Bill Text: NY A03346 | 2017-2018 | General Assembly | Introduced


Bill Title: Regulates the collection, disclosure and dissemination of personal information acquired by a provider of on-line computer services in order to ensure the privacy of subscriber information and wage patterns.

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Introduced - Dead) 2018-01-03 - referred to consumer affairs and protection [A03346 Detail]

Download: New_York-2017-A03346-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          3346
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                    January 27, 2017
                                       ___________
        Introduced  by  M. of A. ORTIZ, DINOWITZ, HIKIND, GOTTFRIED -- read once
          and referred to the Committee on Consumer Affairs and Protection
        AN ACT to amend the general business law, in relation to the  collection
          and  disclosure  of  certain information collected by on-line computer
          services
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section 1. The general business law is amended by adding a new section
     2  397-b to read as follows:
     3    §  397-b.  On-line computer services.  1. As used in this section, the
     4  following terms shall have the following meanings:
     5    (a) "On-line computer service" means the offering of a capability  for
     6  generating,  acquiring,  storing,  transforming, processing, retrieving,
     7  utilizing or making available information using computer-based  telecom-
     8  munications.  On-line computer service shall also include a service that
     9  permits a subscriber to retrieve stored information from or file  infor-
    10  mation   for  storage  in  information  storage  facilities,  electronic
    11  publishing or an electronic messaging service.
    12    (b) "Personal information" means information which identifies either a
    13  specific file or service utilized or from an  on-line  computer  service
    14  and the subscriber and/or such subscriber's on-line computer address who
    15  obtained  such  file  or service. Personal information shall not include
    16  any record of aggregate data which does not identify a file  or  service
    17  utilized  and  a  subscriber  and/or  such subscriber's on-line computer
    18  address.
    19    (c) "Disclose" or "disclosure" means the sale, rental or other dissem-
    20  ination of personal information.
    21    (d) "File" means a collection of related records treated as a unit.
    22    (e) "Records" means a group of  distinct  data  items  in  a  computer
    23  system, manipulated as a unit.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08351-01-7

        A. 3346                             2
     1    2.  Any  person,  firm,  partnership  or corporation which provides an
     2  on-line computer service may not disclose personal information  concern-
     3  ing  a  subscriber to any other person, firm, partnership or corporation
     4  unless such subscriber:
     5    (a)  has received the notice provided for in subdivision three of this
     6  section; and
     7    (b) has consented to the disclosure.
     8    3. At the time of entering into an agreement  to  provide  an  on-line
     9  computer  service  to  a  subscriber  and at such time when a service is
    10  obtained each and every on-line computer service shall provide notice in
    11  the form of a separate statement to  the  subscriber  that  clearly  and
    12  conspicuously disclose the following to such subscriber:
    13    (a)  the  nature  of personal information collected or to be collected
    14  with respect to the subscriber and the nature and use of the information
    15  if any;
    16    (b) the nature, frequency and purpose of any disclosure which  may  be
    17  made  of  such  information, including an identification of the types of
    18  persons or person to whom such disclosure may be made;
    19    (c) the period of time the information will be maintained; and
    20    (d) a description of the procedures by which the subscriber  may  gain
    21  access to the information.
    22    Such  notices  may  be provided electronically by using computer-based
    23  telecommunications.
    24    4. Upon request a subscriber shall be provided access to all  personal
    25  information  regarding  such subscriber that is collected and maintained
    26  by an on-line computer service. Such information shall be made available
    27  at reasonable times and at a  convenient  location  to  the  subscriber.
    28  Computer-based  telecommunications may be the means by which such infor-
    29  mation is provided to the subscriber. The subscriber shall  be  provided
    30  reasonable opportunity by the on-line computer service to correct errors
    31  in  personal information and the on-line computer service shall promptly
    32  correct such information. If the on-line computer service is  unable  to
    33  resolve  any  remaining differences, a subscriber shall also be provided
    34  with the opportunity to file a statement of explanation  concerning  the
    35  nature of any dispute.
    36    5. Notwithstanding subdivision two of this section, an on-line comput-
    37  er service may disclose personal information if the disclosure is:
    38    (a)  necessary to render or conduct business or provide service to the
    39  subscriber;
    40    (b) made pursuant to a court order;
    41    (c) for the purpose of extending credit to the  subscriber  or  for  a
    42  check  or  credit  card transaction when it is incidental to the sale or
    43  other transfer of  the  accounts  receivable  of  the  on-line  computer
    44  service; and
    45    (d) for the purpose of validating a check written by the subscriber.
    46    6.  No  on-line  computer service shall be deemed to have violated the
    47  provisions of this section, if such on-line computer service shows by  a
    48  preponderance of the evidence that the violation was not intentional and
    49  that it resulted from a bona fide error made notwithstanding the mainte-
    50  nance of procedures reasonably adopted to avoid any such error.
    51    7.  Any  subscriber who has been injured by reason of any violation of
    52  this section may bring an action in his or her own name to  enjoin  such
    53  unlawful act or practice, an action to recover his actual damages or one
    54  hundred  dollars,  whichever is greater, or both such actions. The court
    55  may, in its discretion, increase the award of damages to an  amount  not
    56  to  exceed three times the actual damages up to one thousand dollars, if

        A. 3346                             3
     1  the court finds the  defendant  willfully  or  knowingly  violated  this
     2  section.  The court may award reasonable attorney's fees to a prevailing
     3  plaintiff.
     4    8. Whenever there shall be a violation of this section, an application
     5  may  be  made  by  the attorney general in the name of the people of the
     6  state of New York to a court or justice having jurisdiction to issue  an
     7  injunction, and upon notice to the defendant of not less than five days,
     8  to  enjoin  and  restrain  the continuance of such violations; and if it
     9  shall appear to the satisfaction  of  the  court  or  justice  that  the
    10  defendant  has,  in  fact,  violated  this section, an injunction may be
    11  issued by such court or justice, enjoining and restraining  any  further
    12  violation,  without  requiring  proof that any person has, in fact, been
    13  injured or damaged thereby. In any such proceeding the  court  may  make
    14  allowances  to  the  attorney  general  as  provided in paragraph six of
    15  subdivision (a) of section eighty-three hundred three of the civil prac-
    16  tice law and rules, and direct restitution.  Whenever  the  court  shall
    17  determine  that  a violation of this section has occurred, the court may
    18  impose a civil penalty of not more than one thousand  dollars  for  each
    19  violation.  In connection with any such proposed application, the attor-
    20  ney general is authorized to take proof and make a determination of  the
    21  relevant facts and to issue subpoenas in accordance with the civil prac-
    22  tice law and rules.
    23    § 2. This act shall take effect on the first of November next succeed-
    24  ing the date on which it shall have become a law.
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