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Data Matters
Cybersecurity, Privacy, Data Protection, Artificial Intelligence, Internet Law, and Policy
FTC ANPR Explores Wide Ranging Topics for Privacy and Cybersecurity Rulemaking
On Thursday, August 11, the Federal Trade Commission (“FTC”) announced that it is exploring rules to crack down on harmful commercial surveillance and lax data security practices. The FTC’s Advance Notice of Proposed Rulemaking (“ANPR”) solicits public comment on whether it should put into effect new rules and restrictions concerning standards and requirements for information security, the ways in which companies collect and process data in commercial contexts, and whether any practices related to the transfer, sharing, selling, or other monetization of personal information should be categorized as unfair or deceptive. The FTC voted 3-2 to publish the notice, with Chair Khan and Commissioners Slaughter and Bedoya voting in favor and issuing separate statements. Commissioners Phillips and Wilson voted against publication and also issued separate dissenting statements. The following Monday, Commissioner Phillips announced he would be leaving the FTC this fall.
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Colleen Theresa Brown
Washington, D.C.
cbrown@sidley.com
Lauren Kitces
Washington, D.C.
lkitces@sidley.com
Off to the Races: Comment Period for CPRA Proposed Regulations Begins
On Friday, July 8th, the California Privacy Protection Agency (CalPPA) began the formal rulemaking process to adopt proposed regulations to implement California Privacy Rights Act (CPRA) amendments to the California Consumer Privacy Act (CCPA). The initial written comment period will end on August 23, 2022 at 5:00 pm Pacific Time. To cap off the initial comment period, CalPPA will hold a public hearing on August 24th and 25th, during which the agency will accept oral comments and then close the first comment period.
The rulemaking process will take some time. Indeed, it is possible this initial rulemaking round will not be complete until after Thanksgiving. Revisions to the first draft are expected through likely multiple notice and comment rounds, in addition to deliberations by the CalPPA Board in noticed public meetings. Moreover, once the agency process is complete, the Office of Administrative Law (OAL) will review the proposed regulations to ensure they are consistent with the statute.
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Colleen Theresa Brown
Washington, D.C.
cbrown@sidley.com
Sheri Porath Rockwell
Century City
sheri.rockwell@sidley.com
Data Regulation Ramps Up in Europe: The AI, Data, and Data Governance Acts
Join Sidley and OneTrust DataGuidance for Part two of the “Data Regulation Ramps Up in Europe” webinar series, where our panel will discuss legislative proposals, including the Artificial Intelligence Act, the Data Act, and the Data Governance Act (DGA). (more…)
Data Matters Contributors
sidleyprivacyblog@sidley.com
New U.S. Commercial Law Rules for Digital Assets Coming Soon
Changes to uniform U.S. state law commercial law rules for transactions in digital assets, including cryptocurrencies, tokens, electronic notes, and electronic chattel paper, are being finalized this summer and may be adopted in state legislatures as early as this fall. When adopted, these rules will create a uniform playing field with more certainty for transactions in digital assets — but can also hold some surprises for those not prepared. Everyone with an interest in digital assets — exchanges, custodians, holders, issuers, and lenders — should stop now to consider how these new rules will apply to their businesses and whether changes in their practices and contracts are warranted. They should also consider whether the new laws create new opportunities. Learn how the new rules apply to you and your business. (more…)
Teresa Wilton Harmon
Chicago
tharmon@sidley.com
China Data Law Update: Certification Rules and Draft Standard Contract Are Issued
As the year approaches its halfway point, Chinese government accelerates the legislation for cross-border data transfers. (more…)
Lei Li
Beijing, Shanghai
lei.li@sidley.com
Lianying Wang
Beijing
lianying.wang@sidley.com
SEC Encourages Self-Reporting of Recordkeeping Violations Resulting From Employees’ Use of Personal Devices for Business Communications
On December 17, 2021, the U.S. Securities and Exchange Commission (SEC) announced settled charges against a broker-dealer firm for recordkeeping violations arising from its employees’ use of personal devices for business communications. The firm agreed to pay a $125 million penalty and to retain a compliance consultant to conduct a comprehensive review of its policies and procedures relating to the retention of electronic communications found on personal devices. In announcing this enforcement action, the SEC encouraged registrants to self-report similar failures to the SEC. (more…)
Lara C. Thyagarajan
New York
lthyagarajan@sidley.com
Ranah Esmaili
Washington, D.C.
resmaili@sidley.com
Stephen L. Cohen
Washington, D.C., Boston, ...
scohen@sidley.com
Barry W. Rashkover
Corin R. Swift
New York
corin.swift@sidley.com
5 Global Data Protection Trends To Watch In 2022
*This article was first published by Law360 on January 3, 2022.
A recent discussion with Elizabeth Denham and Claudia Berg of the U.K. Information Commissioner’s Office provided ample food for thought on the direction in which data protection regulation both in the U.K. and internationally is headed, including key trends to watch for in data protection.
View article.
William RM Long
London
wlong@sidley.com
Francesca Blythe
London
fblythe@sidley.com
FTC Announces it May Pursue Rulemaking to Combat Discrimination in AI
On December 10, the Federal Trade Commission (FTC) announced it is considering a rulemaking on commercial Artificial Intelligence (AI). The purpose of the rulemaking, according to an advanced notice of proposed rulemaking (ANPRM) titled “Trade Regulation in Commercial Surveillance,” would be “to curb lax security practices, limit privacy abuses, and ensure that algorithmic decision-making does not result in unlawful discrimination.”
While not formally part of the rulemaking process mandated by the Administrative Procedure Act, advanced notices allow agencies to solicit public comment before drafting more specific proposals. The FTC has not yet issued privacy or artificial intelligence rules, though it has indicated that such rulemaking is on the horizon. The December 10 ANPRM is another signal that the FTC is gearing up to develop substantive privacy guidelines. (more…)
Alexandra T. Mushka
Washington, D.C.
amushka@sidley.com
Clayton G. Northouse
Lauren Kitces
Washington, D.C.
lkitces@sidley.com
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