White House Proposes Online Privacy Bill of Rights

Individual privacy rights would receive some protection online under a proposed “Consumer Privacy Bill of Rights” unveiled by the White House.

The Bill of Rights would be enforced by the Federal Trade Commission and individual states attorneys generals.  It would establish “safe harbors” for businesses that comply with guidelines established as part of an industry initiative.

The White House issued a 62-page “Framework for Protecting Privacy and Promoting Innovation in the Global Digital Economy,” which incorporates the Consumer Privacy Bill of Rights.  The policy paper noted that privacy protections are critical to maintaining consumer trust in networked technologies.

“When consumers provide information about themselves—whether in the context of an online social network that is open to public view or a transaction involving sensitive personal information—they reasonably expect companies to use this information in ways that are consistent with the surrounding contest.  Many companies live up to these expectations, but some do not.  Neither consumers nor companies have a clear set of ground rules to apply in the commercial arena.  As a result, it is difficult today for consumers to assess whether a company’s privacy policies warrant their trust,” the framework stated.

The Consumer Privacy Bill of Rights provides for the following:

Individual control.  Consumers have a right to exercise control over what personal data companies collect from them and how they use it.

Transparency.  Consumers have a right to easily understandable and accessible information about privacy and security practices.

Respect for context.  Consumers have a right to expect that companies will collect, use, and disclose personal data in ways that are consistent with the context in which consumers provide the data.

Security.  Consumers have a right to secure and responsible handling of personal data.

Access and accuracy.  Consumers have a right to access and correct personal data in usable formats, in a manner that is appropriate to the sensitivity of the data and the risk of adverse consequences to consumers if the data is inaccurate.

Focused collection.  Consumers have a right to reasonable limits on the personal data that companies collect and retain.

Accountability.  Consumers have a right to have personal data handled by companies with appropriate measures in place to assure they adhere to the Consumer Privacy Bill of Rights.

The White House said it will propose legislation to implement the Consumer Privacy Bill of Rights.  It said the Department of Commerce will convene stakeholder meetings to seek consensus on an appropriate, legally enforceable code of conduct.