(a) Nothing in this chapter shall be construed to restrict a controller's or processor's ability to do any of the following: (1) Comply with federal, state, or local laws, rules, or regulations. (2) Comply with a civil, criminal, or regulatory inquiry, investigation, subpoena, or summons by federal, state, local, or other governmental authorities. (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. (4) Investigate, establish, exercise, prepare for, or defend legal claims. (5) Provide a product or service specifically requested by a consumer. (6) Perform under a contract to which a consumer is a party, including fulfilling the terms of a written warranty. (7) Take steps at the request of a consumer prior to entering into a contract. (8) Take immediate steps to protect an interest that is essential for the life or physical safety of the consumer or another individual, and where the processing cannot be manifestly based on another legal basis. (9) 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 activity. (10) Engage in public or peer-reviewed scientific 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 that determines whether the deletion of the information is likely to provide substantial benefits that do not exclusively accrue to the controller, the expected benefits of the research outweigh the privacy risks, and whether the controller has implemented reasonable safeguards to mitigate privacy risks associated with research, including any risks associated with re-identification. (11) Assist another controller, processor, or third party with any of the activities under this subsection. (b) The obligations imposed on controllers or processors under this chapter, other than those imposed by § 12D-109 of this title, do not restrict a controller's or processor's ability to collect consumer data, or use or retain such data, for internal use only, to do any of the following: (1) Conduct internal research to develop, improve or repair products, services or technology. (2) Effectuate a product recall. (3) Identify and repair technical errors that impair existing or intended functionality. (4) Perform internal operations that are reasonably aligned with the expectations of the consumer or reasonably anticipated based on 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. (c) The obligations imposed on controllers or processors under this chapter shall not apply where compliance by the controller or processor with said sections would violate an evidentiary privilege under the laws of this State. Nothing in this chapter 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 the laws of this State as part of a privileged communication. (d) A controller or processor that discloses personal data to a processor or third-party controller in compliance with this chapter shall not be deemed to have violated this chapter if the processor or third-party controller that receives and processes such personal data violates this chapter, provided that: (1) At the time the disclosing controller or processor disclosed such personal data, the disclosing controller or processor did not have actual knowledge that the receiving processor or third-party controller had violated or would violate this chapter; and (2) The disclosing controller or processor was, and remained, in compliance with its obligations as the discloser of such data hereunder. A third-party controller or processor receiving personal data from a controller or processor in compliance with this chapter is likewise not in violation of this chapterfor the independent misconduct of the controller or processor from which such third-party controller or processor receives such personal data. (e) Nothing in this chapter may be construed to do any of the following: (1) Impose any obligation on a controller or processor that adversely affects the rights of any person to freedom of speech or freedom of the press guaranteed in the First Amendment to the United States Constitution or § 5 of Article I of the Delaware Constitution of 1897. (2) Apply to any person's processing of personal data in the course of such person's purely personal or household activities. (f) Personal data processed pursuant to this section may be processed to the extent that such processing is reasonably necessary and proportionate to the purposes listed in this section, and is adequate, relevant, and limited to what is necessary in relation to the specific purposes listed in this section. Personal data collected, used, or retained pursuant to subsection (b) of this section 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. (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 subsection (f) of this section. (h) Processing personal data for the purposes expressly identified in this section shall not solely make a legal entity a controller with respect to such processing.
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