FTC Discussing Enactment of a Comprehensive US Federal Privacy Law

As the coronavirus pandemic continues to wreak havoc across the nation, Christine Wilson, a commissioner at the Federal Trade Commission recently stated that it is imperative that Congress work toward passing a comprehensive federal privacy law that would preempt existing state laws. 

Collection of COVID-19 Data Spurs Federal Privacy Law Talks

As efforts to “flatten the curve” or slow the spread of the virus has increasingly worried privacy experts whom fear that private date collection measures encroach or even erode away an individual’s right to privacy protection. COVID-19’s rapid spread across the nation continues to expose the challenges of federalism and has now revealed how states may respond to crises in very different ways depending on the needs of their constituents, their own supplies and resources, and under the leadership or personality of their respective governors.   

As such, Commissioner Wilson’s call for Congress to move on a federal privacy law bill is especially timely and relevant, particularly as the law would have dictated and governed how the data currently being collected by employers, health officials, and governments would be protected.   

There Is No Current Comprehensive U.S. Federal Privacy Law

As it stands now, there is no encompassing federal law that addresses how the data currently being collected for COVID-19 will be handled after the crisis is over.  Will the sensitive data of civilians be saved?  Will it be deleted?  Will it be properly protected if stored for future use?  These questions would be answered under a federal privacy law.  Notably, Wilson suggests that any federal privacy law passed should eliminate the need for consumer consent.  Wilson suggests the burden be placed on businesses instead, as most consumers may not truly understand how their data is being used, shared, or even sold for profit. 

Using the Internet as an example, Wilson noted that as the Internet is not bound by state borders, privacy should not be either.  Wilson believes that federal oversight would give citizens better notice of their rights and would make e-commerce less confusing for vendors and buyers alike.   

Key Takeaways on Establishment of U.S. Federal Privacy Law

COVID-19’s rapid spread across the globe has reignited calls for federal guidance and law to regulate protection of sensitive and private citizen data.  The FTC suggests that: 

• a new federal privacy law should put the burden on businesses to regulate the protection of data;

• the federal privacy law eliminate the requirement of consumer consent; and

• Congress act quickly in order to be prepared for the next global crisis.

For more insights on data privacy, see our Technology Law Overview and Technology Industry Legal Solutions pages.

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