This bill establishes definitions related to data privacy and outlines liability exemptions for private entities in the event of cybersecurity incidents. Key terms defined in the bill include "cybersecurity event," which refers to unauthorized access or disruption of information systems, and "nonpublic information," which encompasses personal identifiers such as social security numbers and financial account details. The bill also clarifies what constitutes a "private entity" and "publicly available information," ensuring a comprehensive understanding of the terms involved in data privacy matters.

Furthermore, the bill stipulates that private entities will not be held liable in class action lawsuits resulting from cybersecurity events unless it can be proven that the event was caused by willful, wanton, or gross negligence on their part. This provision aims to protect private entities from excessive legal repercussions while encouraging them to maintain robust cybersecurity measures.