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Thursday, June 18, 2009

Caution Urged In Legislating Web Privacy

Trade groups representing high-tech, manufacturing, retail, and financial services firms wrote to House Energy and Commerce Committee leaders Wednesday urging them to "use extreme caution" when crafting Internet privacy legislation and refrain from imposing duplicative, inconsistent and ineffective regulations that could hurt consumers and businesses. The letter, sent to leaders of the House Energy and Commerce Communications and Consumer Protection subcommittees on the eve of a high-profile hearing on the topic, acknowledges there are "important issues around online privacy that Congress is looking into, issues that industry takes seriously as well." But during deliberations, lawmakers should take into account the range of industries, companies, and jobs that could be impacted by potential legislative or regulatory action, they said.

"The vast majority of companies of all shapes and sizes are online in some capacity and use the Internet to communicate with consumers, employees, existing customers, potential customers, and business partners around the world," added the letter signed by the U.S. Chamber of Commerce, Computer & Communications Industry Association, Financial Services Roundtable, National Association of Manufacturers, National Retail Federation and others. The FTC also weighed in, sending lawmakers its recent staff report on behavioral advertising. An accompanying letter states the Commission "has actively encouraged industry to embrace new measures relating to behavioral advertising to inform and empower consumers and is monitoring developments" so privacy is protected.

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