Strengthening Privacy Protections for Consumers’ Online Data (S. 2728)

What is S. 2728?

(Updated June 7, 2020)

This bill would aim to increase privacy protections for users of social media and other online platforms by strengthening consumers’ options for seeking recourse when data breaches occur and ensuring companies comply with privacy policies that protect consumers.

Terms of service agreements would have to be written in plain language and users would have the ability to see what information about them has already been collected and shared. Users would be provided with greater access to and control over their data, and would have the right to opt-out and keep their information private by disabling data tracking and collection.

Online platforms would be required to have a privacy program in place that’d be audited at least once every two years. They would be required to notify users of a data breach within 72 hours of it occurring.

The Federal Trade Commission (FTC) would be empowered to take civil action against violations of privacy protections as unfair and deceptive trade practices (including against common carriers and non-profits). State attorneys general could also take action after notifying the FTC to give federal authorities a chance to intervene as states couldn’t pursue civil actions against a defendant that’s subject to an FTC action.

This requirements of this legislation would take effect 180 days after enactment, and would not apply retroactively.

Argument in favor

This bipartisan bill would ensure stronger protections for consumers’ online data by requiring companies to make privacy disclosures clearer and more transparent and giving consumers power to opt out of data collection. Letting the FTC take the lead on enforcement makes sense.

Argument opposed

This bill imposes too heavy a burden on social media companies and online platforms to disclose privacy policies and allow consumers to opt out of sharing their data. The FTC & states should be able to pursue simultaneous enforcement actions.

Impact

Users of social media and other online platforms; companies providing such services; state attorneys general; and the FTC.

Cost of S. 2728

A CBO cost estimate is unavailable.

Additional Info

In-Depth: Sponsoring Sen. Amy Klobuchar (D-MN) introduced this bill to protect consumers’ online data:

“Every day companies profit off of the data they’re collecting from Americans, yet leave consumers completely in the dark about how their personal information, online behavior, and private messages are being used. Consumers should have the right to control their personal data and that means allowing them to opt out of having their data and that means allowing them to opt out of having their data collected and tracked and alerting them within 72 hours when a privacy violation occurs and their personal information may be compromised. This digital space can’t keep operating like the Wild West at the expense of our privacy.”

Original cosponsor Sen. John Kennedy (R-LA) added:

“I don’t want to hurt Facebook, and I don’t want to regulate them half to death, either. But I have a job to do, and that’s protecting the rights and privacy of our citizens. Our bill gives consumers more control over their private data, requires user agreements to be written in plain English and requires companies to notify users of privacy violations. These are just simple steps that online platforms should have implemented in the first place.”

Media:

• Sponsoring Sen. Amy Klobuchar (D-MN) Press Release
  
• Cosponsoring Sen. John Kennedy (R-LA) Press Release
  
• The Hill
  
• Law360