Big-e-Biz

Website Legal Compliance Congress Struggles With Protect IP and SOPA Legislation

Website legal compliance is now under serious consideration by lawmakers in Washington. The U.S. Congress is now considering two proposed bills, which if enacted into law, would provide ground-breaking weapons for law enforcement and content owners to enforce intellectual property rights. If you’re a content owner that provides content on the Internet, you have an important stake in the current legislative process.

The competing bills currently under consideration – The Protect IP Act (Protect IP) and Stop Online Piracy Act (SOPA) – are both aimed at websites that are focused on infringing the intellectual property rights of content owners. What’s both creative and controversial about these proposed laws from a website legal compliance perspective is the enforcement mechanism – shutting down the offending websites regardless of whether they’re U.S. based or foreign based websites.

The typical offenders that are the targets of Protect IP and SOPA are websites that pirate and illegally stream movies, TV shows, and music. However, if you’re a content owner with valuable content that may be the target of infringers, these proposed statutes may provide important legal remedies for you to protect your intellectual property.

The Protect IP Act

The target in Protect IP are websites that are “dedicated to infringing activities”. The key to determining if a website falls under this standard is whether it can be proved that the website has “no significant use” other than engaging in or facilitating infringement.

Remedies for violations are three:

* blocking the domain name from DNS servers and search engine results (available only to U.S. law enforcement),

* mandate that financial institutions (meaning primarily credit card processors) cease doing business with offending websites to the extent of U.S. online customers (available both to U.S. law enforcement and content owners), and

* prohibition of advertising services that provide ads to offending websites from continuing to do business with them (available both to U.S. law enforcement and content owners).

Stop Online Piracy Act (SOPA)

SOPA is similar to Protect IP, but there are differences. The key difference is that SOPA lowers the bar for proof requirements when determining which sites are “infringing”, meaning that content owners would have an easier task in getting to the remedies.

Under SOPA, content owners would only have to prove that an offending website is “dedicated to the theft of U.S. property”, clearly a much lower proof requirement than Protect IP’s.

Unlike Protect IP, SOPA would employ a procedure similar to the current DMCA notice and counter-notice procedure prior to bringing action against an infringing website. The notice would enable payment network providers and Internet advertising services the opportunity to cease dealing with offending websites prior to an action for a court order.

Conclusion

Given the severe remedies of both bills – shutting down offending websites – critics are numerous, particularly regarding SOPA. Critics argue that the severe remedies amount to censorship with related violations of free speech, plus they argue that there will be serious unintended consequences.

Most commentators are predicting that a statute with the same goals as both Protect IP and SOPA will eventually find consensus and be passed into law. If you’re a content owner that provides content the Internet, the outcome will likely affect you in a significant way.

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Is your website legal? Do you understand what you need to do for website legal compliance? Protect your website and your business with near-custom Website Legal Documents. One size doesn’t fit all. Leading Internet and SaaS Attorney Chip Cooper’s “done for you” online legal document service does all the work for you. No special knowledge required – http://www.digicontracts.com/

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How to get started on eBay

How to get started on eBay

Would you like to use eBay to buy the products that you need or even sell items that you no longer want? If you would, you will need to create an eBay account. Although many automatically assume that getting started with eBay is a complicated task, it doesn’t have to be. All you really need to do is follow a few steps and you should on your way.

The first thing to do is visit eBay’s website at eBay.com. Once you are at eBay’s website, you can click on the link that allows you to register a new account. At that stage, you will be brought to a signup form. That signup form will ask you a series of questions. For instance, you will need to enter in your full name, your address, your telephone number, as well as an e-mail address. You will also be required to come up with an eBay screen name or sign in name, as well as an eBay password, which will be used to access your eBay account. Once you have correctly filled out the form, you will be sent a verification email from eBay.

Once you have received eBay’s verification email and followed all of the instructions, which will help you validate your eBay account, you will be able to start using eBay right away. When you first get started, you may need to sign in to your eBay account. As previously stated, you will need to use your eBay sign in name or screen name and password to do so. For that reason, you may want to write down your sign in information and keep it in a safe place. Once you have signed in to your eBay account, you can then do whatever you want; buy or sell.

If you are interested in using eBay to shop online, you will want to start searching for items to buy. This can be done a number of different ways. EBay allows you to browse through their large selection of items by categories. You can also perform a standard eBay search or an advanced one. Searches are more likely to give you accurate, tailored results. When browsing or searching for something in particular, you should be able to see a large number of auction listing all on one page. The information that you will be presented with at this time is the standard, bare minimum. If you would like more information on the item in question, such as how much shipping costs or too see additional pictures, you will want to click on the link to view the detailed sales page. Should you like what you see, follow the instructions to buy and you will have made your first purchase on eBay!

If you are interested in selling on eBay, to make a little extra money, you can also do so. The only difference is that you are required to pay fees to become an eBay seller, unlike eBay buyers who have completely free accounts. The amount of money that you are charged will depend on your auctions, particularly how much you list each item for, as well as how well each item sells. To get started with selling, you will want to click on the “sell,” link at the top of the eBay webpage. What is nice about listing items for sale on eBay it is relatively easy to do. For instance, you need to choose a category for your item, make a headline for your auction listing, write a description of your product, upload pictures of what you are selling, outline shipping costs, as well as accepted forms of payments, but everything is outlined for you, in a step-by-step matter.

Whether you are interested in becoming an eBay buyer or a seller, you can do both, in as little as a few minutes. EBay is one the most shopped at online marketplaces. For you, this means that if you are looking to make money on eBay, you should be able to do so and if you are interested in buying on eBay, you should be able to find millions of products to choose from.

Benefits of Registering With YouTube

Benefits of Registering With YouTube

Do you enjoy watching videos on YouTube? Even if you have never visited YouTube before, you are urged to do so, as you will likely find it fun, exciting, and entertaining. YouTube is a video sharing website which allows internet users, just like you, to upload and share videos that they have made. Perhaps, the greatest thing about YouTube is that it is free.

When visiting the YouTube website to watch videos, you can do so without having to create a YouTube account. Despite not being required to create an account, you may want to look into doing so, as there are a number of benefits to being a YouTube member.

Just a few of those benefits are outlined below.

One of the many benefits to registering for a free YouTube account is that it is relatively easy to do. When you signup for a free YouTube account, you need to provide a little bit of information about yourself. This information includes your name, the country that you live in, your zip code, your date of birth, as well as your gender. You will also need to create a YouTube user name for yourself, as well as a password. Your password and user name will be used to log into your account. Signing up for a YouTube account should take only a few minutes of your time, at the most.

Once you have created a free account for yourself, you can then begin to enjoy the many other benefits of having a YouTube account. One of those benefits is the ability to rate videos that you watch, as well as leave comments. As it was previously mentioned, you can watch videos on YouTube without having a YouTube account, but you cannot rate videos or leave comments for the video owner. Rating YouTube videos gives other YouTube users an idea as to which videos are high in demand, which, in turn, can lead to more of your favorite videos being found on the YouTube site. That is just one of the many reasons why you should not only signup for a free YouTube account, but also rate YouTube that you watch or leave comments.

In addition to being able to rate or review videos, registering for a free YouTube account also gives you the option of sharing your videos with other internet users. Non-registered YouTube members are unable to upload and share any videos that they may have made. If you have never shared videos online, you may want to think about doing so, as they are fun to make. Many of the videos currently found on YouTube are comedy skits, video blogs, and candid videos. All you really need to have is a video recording device, such as a cell phone, webcam, or camcorder, and a movie editing software program, which now comes standard on most computers.

As it was previously stated, creating a membership account with YouTube is free and it should only take a few minutes of your time. If you enjoy using the internet as a source of entertainment, you will not only want to visit YouTube, but you will also want to take the few minutes needed to register for a free account. In the end, you will likely be pleased with your decision to do so.

10 Keys to Bring Inspiration Into Your Life or How to Be Inspired

10 Keys to Bring Inspiration Into Your Life or How to Be Inspired
By Rochman Reese

Have you ever asked yourself what is inspiration? What is being inspired? When the word inspiration is broken down into its component parts, it simply means "in - spirit". When you are living "in - spirit" You feel excited about yourself and your life. You have a special connection with all parts of your mind and body. The question is how can you connect to your spirit at all times to take actions that enable you to be inspired?

Below are the ten keys to opening the doors to your inspiration.

1. The first key to inspiration is enjoyment. It would take a spiritual master to be inspired about doing the dishes. So find something that really excites you. It can be anything that you really enjoy. You have to have fun.

2. The second key to inspiration is love. When you are actively pouring love into what you are doing, this will guarantee that you are opening yourself to experiencing more inspiration. If you love what you do and do what you love, this will guarantee that you will be inspired.

3. The third key to inspiration is to trust in yourself. Listen to that little voice inside yourself and know that this comes from heart. This is called intuition. Intuition is the spark the sets off the fires of inspiration.

4. The fourth key to inspiration is to follow what your intuition tells you. The more you listen to it, the stronger your intuition will become. If you don't pay attention, that little voice gets fainter and fainter until you can no longer hear it. The spark goes out, and gets harder and harder to rekindle.

5. The fifth key to be inspired is to believe in yourself. Keep telling yourself "I can". These are some of the most powerful words that you can ever use. When you say this to yourself often enough, you build a bridge between yourself and your inspiration. When you are backed by a strong belief in yourself and your dreams, nothing is impossible.

6. The sixth key to inspiration is not to listen to anyone that says "no you can't". They might think that they are helping you, and try to project this negative belief onto you, but remember to keep telling yourself that, "I can!" Nothing will kill your inspiration quicker than listening to people say "no you can't do that" Understand that often what they mean is "No, I can't do that, so you shouldn't either" Its best to simply thank them for their advice, pay no attention to it and not discuss it further.

7. The seventh key to being inspired is to avoid negativity. Ask yourself, do you really need to read the newspaper or watch the news on TV every day? Nothing kills inspiration quicker than being surrounded by bad news. How you can you possibly feel inspired if everywhere you look you are getting reports of doom, gloom and destruction. What if instead of watching the news, you spent time doing what it is that you really love? What if you just spent just 1/2hr a day doing what you really love? What sort of a change would it make in your life after a whole year?

8. The eight key to inspiration is acceptance. Accept that on some days you feel much more inspired than on others. This is normal. Nobody can be completely inspired every minute of the day. So on the days when you feel flat, just know that this will pass and don't feel too troubled about not feeling inspired.

9. The ninth key to inspiration - Take action every day, no matter how small a step it seems. Action is the fuel to the fires of inspiration. Make it a daily practice to keep your fire burning. The taking of actions, no matter how small, will fill you with inspiration for taking the next step.

10. The tenth key to inspiration is the most powerful of all. Simply put, it is to surround yourself with things that inspire you. This is so laughingly simple that many people over look this. It could be inspiring music, inspiring recorded talks, inspiring books and inspirational art.

One of the most powerful ways to be inspired comes from surrounding yourself with inspirational art. Artworks come in many forms such as paintings and sculptures, and have such an amazing power to influence thoughts and emotions, to uplift and also inspire. By the careful placement of inspiring artworks, you can transform your living and working environments to be places filled with light and inspiration.

All of these 10 keys to inspiration are very simple things. Try them today and you will be amazed at what a difference it will make in your life. May your life be filled with Love and Happiness and Inspiration!

Inspirational Artist, Rochman Reese, creates inspirational artworks that will inspire you to experience more love, happiness and tranquility in your life.You can view inspirational pictures of his artworks, and read more inspirational articles at www.theartofhappiness.net - be inspired.

Published at Sooper Articles - Free Articles Submission http://www.sooperarticles.com

How To Build Customer Loyalty Using Facebook

How To Build Customer Loyalty Using Facebook

Customer loyalty is definitely one of the most essential things that your business can possess. If you have loyal customers, they will buy from you, they re going to say good things regarding your business and they’ll tell each one of their friends and family about you and your business.

How do you get to that point where everyone wants to help you succeed? Can there be a magic button for that? No, it is hard work. Here are a few things that you should do to get that customer loyalty using Facebook:

Interact with Your Clients Frequently

If you would like loyal customers, it is important for you to communicate with them. How do you do this on Facebook?

First, it is imperative that you have a fan page that’s open and available to everyone. Additionally you need to update your page continually and as you you receive questions or comments from your customers, it is important for you to respond. It is important for you to let people realize that there is a real person behind that cute logo.

You can establish groups in Facebook to interact with similar customer groups at one time. The more you communicate and connect with your customers, the more loyal they will become.

Post the Proper Type of Content on Your Facebook Page

It’s very important that you put the proper kind of content on your Facebook page. Your articles should contain details about your business that will benefit customers the most. Rather then writing just what is of interest to you and your business, write things that would be of interest and benefit to your visitors. Write information which will genuinely help them. Don’t think of “what’s in it for me” but think “what’s in it for you”.

Ask Your Customers for Feedback

Can you be sure what’s important to your visitors? Can you be sure the things they want? You need to ask them. When you write information on your Facebook page, ask for comments from people. Ask them how they feel about something that your business is doing. Ask them the things they wish to see your business do or what products would benefit them.

You might send out a survey to your groups or consider an event? You can send out invitations to events on Facebook. What a great way to keep in touch with your prospects and to understand the things they want and what they think.

Provide Your Customers a Top Quality Product

When all is said and done, you have to offer a quality product to your customers. Make certain that they know about all of the benefits of your product by putting everything regarding your product on your Facebook page. Give them good enough information to make a decision to purchase your product and not be disappointed.

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Would you like to learn more about using Facebook to develop customer loyalty for your business? In that case, download my free Facebook Guide. Visit my website at http://workonlinesuccess.com

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Veretekk Marketing -The Lamborghini of Leads Generation Systems

Veretekk Marketing -The Lamborghini of Leads Generation Systems

As many savvy online marketers have already discovered, Veretekk Marketing is an extremely powerful set of marketing tools and features designed to allow the business owner to produce leads and customers. Veretekk has three membership levels, Silver, Gold and Platinum.

Veretekk Silver Membership - this membership level costs nothing to join. It is an entry level membership which includes an affiliate site, access to most of the Veretekk training classes, and some limited access to advertising and marketing features. Silver members can advertise their affiliate site to build a team. They earn and are paid 1st level commissions on gold upgrades, even though they are free members.

Veretekk Gold Membership - A silver membership is a prerequisite. This is the mainstream membership level where most serious marketers are concentrated. The cost of a gold membership is $54.95 a month. A gold membership entitles the subscriber to use all the standard lead generation portals, SEO portals, unlimited autoresponders, unlimited hosting, contact management tools, and more. If the features were shopped separately, a marketer could easily spend several times the monthly gold fee for a patchwork replacement system devoid of integration. This level is designed to allow the average marketer to advertise an online business to increase leads and sales. The gold membership pays commissions three levels deep. A 30 day free-trial gold membership is available, just ask your sponsor.

Veretekk Platinum Control Panel - A gold membership is a prerequisite. This system is the Lamborghini of leads and profits generation. This panel is the next generation of Veretekk power, with guaranteed results. For a limited time, a Platinum system includes 10 free gold systems which can be configured and used to promote multiple keywords or businesses. A 30 day free trial membership is available, just ask your sponsor.

Branding yourself as an expert and leader in your area of expertise is job one for building on the Internet. Whether you are applying for a job, running for public office, selling products, your prospective target will want to know who you are. When branding yourself, your keywords are your name. Before we go any further, purpose is probably the most important factor. You must be driven by a purpose, a cause a passion. This is the secret to your success and is probably why you see the potential of what the Platinum Control Panel can do for your business.  A Platinum Control Panel allows its owner to build a massive sphere of followers. Whether you are building customer loyalty, political recognition or journalistic acumen, the Platinum Control Panel will give you the massive power to exceed all expectations.

The Platinum Control Panel takes you to levels of excellence in Internet Marketing few people ever achieve for a price that does not even come close for the huge value this represents. This system is surprisingly affordable. For more details, watch and listen to the presentation.

Free Classified Ads
Free Weblog
Free Computer
Free Daily Messages
Free Search Engine
Free FFAs
Free Software
Free Site Builder
Free Survey
Free Internet News
Free Anti-Spam Submission
Free Vacation
Free Autoresponders
Free Site Tracking
Free Web Directory
Free Leads
Free Web Conferencing

The Cost of Technological "Freedom"

The Cost of Technological "Freedom"

In the past, I've written about how open source software such as Linux isn't necessarily free - especially for businesses, which tend to use commercial versions such as Red Hat for which you pay a pretty penny for support. That usually generates responses informing me that claims regarding the "free" aspect of open source aren't referring to the monetary cost but to the freedom to modify the source code if you want. And there's always someone who says it's all about "freedom from the Microsoft monopoly." It seems "free" is one of those words that has many different meanings, but we usually associate all of them with good things. Well, unless you make your living creating intellectual property in a world where a growing number of people believe that "information wants to be free."

Over the years, I've often heard from readers who declare the goal to be "free from Microsoft" and that still puzzles me - especially today, when there are plenty of alternatives. Why not just use whatever the best tool is for the job you want to do (and your budget), regardless of who makes it? I use Microsoft on the desktop because that's what works best for me there. I use an Android phone because that's what (currently) works best for me. I've tried using Apple products in the desktop, tablet and mobile space and they just don't work as well for me as the others, but I have friends who swear by them. That's fine. I have friends who love to spend their vacations hurling down a mountain in the snow perched on a couple of thin slats, dodging trees and hoping not to break a leg, too. I don't understand the appeal of that, either, but to each his/her own.

I recently stumbled across a blog post by Fred Wilson, "a VC in NYC," who wrote about how happy he was to have freed himself from his Windows desktop by moving everything to the cloud, using Gmail, Google Apps/Docs, Dropbox, and such, which he accesses from a Macbook and an Android phone. He still uses Word, Excel and PowerPoint for some files but is hoping to be "completely rid of them" soon: http://www.wxpnews.com/4AKLX0/110524-My-New-Setup

Now, this particular declaration of independence isn't from Microsoft so much as it's from "the desktop." And that's what really confuses me. When desktop computing evolved out of the old model, mainframe computing, it certainly wasn't seen as enslaving. Rather the opposite; it was recognized as empowering, giving each individual user control over his/her applications and data. With a PC on your desk (or later, in your lap), you no longer had to be at the mercy of the mainframe, dependent on it to deliver applications and data to your dumb terminal. In fact, the evolution of computing during its first fifty years (from the first generation room-sized or bigger mainframe behemoths of the 1940s to the microcomputers of the 1980s that morphed into the personal computers of the 1990s) was all about giving individual computer users more control. And control over what you do is the very basis of freedom.

The pendulum started swinging the other way, though, sometime in the 1990s. IT departments wanted to take back the control they lost when desktop systems replaced the mainframes and minicomputers where all the programs and data had lived before. In the business environment, this made sense. For security and productivity reasons, companies need to be able to apply standard policies and have authority over what software users run and keep company data stored in a central location. The client-server model seemed to offer the best of both worlds, giving the company control where needed without taking the computer power away from the users. And not to be cynical or anything, but it also provided an opportunity for software vendors (Novell, Microsoft, even makers of open source software such as RedHat) to make big money off server operating systems, for which they could charge hundreds or thousands more than for a desktop OS - and then require each of those desktops that accessed it to pay for a client access license, too.

But there's more to it than that. Companies wanted to do more than just exert control; they also wanted to save money. Software and hardware vendors saw a new opportunity: sell people on the idea of "thin clients." Users would have much less powerful computers on their desktops, which would cost less (or you could even use older systems you already had sitting around). This is possible because all the actual processing takes place on the server. Sounds great - except that to do this, you need to set up very powerful (and expensive) multi-user servers to deliver all those desktops. And you need the latest and greatest version of the server OS to get the best functionality. And you might also need third party solutions and/or consultants to configure it all, since deployment could be a bit complex. There I go, being cynical again.

But hey, there's an easier way. Instead of hosting all this in-house, you could turn to a company that would do it all on their own systems and just "rent" the apps to you; your users access them over the Internet. To old timers, it sounds suspiciously like the old mainframe time-sharing model, but to younger folks, it seemed new and innovative. They tried it in the late 1990s, calling themselves Application Service Providers (ASP). Maybe that name had too much of a sting, as it never caught on. Or maybe it was because fast, reliable Internet bandwidth was too expensive. In the 2000s, they changed the name to Software as a Service (SaaS) and for the most part switched to web-based programs. That was a bit more successful, especially for targeted proprietary software such as that delivered by Salesforce.com. Now we're calling it Cloud Computing and it's being hailed as the way to "free yourself" from the desktop.

Meet the new boss. Same as the old boss. I'd like to think we won't get fooled again, but I'm not betting on it. Cloud computing does have some advantages. It's great for those who are just too busy (or too lazy) to deal with the general maintenance and troubleshooting that sometimes go along with using a full-fledged desktop machine. In that respect, it's sort of like renting a house rather than buying; you don't have to worry about the inevitable tasks of finding and paying for a plumber when a pipe bursts or keeping the roof repaired - the landlord takes care of all that for you (or is supposed to). There is no denying that the cloud is about convenience. If your applications all live in the cloud, if your data is all "out there" somewhere, you can access it no matter where you go, from any computer - yours or someone else's. That's important to many people in the mobile world we live in today. It's a lot easier than having to copy the data to your laptop's hard drive or to removable media and take it with you. It's easier than setting up a VPN connection back to your home computer. It's the easier possible way to have anytime, anywhere access to everything (when it works).

The cloud might even be about saving you money. It depends on what you need and the timeframe over which you need it. Renting a home isn't just less of a hassle; it can also be less expensive than buying one, especially if you move often. When you factor in maintenance costs and taxes and insurance and down payments and closing costs and so forth, you might save a little or a lot. Cloud computing could save you money, too, especially if you use a cheap netbook to access free services and apps. And many folks will be able to do what they want that way. Others will find that they need more than the free services offer. For example, you can store your files on Dropbox for no charge - well, if you have no more than 2 GB of files. A more realistic storage capacity, 100 GB, will cost you twenty bucks per month. That's $240 per year - which you could have used to buy a hard drive on which you could store 3 TB of data locally.

What about security? Cloud vendors will tell you that your data is more secure in the cloud than on your own network because they have economies of scale that let them institute the very best security protections that would be too expensive or too difficult for you to use at home or in your small business. It might be true that your data in the cloud has stronger encryption and is better protected from random hackers (although not everyone is convinced of that). However, if you're worried about law enforcement or other government agencies snooping, remember that your contract with your cloud provider probably tells you that if they get a subpoena or maybe just a request from the government, "all your base are belong to us." (Note: If you don't get it, that's okay, but please don't write and tell me that quote is grammatically atrocious). And yes, yes, I know - if you aren't doing anything wrong, you shouldn't care. Unless you do.

All in all, the advantages of cloud computing aren't insignificant. But freedom - I just don't see that as one of them. Still, going back to our housing analogy, some people consider renting to be something that frees them from the responsibilities of home ownership. Others feel far more free living in a house they own, where they don't have to ask someone else's permission to paint the walls purple if they want, and they can choose whether to replace the carpet with the cheap, ugly stuff that will be worn out again in a couple of years or put in granite tile that will withstand almost anything. I guess it's just a matter of perspective.

I'm reminded of a line from an old Kris Kristofferson song: "Freedom's just another word for nothing left to lose." If I had nothing important to lose, I might put it all in the cloud. But I do, so I don't think I'll "free" myself from the desktop anytime soon. Oh, I'll use the cloud where appropriate, for its convenience and when it's cost effective. I don't have any desire to completely free myself from cloud computing, either. I really do want the best of both worlds, and I get that by maintaining residence in each.

How about you? Do you long for a day when you can be completely free of the desktop? Have you, like Mr. Wilson, already attained that goal? If so, have you found it to be all that you dreamed it would be, or do you sometimes get nostalgic for the past?

Your Site and the Commercial Privacy Bill Of Rights Act of 2011

Your Site and the Commercial Privacy Bill Of Rights Act of 2011
By Chip Cooper (c) 2011

On April 12, 2011, Senators John Kerry (D-Mass) and John McCain (R-Ariz) announced proposed legislation that could become the first federal privacy and data security law. If passed into law, The Commercial Privacy Bill of Rights will have a huge impact on how personal information is collected, used, and shared by eCommerce websites. And penalties for failure to comply could be high, very high.

The Way It Was - And Still Is

A little background information is required for perspective.

Prior to 2000, the Internet was essentially like the "wild wild west" in terms of privacy and data security. Essentially, there was no regulation. Generally speaking, except in California, privacy issues were not high on the radar screens of government regulators.

In 2000, California became the first state to have an agency dedicated to promoting and protecting the privacy rights of consumers. In 2003, California passed the California Privacy Protection Act of 2003 (OPPA), which was the first state law in the nation regulating operators of commercial websites on online services to post a privacy policy. OPPA in essence became a de facto federal statute because it applied to any person or company in the United States (and conceivably the world), and no commercial website would want to attempt to screen out California residents from participation in its services or the purchase of its products.

When OPPA became law, there was no federal privacy legislation of general application. The Bush administration essentially wanted to stay out of the way of the commercial development of the Internet.

Despite the lack of a federal statute of general application (which continues to this day), the feds did get involved with online privacy enforcement through the Federal Trade Commission (FTC). Empowered by The Federal Trade Commission Act, the FTC may take legal actions to prevent unfair methods of competition and unfair or deceptive acts or practices in or affecting commerce.

Beginning in 2000, the FTC issued a report to Congress outlining four core principles of privacy protection. Since then, the FTC has taken action against companies that fail to comply with their own privacy policies or otherwise misrepresent their information management practices.

So, although the requirement for a privacy policy originated with California's OPPA, the feds, through the FTC, are empowered to act if a website is deceptive in failing to comply with its privacy policy.

Key Provisions of the Proposed Law

If The Commercial Privacy Bill of Rights Act becomes law, this will change - in a big way. For the first time, we'll have a federal privacy statute of general application.

So, what's new with the proposed law? Here are some of the key points:

* Covered entities - any site that collects, uses, transfers, or stores "covered information" about more than 5,000 individuals during any consecutive 12-month period.

* "Covered Information" - personally identifiable information and any unique persistent identifier associated with an individual or networked device that may be used to identify a specific individual.

* Rights to security and accountability - included is "privacy by design" which requires the implementation of a comprehensive privacy program that incorporates privacy practices throughout the product life cycle.

* Rights to transparent notice and individual participation - notice includes clear, concise, and timely notices of privacy practices; opt-out mechanisms for (i) specific uses of covered information, and (ii) use of covered information by third parties for behavioral advertising; opt-in mechanisms for (i) use of covered information for uses other than processing a transaction, and (ii) use or transfer of previously collected covered information if there is a material change in privacy practices that would create a risk of physical harm; access to covered information; and de-identification of covered information when individual service terminates.

* Use of service providers - covered entities that use service providers are required to enter into a contract with the service provider to treat covered information as private and secure in accordance with the new statute.

* Collection of information - limited to collection of only as much information as is reasonably necessary to process a transaction or request, prevent fraud, investigate a crime or comply with a law, market using the information collected directly, conduct research and development to improve service, or for surveys of website analytics.

* Retention of covered information - retention is authorized only as long as needed to process a transaction or deliver a service, conduct research and development, or comply with the law.

* Distribution of information - transfers of any information to a third party are authorized only if covered entity performs due diligence indicating that the third party is reliable and the third party enters into a contract to use the information consistent with the new statute; combination of the information by the third party with other information is prohibited unless opt-in consent has been given.

* Enforcement - enforcement would be permitted by the FTC and state attorneys general; there would be no private of action.

* Penalties - civil penalties up to $16,500 per day for affected individuals, with a cap of $3 million for violating the security and accountability provisions, and a cap of $3 million for violating the notice and individual participation provisions.

Conclusion

If passed as proposed, The Commercial Privacy Bill of Rights will have a huge impact on covered ecommerce websites. The cost to comply will be substantial. Penalties for non-compliance are potentially devastating.

The proposed law would not only affect a website's policies for collection, use, and sharing of personal information, but they would also affect the design of websites, the design and structure of customer and prospect databases, and how websites actually function and operate.
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