Subcommittee Chairman Bobby L. Rush Fights for Fights for Consumer Privacy and Protection of Personal Information Introduces the BEST PRACTICES ACT of 2010

WASHINGTON -- Today, U. S. Rep. Bobby L. Rush, chairman of the Subcommittee on Commerce, Trade, and Consumer Protection, introduced The BEST PRACTICES Act of 2010. On Thursday, July 22, 2010, the subcommittee will hold a hearing to consider the BEST PRACTICES Act of 2010, as well as a privacy discussion draft that was released by the Chairman and Ranking Member of the Subcommittee on Communications, Technology, and the Internet, U.S. Rep. Rick Boucher in May.
 
"I am pleased to introduce the Best Practices Act, which speaks to a host of issues affecting consumer privacy that were raised in a  series of  substantive hearings, held jointly with the Subcommittee on Communications, Internet, and Technology. In those hearings, the Subcommittees and invited witnesses delved into the myriad ways that consumer privacy can be violated, their personal and sensitive information exposed, and which sets of remedies and penalties will make consumers whole and deter industry abuses of consumer privacy, without chilling industry incentives to innovate and grow their businesses. I believe we've achieved that delicate balance with the legislation we are introducing today," said Chairman Rush whose subcommittee, along with the Subcommittee on Communications, Technology & the Internet has held five hearings on the subject in this session of Congress.

Added Rep. Boucher, "I applaud Chairman Rush for his work in assembling his bill. My goal in advancing draft privacy legislation with Cliff Stearns has been to draw attention to the important matters of conferring privacy rights on individuals; informing them of the personal information that is collected and shared about them; and giving them greater control over the collection, use and sharing of that information. I am pleased that Chairman Rush's subcommittee, which is the subcommittee of jurisdiction, is continuing the process of examining those privacy rights. It is what I hoped would happen when Mr. Stearns and I circulated a staff discussion draft of a privacy measure, and I look forward to working with Chairman Rush throughout this process."

The BEST PRACTICES Act of 2010, is a consumer privacy bill that establishes a flexible framework of basic rights for consumers while also outlining obligations for companies based on fair information principles.  The bill is technology neutral, covering both online and offline companies that collect, use, and retain information about consumers.

The following is a brief summary of key provisions in the bill: 

• Ensure that consumers have meaningful choices about the collection, use, and disclosure of their personal information. 
• Require companies that collect personal information to disclose their practices with respect to the collection, use, disclosure, merging, and retention of personal information, and explain consumers' options regarding those practices. 
• Require companies to provide disclosures of their practices in concise, meaningful, timely, and easy-to-understand notices, and direct the Federal Trade Commission to establish flexible and reasonable standards and requirements for such notices. 
• Require companies to obtain "opt-in" consent to disclose information to a third party.  In the bill, the term, "third party" would be defined based on consumers' reasonable expectations rather than corporate structure. 
• Establish a "safe harbor" that would exempt companies from the "opt-in" consent requirement, provided those companies participate in a universal opt-out program operated by self-regulatory bodies and monitored by FTC. 
• Require companies to have reasonable procedures to assure the accuracy of the personal information they collect.  The bill would also require the companies to provide consumers with reasonable access to, and the ability to correct or amend, certain information. 
• Require companies to have reasonable procedures to secure information and to retain personal information only as long as is necessary to fulfill a legitimate business or law enforcement need.

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NOTE:  Here’s a link to the pdf version of the bill: