In an unusual move, the Federal Trade Commission (FTC) is calling for a new law to allow Americans to review the massive amounts of information about them collected by various internet, smartphone and other technology makers.
The FTC typically prefers to coax companies into adopting voluntary principles, making this request for a new law surprising to many who are familiar with the organization. The FTC’s demand comes barely a month after the Obama administration issued a proposed “consumer Privacy Bill of Rights.”
The FTC’s request comes as part of a 57-page report touching on several topics. In the report, the organization says Congress needs to impose more controls over “data brokers” that profit from the collection and sale of files containing sensitive information that can affect people in a variety of ways. Negative information in the files can affect everything from an individual’s ability to get a job to his or her options for finding a place to live.
“Consumers are often unaware of the existence of these entities, as well as the purposes for which they collect and use data,” the report said.
While we are surprised that the FTC is taking such a strong stance, we are certainly behind its proposal for increased consumer protection. Possession of personal data gives these companies far more power than they should have, especially lacking any oversight.
Sarelson Law Firm – Miami litigation attorneys