Texas Attorney General Ken Paxton issued a 30-day compliance notice to TP-Link, Alibaba, CapCut, and other CCP-affiliated Chinese companies for violating the Texas Data Privacy and Security Act (TDPSA). The companies are accused of failing to disclose consumer data processing activities, allow opt-out of data collection, and enable consumer data deletion as required by Texas law. If the companies do not comply within 30 days, the Attorney General's office will pursue additional legal action.
The named companies must comply with TDPSA requirements within 30 days, including disclosing consumer data processing activities, allowing consumers to opt out of data collection, and enabling consumers to delete their personal data. No monetary penalties or other remedies are imposed unless the companies fail to cure their violations within the 30-day period.
In-house legal teams should review all vendor agreements with technology companies, especially those with CCP affiliations, to ensure compliance with TDPSA requirements. Key clauses to audit include data processing disclosures, consumer opt-out mechanisms, and data deletion rights. Teams should also add provisions for vendor compliance audits, cure periods for privacy breaches, and restrictions on cross-border data transfers to high-risk jurisdictions. Additionally, contracts should include representations that vendors comply with all applicable Texas privacy laws.
Entity
TP-Link, Alibaba, CapCut, and several other CCP-affiliated Chinese companies
Industry
Technology"TP-Link, Alibaba, CapCut, and several other Chinese and Chinese Communist Party (“CCP”) aligned companies"
"Texas Data Privacy and Security Act (“TDPSA”)"
"The law requires companies to disclose whether they process consumer data, allow consumers to opt out of data collection, and enable consumers to delete their personal data entirely."
"given the CCP-affiliated companies thirty days to comply with Texas’s heightened privacy protections."
"Attorney General Ken Paxton"
"If the companies fail to comply with the TDPSA, additional legal action will be taken."
Texas Attorney General Ken Paxton and the U.S. Department of Justice secured a settlement with agricultural data broker Agri Stats, Inc. for facilitating the sharing of competitively sensitive information among meat processors, reducing competition and raising prices for chicken, pork, and turkey. Under the settlement, Agri Stats will implement industry-wide changes to its information distribution practices and make monetary payments to participating states. The settlement aims to restore competition in the agriculture industry and lower grocery prices for consumers.
Texas Attorney General Ken Paxton initiated an investigation into Drone Nerds, LLC over its partnership with CCP-affiliated Anzu Robotics, which markets drones with concealed surveillance capabilities and unauthorized data collection risks. Drone Nerds is accused of deceiving Texas consumers by misrepresenting Anzu’s ties to China and falsely claiming the drones are U.S.-based with secure privacy practices. The investigation is being conducted under the Texas Deceptive Trade Practices Act, with a Civil Investigative Demand issued to gather evidence of consumer deception and privacy violations.
$7.4B
Texas Attorney General Ken Paxton announced the effective date of a $7.4 billion settlement with Purdue Pharma, Inc. and the Sackler family over their role in fueling the opioid crisis. Texas will receive $286.5 million from the settlement, bringing the state’s total opioid recovery funds to over $3 billion. The settlement includes permanent bans on Sackler opioid sales in the U.S., public release of 30 million company documents, and distribution of funds for addiction treatment and prevention over 15 years.
Texas Attorney General Ken Paxton reached an agreement with Samsung Electronics America, Inc. to stop collecting Automated Content Recognition (ACR) data from smart TVs without consumers' express consent. Samsung must update its smart TVs to provide clear and conspicuous disclosures and obtain consent before any data collection, ensuring Texans are informed and in control of their viewing data.
Texas Attorney General Ken Paxton filed a lawsuit against Shein US Services LLC for selling toxic products and exposing consumers' personal data to the Chinese Communist Party. The lawsuit seeks monetary penalties under the Texas Deceptive Trade Practices Act. This action is part of a broader effort to protect Texans from health risks and CCP influence.
Texas Attorney General Ken Paxton filed a lawsuit against PDD Holdings, Inc. and WhaleCo Inc., doing business as Temu, for deceptive marketing and unlawful covert harvesting of Texans’ personal data that was exposed to the Chinese Communist Party. The suit alleges Temu functions as a 'trojan horse' e-commerce app that bypasses security protocols to create a backdoor into users’ private data, which is stored on servers in China. The lawsuit seeks monetary relief under the Texas Deceptive Trade Practices Act, including up to $10,000 per violation and up to $250,000 per violation targeting consumers aged 65 or older.