Tag: personal data

U.S. House of Representatives Passes Bill to Ban TikTok Unless Divested from ByteDance

Yesterday, with broad bipartisan support, the U.S. House of Representatives voted overwhelmingly (352-65) to support the Protecting Americans from Foreign Adversary Controlled Applications Act, designed to begin the process of banning TikTok’s use in the United States. This is music to my ears. See a previous blog post on this subject.

The Act would penalize app stores and web hosting services that host TikTok while it is owned by Chinese-based ByteDance. However, if the app is divested from ByteDance, the Act will allow use of TikTok in the U.S.

National security experts have warned legislators and the public about downloading and using TikTok as a national security threat. This threat manifests because the owner of ByteDance is required by Chinese law to share users’ data with the Chinese Communist government. When downloading the app, TikTok obtains access to users’ microphones, cameras, and location services, which is essentially spyware on over 170 million Americans’ every move, (dance or not).

Lawmakers are concerned about the detailed sharing of Americans’ data with one of its top adversaries and the ability of TikTok’s algorithms to influence and launch disinformation campaigns against the American people. The Act will make its way through the Senate, and if passed, President Biden has indicated that he will sign it. This is a big win for privacy and national security.

Copyright © 2024 Robinson & Cole LLP. All rights reserved.
by: Linn F. Freedman of Robinson & Cole LLP

For more news on Social Media Legislation, visit the NLR Communications, Media & Internet section.

Montana Passes 9th Comprehensive Consumer Privacy Law in the U.S.

On May 19, 2023, Montana’s Governor signed Senate Bill 384, the Consumer Data Privacy Act. Montana joins California, Colorado, Connecticut, Indiana, Iowa, Tennessee, Utah, and Virginia in enacting a comprehensive consumer privacy law. The law is scheduled to take effect on October 1, 2024.

When does the law apply?

The law applies to a person who conducts business in the state of Montana and:

  • Controls or processes the personal data of not less than 50,000 consumers (defined as Montana residents), excluding data controlled or processed solely to complete a payment transaction.
  • Controls and processes the personal data of not less than 25,000 consumers and derive more than 25% of gross revenue from the sale of personal data.

Hereafter these covered persons are referred to as controllers.

The following entities are exempt from coverage under the law:

  • Body, authority, board, bureau, commission, district, or agency of this state or any political subdivision of this state;
  • Nonprofit organization;
  • Institution of higher education;
  • National securities association that is registered under 15 U.S.C. 78o-3 of the federal Securities Exchange Act of 1934;
  • A financial institution or an affiliate of a financial institution governed by Title V of the Gramm- Leach-Bliley Act;
  • Covered entity or business associate as defined in the privacy regulations of the federal Health Insurance Portability and Accountability Act (HIPAA);

Who is protected by the law?

Under the law, a protected consumer is defined as an individual who resides in the state of Montana.

However, the term consumer does not include an individual acting in a commercial or employment context or as an employee, owner, director, officer, or contractor of a company partnership, sole proprietorship, nonprofit, or government agency whose communications or transactions with the controller occur solely within the context of that individual’s role with the company, partnership, sole proprietorship, nonprofit, or government agency.

What data is protected by the law?

The statute protects personal data defined as information that is linked or reasonably linkable to an identified or identifiable individual.

There are several exemptions to protected personal data, including for data protected under HIPAA and other federal statutes.

What are the rights of consumers?

Under the new law, consumers have the right to:

  • Confirm whether a controller is processing the consumer’s personal data
  • Access Personal Data processed by a controller
  • Delete personal data
  • Obtain a copy of personal data previously provided to a controller.
  • Opt-out of the processing of the consumer’s personal data for the purpose of targeted advertising, sales of personal data, and profiling in furtherance of solely automated decisions that produce legal or similarly significant effects.

What obligations do businesses have?

The controller shall comply with requests by a consumer set forth in the statute without undue delay but no later than 45 days after receipt of the request.

If a controller declines to act regarding a consumer’s request, the business shall inform the consumer without undue delay, but no later than 45 days after receipt of the request, of the reason for declining.

The controller shall also conduct and document a data protection assessment for each of their processing activities that present a heightened risk of harm to a consumer.

How is the law enforced?

Under the statute, the state attorney general has exclusive authority to enforce violations of the statute. There is no private right of action under Montana’s statute.

Jackson Lewis P.C. © 2023

For more Privacy Legal News, click here to visit the National Law Review.

California Law Prohibits Cooperation with Out-of-State Entities Regarding Lawful Abortion

In response to Dobbs v. Jackson Women’s Health Organization, California Governor Gavin Newsom recently signed AB 1242 into law, which “prohibits law enforcement and California corporations from cooperating with out-of-state entities regarding a lawful abortion in California.”

In particular, AB 1242 prohibits California companies that provide electronic communication services from complying with out-of-state requests from law enforcement regarding an investigation into, or enforcement of, laws restricting abortion.

Sponsored by California Assembly member Rebecca Bauer-Kahan and California Attorney General Rob Bonta, AB 1242:

takes an innovative legal approach to protect user data. The bill prohibits California law enforcement agencies from assisting or cooperating with the investigation or enforcement of a violation related to abortion that is lawful in California. This law thereby blocks out-of-state law enforcement officers from executing search warrants on California corporations in furtherance of enforcing or investigating an anti-abortion crime. For example, if another state wants to track the movement of a woman traveling to California seeking reproductive health care, the state would be blocked from accessing cell phone site tower location data of the woman by serving a warrant to the tech company in California. In addition, if another state wants Google search history from a particular IP address, it could not serve an out-of-state search warrant at Google headquarters in CA without an attestation that the evidence is not related to investigation into abortion services. Although the first state to enact such a law, as California often is when it comes to privacy rights, we anticipate that other states will follow suit and that these laws will be hotly contested in litigation.

Article By Linn F. Freedman of Robinson & Cole LLP

For more data privacy and cybersecurity legal news, click here to visit the National Law Review.

Copyright © 2022 Robinson & Cole LLP. All rights reserved.

Thailand’s Personal Data Protection Act Enters into Force

On June 1, 2022, Thailand’s Personal Data Protection Act (“PDPA”) entered into force after three years of delays. The PDPA, originally enacted in May 2019, provides for a one-year grace period, with the main operative provisions of the law originally set to come into force in 2020. Due to the COVID-19 pandemic, however, the Thai government issued royal decrees to extend the compliance deadline to June 1, 2022. 

The PDPA mirrors the EU General Data Protection Regulation (“GDPR”) in many respects. Specifically, it requires data controllers and processors to have a valid legal basis for processing personal data (i.e., data that can identify living natural persons directly or indirectly). If such personal data is sensitive personal data (such as health data, biometric data, race, religion, sexual preference and criminal record), data controllers and processors must ensure that data subjects give explicit consent for any collection, use or disclosure of such data. Exemptions are granted for public interest, contractual obligations, vital interest or compliance with the law.

The PDPA applies both to entities in Thailand and abroad that process personal data for the provision of products or services in Thailand. Like the GDPR, data subjects are guaranteed rights, including the right to be informed, access, rectify and update data; restrict and object to processing; and the right to data erasure and portability. Breaches may result in fines between THB500,000 (U.S.$14,432) and THB5 million, plus punitive compensation. Certain breaches involving sensitive personal data and unlawful disclosure also carry criminal penalties including imprisonment of up to one year.

Article By Hunton Andrews Kurth’s Privacy and Cybersecurity of Hunton Andrews Kurth

For more communications, media & internet news, click here to visit the National Law Review.

Copyright © 2022, Hunton Andrews Kurth LLP. All Rights Reserved.

6 Months Until Brazil’s LGPD Takes Effect – Are You Ready?

In August 2018, Brazil took a significant step by passing comprehensive data protection legislation: the General Data Protection Law (Lei Geral de Proteção de Dados Pessoais – Law No. 13,709/2018, as amended) (LGPD). The substantive part of the legislation takes effect August 16, 2020, leaving fewer than six short months for companies to prepare.

While the LGPD is similar to the EU’s General Data Protection Regulation (GDPR) in many respects, there are key differences that companies must consider when building their compliance program, to be in line with the LGPD.

Application

The LGPD takes a broad, multi-sectoral approach, applying to both public and private organizations and businesses operating online and offline. The LGPD applies to any legal entity, regardless of their location in the world, that:

  • processes personal data in Brazil;
  • processes personal data that was collected in Brazil; or
  • processes personal data to offer or provide goods or services in Brazil.

Thus, like the GDPR, the LGPD has an extraterritorial impact. A business collecting or processing personal data need not be headquartered, or even have a physical presence, in Brazil for the LGPD to apply.

Enforcement and Penalties

After many debates and delays, the Brazilian Congress approved the creation of the National Data Protection Authority (ANPD), an entity linked to the executive branch of the Brazilian government, which will be tasked with LGPD enforcement and issuing guidance.

Violations of the LGPD may result in fines and other sanctions; however, the fine structure is more lenient than the GDPR’s. Under the LGPD, fines may be levied up to 2% of the Brazil-sourced income of the organization (which is considered any legal entity, its group or conglomerate), net of taxes, for the preceding fiscal year, limited to R$ 50,000,000.00 (app. $11 million), per infraction. There is also the possibility of a daily fine to compel the entity to cease violations. The LGPD assigns to ANPD the authority to apply sanctions and determine how the fines shall be calculated.

Legal Basis for Processing

Similar to the GDPR, an organization must have a valid basis for processing personal data. Personal data can only be processed if it meets one of the 10 requirements below:

  • with an individual’s consent;
  • when necessary to fulfill the legitimate interests of the organization or a third party, except when the individual’s fundamental rights and liberties outweigh the organization’s interest;
  • based on a contract with the individual;
  • to comply with a legal or regulatory obligation;
  • public administration and for judicial purposes;
  • for studies by research entities;
  • for the protection of life or physical safety of the individual or a third party;
  • by health professionals or by health entities for health care purposes; or
  • to protect an individual’s credit.

Sensitive personal information (race, ethnicity, health data, etc.) and children’s information may only be processed with the individual or a parent or legal guardian’s consent, as applicable, or as required by law or public administration.

Individual Rights

Brazilian residents have a number of rights over their personal data. Many of these rights are similar to those found in the GDPR, but the LGPD also introduces additional rights not included in the GDPR.

Established privacy rights, materially included in the GDPR

  • access to personal data
  • deletion of personal data processed with the consent of the individual
  • correction of incomplete, inaccurate, or out-of-date personal data
  • anonymization, blocking, or deletion of unnecessary or excessive data or personal data not processed in compliance with the LGPD
  • portability of personal data to another service or product provider
  • information about the possibility of denying consent and revoking consent

Additional rights provided by the LGPD

  • access to information about entities with whom the organization has shared the individual’s personal data
  • access to information on whether or not the organization holds particular data

Transferring Data Out of Brazil

Organizations may transfer personal data to other countries that provide an adequate level of data protection, although Brazil has not yet identified which countries it considers as providing an adequate level of protection. For all other transfers, organizations may not transfer personal data collected in Brazil out of the country unless the organization has a valid legal method for such transfers. There are two main ways organizations can transfer data internationally:

  • with the specific and express consent of the individual, which must be prior and separated from the other purposes and requisitions of consent;
  • through contractual instruments such as binding corporate rules and standard clauses, committing the organization to comply with the LGPD principles, individual rights, and the Brazilian data protection regime.

Governance & Oversight

In addition to the requirements above, under the LGPD, organizations must, in most circumstances:

  • Appoint an officer to “be in charge of the processing of data,” who, together with the organization, shall be jointly liable for remedying any damage, whether individually or collectively, in violation of the personal data protection legislation, caused by them (there is little specificity around the role or responsibility of the data processing officer; however, it is not mandatory for the officer to be located in Brazil);
  • Maintain a record of their processing activities;
  • Perform data protection impact assessments;
  • Design their products and services with privacy as a default;
  • Adopt security, technical, and administrative measures able to protect personal data from unauthorized access, as well as accidental or unlawful destruction, loss, alteration, communication (likely similar standards to those established under the Brazilian Internet Act); and
  • Notify government authorities and individuals in the case of a data breach.

Meeting these requirements will likely be a significant administrative burden for organizations, especially as they work to meet varying documentation and governance requirements between the GDPR, CCPA, and LGPD. This effort is made more complicated by the lack of clarity in some of the LGPD administrative requirements. For example, while the LGPD requires a record of processing, it does not delineate what should be included in the document, and while it establishes that privacy impact assessments should be carried out, it does not indicate when such assessments are required.

Final Thoughts

Given August 2020 is right around the corner, global organizations processing personal data from or in Brazil should consider immediately moving forward with a review of their current data protection program to identify and address any LPGD compliance gaps that exist. As privacy law changes and global compliance requirements are top of mind for many clients operating global operations, we will be sure to provide timely informational updates on the LGPD, and any ANPD guidance issued.

Greenberg Traurig is not licensed to practice law in Brazil and does not advise on Brazilian law. Specific LGPD questions and Brazilian legal compliance issues will be referred to lawyers licensed to practice law in Brazil.

©2020 Greenberg Traurig, LLP. All rights reserved.

For more privacy laws around the globe, see the National Law Review Communications, Media & Internet law section.

Uber Hack – Don’t Tell Anyone!

It’s been revealed that Uber’s database has been hacked, with the personal information of more than 57 million users and drivers worldwide compromised. That’s a big number, but we are becoming increasingly numb to this kind of revelation, with all the cyber-leaks now making the news. What was the more astounding aspect of this particular incident is the fact it has taken Uber over a year to reveal the security breach – with the attack taking place in October 2016.

Uber says that the hackers were able to download files containing information including the names and driver’s licence numbers of 600,000 drivers in the US, as well as the names, email addresses and phone numbers of millions of users worldwide.

Although Uber has now taken steps to notify the drivers affected by the hack, it’s reported that at the time of the breach, the company paid the hackers USD100,000 to delete the stolen data, and not reveal the breach.

In a statement, Uber CEO Dara Khosrowshani admitted that he became aware of the “inappropriate access [of] user data stored on a third-party cloud-based service” late last year, and that steps were taken to secure the data, and shut down further unauthorised access. However, Mr Khosrowshani noted he has no excuse as to why the massive breach is only being made public now.

For their roles in the cover-up, Uber chief security officer Joe Sullivan and his deputy have been ousted, while Uber says it’s taking “several actions”, including consulting the former general counsel of the US’ National Security Agency to prevent a future data breach.

This post was written by Cameron Abbott & Allison Wallace of K & L Gates.,Copyright 2017
For more legal analysis, go to The National Law Review

IP Addresses Constitute Personal Data According to Court of Justice of European Union

IP AddressesIn a decision dated 19 October 2016, the Court of Justice of the European Union (CJEU) has provided much needed clarification on a long-standing issue in EU data protection law.

A German politician brought an action concerning websites operated by the Federal Republic of Germany that stored personal data, including IP addresses, on logfiles for two weeks.  The question before the CJEU was – are IP addresses personal data?  According to Article 2(a) of EU Directive 95/46 “personal data” is any information relating to an identified or identifiable natural person. An identifiable person is one who can be identified, directly or indirectly from the data.

The CJEU ruled that dynamic IP addresses constitute personal data for an online media service provider (here the Federal Republic of Germany) that makes a website accessible.

A dynamic IP address means that the computer’s IP address is newly assigned each time the website is visited.  Unlike static IP addresses, it is not possible for dynamic IP addresses, using only files which are accessible to the public, to create an identifiable link between the user’s computer and the physical connection to the internet provider’s network . Hence, the data included in a dynamic IP address does not enable the online media service provider to identify the user.

However, according to the CJEU, a dynamic IP address will be personal data if the additional data necessary to identify the user of a website is stored by the user’s internet service provider. The website provider only needs to have the legal means which enables him to identify the user. Legal means are, for example cyber attacks and does not have to be applicable for the specific case.

This decision has significant practical implications for all website providers, because the storing of user information by internet service providers falls under data protection laws. Ultimately, the website provider needs the consent of the user to store the dynamic IP address. This will also apply after the General Data Protection Regulation (GDPR) comes into force in May 2018, because Article 2 of Directive 95/46 is incorporated in almost the same words in Article 4 (1) of the GDPR.

ARTICLE BY Annette Demmel & Christina Schattauer of Squire Patton Boggs (US) LLP

© Copyright 2016 Squire Patton Boggs (US) LLP