Emerald Business Systems Blog

Federal data-protection law inches forward

Posted in PCI by ebs4pos on November 11, 2009

A sweeping new bill that would implement a national standard for data protection and breach notification got a boost of support today from the Senate Judiciary Committee.

The committee approved the Personal Data Privacy and Security Act of 2009 (S.1490) by a vote of 15-5. The bill is now headed to the full Senate for consideration.

If it becomes law, the bill, which was introduced by Sen. Patrick Leahy (D-Vt.), would require companies and government agencies to follow specific rules for protecting sensitive and personally identifiable data.

Under the proposed law, all private and government entities handling sensitive data would be required to implement specific risk assessment and vulnerability testing measures. They also would be required to deploy measures for controlling access to sensitive data, detecting and logging unauthorized accesses to the data, and protecting data while it is in transit and at rest.

The bill would introduce a federal breach-notification standard under which companies would be required to notify not just individuals affected by a data breach, but also, in some cases, credit reporting agencies and the U.S. Secret Service. It would establish a new Office of Federal Identity Protection within the Federal Trade Commission and stiffen penalties for identity theft and related fraud.

via Federal data-protection law inches forward.


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