Lege Trend. 22 Groups of Banks & Retailers Join Forces. Wonder Twin Powers Urge 4 Point Data Security Bill.

The 4 Issues the group wants covered by federal data breach legislation:

• A flexible, scalable standard for data protection that factors in:
  • the size and complexity of an organization
  • the cost of available tools to secure data
  • the sensitivity of the personal information an organization holds, as well as guarantees that small organizations are not burdened by excessive requirements.
• Notification when a reasonable risk exists. A notification regime requiring timely notice to impacted consumers, law enforcement, and applicable regulators when there is a reasonable risk that a breach of unencrypted personal information exposes consumers to identity theft or other financial harm.
• Consistent, exclusive federal enforcement of the new national standard by the Federal Trade Commission (FTC) and state Attorneys General, other than for entities subject to state insurance regulation or who comply with the Gramm-Leach-Bliley Act or the Health Insurance Portability and Accountability Act of 1996/HITECH Act. For entities under its jurisdiction, the FTC should have the authority to impose penalties for violations of the new law.
• Clear preemption of the existing patchwork of often conflicting and contradictory state laws. 

 

The group supporting federal data security legislation: 

ACT | The App Association

American Bankers Association

American Insurance Association

American Land Title Association

BSA | The Software Alliance

Consumer Bankers Association

Credit Union National Association CTIA