Bipartisan Digital Privacy Bill Unveiled by Lawmakers After Years of Gridlock

Bipartisan Lawmakers Unveil Comprehensive Digital Privacy Legislation

Cantwell’s Support: The Missing Piece

In a significant development, a bipartisan pair of lawmakers has introduced a comprehensive digital privacy bill, two years after a similar proposal failed to gain the backing of Senator Maria Cantwell. Her support, considered a crucial component of the “four corners” of Senate Commerce and House E&C leadership, was notably absent from the earlier bill, ultimately stalling what was then the most substantial bipartisan digital privacy agreement.

Addressing Cantwell’s Concerns: Private Right of Action

Cantwell’s primary objection to the previous bill centered around the obstacles it placed on individuals seeking to sue for alleged violations of their privacy rights. The new discussion draft addresses this concern by eliminating requirements such as notifying the state attorney general and the Federal Trade Commission before filing a lawsuit. Instead, the revised proposal includes a robust private right of action, empowering individual consumers to take legal action against companies covered by the legislation if they believe their rights have been infringed upon.

Opportunity for Correction and Substantial Privacy Harm

While the bill grants individuals the right to sue, it also provides companies with an opportunity to rectify the allegedly violating behavior. Those seeking injunctive relief or damages must first notify the company of the alleged violation, granting a 30-day window for the issue to be resolved. However, the bill makes an exception for claims of “substantial privacy harm,” which encompasses financial losses exceeding $10,000 or specific instances of physical or mental harm. In such cases, prior notice is not required before initiating legal action.

Positive Conversations and Momentum

Although the two Washington state lawmakers did not explicitly name their ranking members, Senator Ted Cruz and Representative Frank Pallone, as co-sponsors of the proposal, an E&C aide indicated that Representative Cathy McMorris Rodgers has engaged in “positive conversations” with both individuals regarding privacy. A Commerce aide further noted that the alignment of priorities between the two committee chairs and the momentum they generated allowed them to “hammer out this deal.”

Separate from TikTok Legislation

It is important to note that this digital privacy bill is entirely separate from the ongoing discussions surrounding TikTok, which has faced scrutiny over security concerns. While there is a distinct bill addressing TikTok, a Commerce aide clarified that there are currently no plans to move the two pieces of legislation in tandem.

“Americans overwhelmingly want these rights,” Rodgers said in a statement, “and they are looking to us, their elected representatives, to act.”