The Electronic Privacy Information Center (“EPIC”) recently filed a complaint with the Federal Trade Commission (“FTC”) accusing Google of failing to implement adequate privacy and data security safeguards and engaging in unfair and deceptive trade practices related to its “cloud computing” services.
U.K. Internet Publication Rule Upheld; Internet Viewings Constitute Republication
On March 10, 2009, the European Court of Human Rights held that the British Internet publication rule does not violate the right to free expression guaranteed by Article 10 of the European Convention. The case has profound implications for those bringing privacy- or disclosure-related tort claims based on materials available on the Internet – where U.K. law applies.
Will Congress Enact Data Security Breach Provisions This Year – ? Guess What, It Already Has
By Jeffrey D. Neuburger and Sara Krauss
Congress has been dithering over the adoption of a federal data security breach notice law for the last several years without coming to an agreement on a national standard for reporting breaches in the security of personal and financial data, but on February 17, data breach notice provisions applicable to health information were signed into law as part of the HITECH Act provisions of the massive economic stimulus legislation, H.R. 1 (111th Cong., 1st Sess. Feb. 17, 2009).
Beginning no later than September 16 of this year, “covered entities” under the Health Insurance Portability and Accountability Act (HIPAA) will be required to give notice of breaches in the security of protected health information, and “business associates” of HIPAA-covered entities will be required to report such breaches to the covered entities. §13402(a) & (b). Currently, California and Arkansas are the only states that require that notification be given in the case of a breach in the security of medical or health insurance information.
2008 Study: Cost of Data Breaches Continues to Rise
A new benchmark study released by the Ponemon Institute indicates that the costs associated with data breaches in the U.S. continue to rise. The Fourth Annual U.S. Cost of Data Breach Study (“Study”) found that the average cost of a data breach has risen to $202 per customer record lost or stolen, up from $138 per customer record lost of stolen in 2005, the first year that the study was conducted. According to the Privacy Rights Clearinghouse, since 2005, more than 250 million customer records containing confidential personal information have been lost or stolen.
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UK Data Protection Authority Publishes Draft Guidelines for Implementing Privacy Policies
The UK Information Commissioner Office ("ICO", the UK data privacy agency) has recently issued an informative code of practice to assist companies collecting personal data so that they can better draft clear privacy notices to data subjects about how the company intends to use personal data, and especially…
FTC Provides Last Clear Chance for Industry to Self-Police in a Target-Rich Environment
On February 12, 2009, the FTC issued its long-anticipated Staff Report on Self-Regulatory Principles for Online Behavioral Advertising. The revised Self-Regulatory Principles are the result of a year of study of the more than 60 comments provided by industry, advocacy organizations, academics, and individual consumers in response to the FTC’s proposed self-regulatory principles issued in late 2007.
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Massachusetts Regulators Postpone Compliance Deadline and Issue Revised ID Theft Regulations
On Thursday, the Massachusetts Office of Consumer Affairs and Business Regulation (“OCABR”) revised and postponed — for the second time — its comprehensive data security regulations. The new deadline for all covered entities to achieve full compliance with the Massachusetts regulations is January 1, 2010.
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