AB466,,118 3. The controller does not sell the personal data to any 3rd party or otherwise voluntarily disclose the personal data to any 3rd party other than a processor, except as otherwise permitted in this subsection.

AB466,,119 (d) The consumer rights contained in subs. (2) (a) 1. to 4. and (3) shall not apply to pseudonymous data in cases where the controller is able to demonstrate any information necessary to identify the consumer is kept separately and is subject to effective technical and organizational controls that prevent the controller from accessing such information.

AB466,,120 (e) A controller that discloses pseudonymous data or deidentified data shall exercise reasonable oversight to monitor compliance with any contractual commitments to which the pseudonymous data or deidentified data is subject and shall take appropriate steps to address any breaches of those contractual commitments.

AB466,,121 (7) Limitations. (a) Nothing in this section shall be construed to restrict a controller’s or processor’s ability to do any of the following:

AB466,,122 1. Comply with federal, state, or local laws, rules, or regulations.

AB466,,123 2. Comply with a civil, criminal, or regulatory inquiry, investigation, subpoena, or summons by federal, state, local, or other governmental authorities.

AB466,,124 3. Cooperate with law enforcement agencies concerning conduct or activity that the controller or processor reasonably and in good faith believes may violate federal, state, or local laws, rules, or regulations.

AB466,,125 4. Investigate, establish, exercise, prepare for, or defend legal claims.

AB466,,126 5. Provide a product or service specifically requested by a consumer or the parent or guardian of a child, perform a contract to which the consumer is a party, including fulfilling the terms of a written warranty, or take steps at the request of the consumer prior to entering into a contract.

AB466,,127 6. Take immediate steps to protect an interest that is essential for the life or physical safety of the consumer or of another individual, and where the processing cannot be manifestly based on another legal basis.

AB466,,128 7. Prevent, detect, protect against, or respond to security incidents, identity theft, fraud, harassment, malicious or deceptive activities, or any illegal activity; preserve the integrity or security of systems; or investigate, report, or prosecute those responsible for any such action.

AB466,,129 8. Engage in public or peer-reviewed scientific or statistical research in the public interest that adheres to all other applicable ethics and privacy laws and is approved, monitored, and governed by an institutional review board, or similar independent oversight entities that determine all of the following:

AB466,,130 a. If the deletion of the information is likely to provide substantial benefits that do not exclusively accrue to the controller.

AB466,,131 b. The expected benefits of the research outweigh the privacy risks.

AB466,,132 c. If the controller has implemented reasonable safeguards to mitigate privacy risks associated with research, including any risks associated with reidentification.

AB466,,133 9. Assist another controller, processor, or 3rd party with any of the obligations under this section.

AB466,,134 (b) The obligations imposed on controllers or processors under this section shall not restrict a controller’s or processor’s ability to collect, use, or retain data to do any of the following:

AB466,,135 1. Conduct internal research to develop, improve, or repair products, services, or technology.

AB466,,136 2. Effectuate a product recall.

AB466,,137 3. Identify and repair technical errors that impair existing or intended functionality.

AB466,,138 4. Perform internal operations that are reasonably aligned with the expectations of the consumer or reasonably anticipated on the basis of the consumer’s existing relationship with the controller or are otherwise compatible with processing data in furtherance of the provision of a product or service specifically requested by a consumer or the performance of a contract to which the consumer is a party.

AB466,,139 (c) The obligations imposed on controllers or processors under this section shall not apply where compliance by the controller or processor with this section would violate an evidentiary privilege under ch. 905. Nothing in this section shall be construed to prevent a controller or processor from providing personal data concerning a consumer to a person covered by an evidentiary privilege under ch. 905 as part of a privileged communication.

AB466,,140 (d) A controller or processor that discloses personal data to a 3rd-party controller or processor, in compliance with the requirements of this section, is not in violation of this section if the 3rd-party controller or processor that receives and processes such personal data is in violation of this section, provided that, at the time of disclosing the personal data, the disclosing controller or processor did not have actual knowledge that the recipient intended to commit a violation. A 3rd-party controller or processor receiving personal data from a controller or processor in compliance with the requirements of this section is likewise not in violation of this section for the transgressions of the controller or processor from which it receives such personal data.

AB466,,141 (e) Nothing in this section shall be construed as an obligation imposed on controllers and processors that adversely affects the rights or freedoms of any persons, such as exercising the right of free speech pursuant to the First Amendment to the U.S. Constitution, or applies to the processing of personal data by a person in the course of a purely personal or household activity.

AB466,,142 (f) Personal data processed by a controller pursuant to this subsection may not be processed for any purpose other than those expressly listed in this subsection unless otherwise allowed by this section. Personal data processed by a controller pursuant to this subsection may be processed to the extent that such processing is both of the following:

AB466,,143 1. Reasonably necessary and proportionate to the purposes listed in this subsection.

AB466,,144 2. Adequate, relevant, and limited to what is necessary in relation to the specific purposes listed in this subsection. Personal data collected, used, or retained pursuant to par. (b) shall, where applicable, take into account the nature and purpose or purposes of such collection, use, or retention. Such data shall be subject to reasonable administrative, technical, and physical measures to protect the confidentiality, integrity, and accessibility of the personal data and to reduce reasonably foreseeable risks of harm to consumers relating to such collection, use, or retention of personal data.

AB466,,145 (g) If a controller processes personal data pursuant to an exemption in this section, the controller bears the burden of demonstrating that such processing qualifies for the exemption and complies with the requirements in par. (f).

AB466,,146 (h) Processing personal data for the purposes expressly identified in par. (a) shall not solely make an entity a controller with respect to such processing.