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If there are any EU users—even free tier users, trial accounts, or website visitors—GDPR likely applies. The regulation covers processing data of EU residents regardless of company location. Many US-only companies adopt GDPR-compliant practices as a baseline because it's good practice and positions them for international expansion.

CCPA applies if any of these thresholds are met: $25M+ annual revenue, buying/selling/sharing personal information of 100,000+ California consumers, or deriving 50%+ of revenue from selling/sharing personal information. CPRA (effective 2023) added new requirements. Even below thresholds, implementing CCPA-compliant practices helps as the company scales.

First, contain and assess the scope. Then determine notification obligations—GDPR requires notification within 72 hours, state laws vary. Document everything. Preserve evidence. Legal requirements differ by regulation and by what data was exposed. Having an incident response plan before a breach occurs makes the process significantly smoother.

A Data Processing Agreement (or Data Processing Addendum) governs how customer data is handled when acting as a 'processor' under GDPR. Required when processing EU personal data on behalf of customers. Enterprise buyers increasingly require DPAs regardless of legal requirements—it has become a standard part of vendor procurement.

SOC 2 is not legally required, but it is effectively required for enterprise sales. Large companies will not use vendors without SOC 2 reports (or equivalents). Type I is a point-in-time assessment; Type II covers a period (usually 6-12 months). Turley Law helps with the policies and procedures needed to pass the audit—a CPA firm handles the actual audit.