitive data, regardless of the purpose or consumer consent.
Additionally, the MODPA prohibits controllers from processing personal data for targeted advertising and selling personal data if they knew or should have known that a consumer is under the age of 18.
The MODPA contains standard obligations found in the other state comprehensive privacy laws, such as requiring controllers to provide a compliant privacy notice to consumers, enter into contracts with processors that process personal data on their behalf, and conduct and document data protection assessments for certain processing activities. Controllers are also required to respond to consumer requests corresponding to the following rights within 45 days (with a possible 45 day extension when reasonably necessary): (1) the right to access; (2) the right to correct; (3) the right to delete; (4) the right to data portability; (5) the right to obtain categories of third parties to which the controller has disclosed the consumer’s personal data; and (6) the right to opt out of the processing of the consumer’s personal data for targeted advertising, the sale of personal data, or certain types of profiling. The MODPA also grants consumers appeal rights if a controller denies a consumer’s request. For more information, please see our MODPA Quick Reference Guide.
The MODPA, like most other state comprehensive privacy laws, has no private right of action, instead granting the Maryland Attorney General’s Office’s Division of Consumer Protection the exclusive authority to enforce violations. Fees may reach up to $10,000 per violation, or up to $25,000 per violation for repeated violations. Until April 1, 2027, the Attorney General’s Office has the discretion to allow a controller 60 days to cure a violation (if possible) prior to initiating an enforcement action.
For a more detailed overview of the MODPA’s applicability and restrictions, please see our previous publication, “Maryland Enacts Comprehensive Privacy Law and Kids Code,” and our MODPA Quick Reference Guide.
If you would like assistance with, or have any questions about, complying with the MODPA, or other data privacy laws, or need assistance reviewing your data privacy practices, please contact one of our Cybersecurity & Data Privacy attorneys. Check out our U.S. Privacy Laws page for more information.