Legislation was introduced into Congress this week that would establish a national data privacy law. The bill would require businesses to disclose to consumers any breaches that result in the exposure of personal information.
The legislation is a reaction to the massive security breaches that have occurred over the last year. In the most notable breach, over 40 million credit card numbers were exposed in a security breach involving CardSystems, an online processor. LexisNexis, Bank of America and other corporate entities have also suffered breaches exposing the personal information of millions of individuals.
Under the new legislation, businesses exposing the personal information of more than 1,000 individuals would be required to notify the individuals. Failure to comply with the law would result in penalties of up to $11 million per incident. Interestingly, the legislation would bar businesses and schools from putting Social Security numbers on any form of identification.
Upon receiving notice, consumers would be allowed to put a notice on their credit reports, which would prevent any company from providing new credit under their name. This would effectively stop thieves from opening new credit accounts with the stolen information.
Will It Pass?
The new legislation has a very good chance of becoming federal law. Sponsored by two Republicans and two Democrats, the bill appears to have bipartisan support. Avoiding the vicious partisan politics on Capital Hill is half the battle for any legislation.
Corporate America also appears to be getting behind the bill. Although this might seem surprising at first, there is a good reason. States including California, Washington and Georgia have already enacted similar laws, but each requires different actions. A federal law, however, will trump all of the state laws and create a uniform requirement for businesses. From a practical standpoint, Corporate America would prefer one standard instead of many.
The new bipartisan legislation is a welcome step in the effort to fight identity theft. Many more steps, however, will be required. You should continue to closely review your credit card statements and credit reports for any unauthorized charges.
Richard Chapo is the lead attorney for the law firm http://www.sandiegobusinesslawfirm.com - a firm providing legal advice to California businesses. Visit http://www.sandiegobusinesslawfirm.com to read more business law articles.
no-contract cleaning service Mundelein ..It never fails to amaze me. HM Customs and Excise... Read More
Many have lost faith in the government and are completely... Read More
UNAUTHORIZED HACKINGThe term "computer hacking" traditionally describes the penetration into... Read More
I propose a special Projection Device code-named: "TIPED". This system... Read More
China maybe stopping some of the SPAM coming into the... Read More
The official working week is being reduced to 35 hours... Read More
I'm getting a little tired of being lectured by that... Read More
The United States has never done a full study on... Read More
In 1966, Dr. Carroll Quigley, a professor of history at... Read More
Many Americans feel betrayed by their government, our government. I... Read More
This is no time for the Black community to sue... Read More
The debate to raise minimum wage in California is totally... Read More
Down The Bush and BlairBy now everyone, except us, is... Read More
"When you are right you cannot be too radical; when... Read More
Many times our government regulatory over embellish problems in the... Read More
The recent scathing remarks by High Court Judge Richard Mawrey... Read More
Recently scientists have been watching the exponential growth of marine... Read More
Even the most devout proponents of free marketry and hidden... Read More
The CBR taxes the Pakistani source income of nonresident individuals... Read More
As concerns grow over the threat of bioterrorism and weapons... Read More
Do you really want to get ahead in your life?... Read More
Alexander Hamilton ? Policy Separated from Politics:I am related to... Read More
Kudos goes out to the George Walker Bush's Administration and... Read More
The expertise and advancement of the evolution of man and... Read More
"Like humans void of soul or mind, they jeered and... Read More
maid service near Glenview ..One third of all fertilized eggs spontaneously abort and are... Read More
Yes, Bush is two-faced. The two sides of the faces... Read More
As you can see from some of our previous articles,... Read More
You, the reader, should be aware of my affluence of... Read More
Blessed with Chinese GDP growth rates (7-8% annually in each... Read More
The UnbornWith all this cloning in the news one can't... Read More
Last year a Maryland State Legislator whom I presume never... Read More
Heaven, Hell, or some sort of Purgatory.I cannot seem to... Read More
We learned some lessons in these last few wars. For... Read More
Often we see protests at the sites of global leader... Read More
It is important as populations expand to work on the... Read More
Britain has a proud tradition of valiant armed forces and... Read More
The Randolphs:Peyton Randolph was the first President of the United... Read More
The Jihad against the Western World will continue. It will... Read More
As we reel from the news of the recent bombings... Read More
The idea is to have all the important items with... Read More
Rule of Thumb for exporting technology. The American People need... Read More
Most politicians are completely out to lunch and totally Machiavellian... Read More
I always have to remember to take a deep breath... Read More
Farmers will eventually be facing federal regulations involving air emissions... Read More
We are destroying our freedoms and slowing innovation, due to... Read More
The shouting is over and directions for the next four... Read More
With new environmental technologies and modern efficiency methods in mining... Read More
We recently saw another ferry accident, this one in NY... Read More
The prosecutors in the Martha Stewart Case used testimony from... Read More
Political |