The proposed bill, H. 3401, aims to enhance technology transparency and consumer rights regarding personal data in South Carolina by adding Chapter 31 to Title 37 of the South Carolina Code of Laws. It defines key terms such as "consumer," "controller," "processor," and "personal data," and establishes regulations that restrict governmental entities from engaging with social media platforms for content moderation, except in specific situations like routine account management or criminal investigations. The bill grants consumers rights to access, correct, delete, and opt out of certain data processing activities, while also mandating that any contracts waiving these rights are void. Additionally, it requires controllers to implement methods for consumers to submit requests about their personal data and to provide clear privacy notices.

The legislation outlines the responsibilities of controllers and processors in handling personal data, including the necessity for data protection assessments for certain activities and the requirement for confidentiality and compliance measures. It emphasizes the importance of consumer consent, particularly for sensitive data, and establishes that violations of these regulations are considered unfair and deceptive trade practices, enforceable by the Attorney General. The bill also clarifies that it does not create a private cause of action and allows the Attorney General's office to collaborate with other enforcement authorities while maintaining confidentiality standards. Overall, the bill seeks to improve consumer privacy rights and accountability for businesses managing personal data in South Carolina.