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FTC Releases Final Privacy Framework

Jerry Levine — Tue, 27 Mar 2012 14:07:31 +0000

At a press conference today, the Federal Trade Commission (FTC) released its final privacy report, which calls on Congress to “consider baseline privacy legislation and for measures on data security and data brokers.” The report also includes best practices for industry–including the “complete implementation” of a do-not-track system–and presents its recommendations in three main principles–Privacy by Design, simplified consumer choice and increased transparency about data processing. The report also focuses on mobile privacy and calls on companies to create an industry standard for mobile data collection practices, The Washington Post reports. FTC Commissioner Thomas Rosch dissented from the other three commissioners, saying the report “would install ‘Big Brother’ as the watchdog” in the online and offline world. In a blog post, FTC Chief Technologist Ed Felton highlights four topics that are included in the staff report for “techies” to consider–de-identified data, sensitive data, mobile disclosures and do not track. (Registration may be required to access this story.)

Starting Up Your Startup

Jerry Levine — Thu, 01 Mar 2012 22:17:26 +0000

Quick Lessons About Forming a New Company (That You Want to Make Sure Goes Right):

Founders should vest in membership/stock

Why? Your founders / partners should be in the game for the long haul.

Have clear buy back language in case you do have founder participation/commitment issues, or other disagreements

Why? Because best friends sometimes become best enemies.

If LLC, think carefully about partnership taxation or S-Corp election.

Why? Are you actively seeking investment? Then you’ll need to convert to a C-Corp one day, most likely. It’s a lot faster from S-Corp to C-Corp than Partnership LLC to C-Corp.
Why? Because LLCs need a new EIN if they convert to C-Corp.

Most important: Invest in a good start up attorney, incorporate wisely, put a solid operating and shareholder agreement in place. Wait as long as it makes sense, but when you say “Go!” invest in doing this right.

Rosen: The Right To Be Forgotten Could Close the Internet

Jerry Levine — Sat, 18 Feb 2012 17:53:34 +0000

Unless the “right to be forgotten” is defined more precisely as it is implemented within the EU, a clash between European and American conceptions of the proper balance between privacy and free speech could lead to a far less open Internet. That’s according to Jeffrey Rosen, who opines in the Stanford Law Review on differences between European and U.S. approaches to “an urgent problem in the digital age: It is very hard to escape your past on the Internet now that every photo, status update and tweet lives forever in the cloud.”

Online Dating Sites Contain Risks, Even Afterward

Jerry Levine — Fri, 17 Feb 2012 17:57:33 +0000

Posting personal data to online dating sites has its risks, even once a user is no longer active on the site, PCWorld reports. Holes in security practices mean that users’ privacy and potentially financial security are at risk, according to the Electronic Frontier Foundation (EFF). Dating profiles “remain online for months or years after a member has let a subscription lapse,” the EFF says. A recent EFF survey found some sites’ HTTPS implementations–which protects a user’s browsing history–worked only partially or not at all.

New Tool Scores Site Privacy

Jerry Levine — Thu, 16 Feb 2012 17:55:35 +0000

Using an algorithm that gives points for various data-handling activities, a new online tool has analyzed more than 1,000 websites and rated them on how they use personal data–including how third parties track users through the websites, reports Wired. PrivacyChoice Founder Jim Brock says the tool works for site owners and consumers alike. “We show this to websites, and the first question they ask is how do I get my score up,” Brock said, adding, “We’re hoping this whole feedback loop between the websites and the tracking companies will cause these scores to go up.” The company also offers a browser plug-in that gives real-time privacy scores for websites that users can choose to share with PrivacyChoice to expand its algorithm, the report states.

Survey: Adults Serious About Online Privacy

Jerry Levine — Tue, 14 Feb 2012 17:53:06 +0000

A recent survey found that 90 percent of U.S. adults worry about online privacy and 41 percent don’t trust most companies with their personal data, DM News reports. The TRUSTe survey, the first of a four-part series, found that those between 45 and 54 years old worry more than other age groups, though the differences were narrow. Eighty-two percent of 18- to 34-year-olds surveyed said they would avoid a business if they felt it did not believe in protecting their privacy, the report states. “It’s more equally balanced in the concerns across all demographics than I was expecting,” said TRUSTe CEO Chris Babel.

Are You Ready for BoA’s “Groupon”?

Jerry Levine — Mon, 13 Feb 2012 23:33:42 +0000

Bank of America will begin testing BankAmeriDeals – a service that will offer its customers targeted online discounts, on its workforce in February. Customers will receive offers through the company’s website and be rewarded cash payments monthly. The plan comes as banks attempt to recover recent lost revenue as regulations were made on bank fees that can be charged.

In Mass.? You Have Until April 1 for Privacy…

Jerry Levine — Sat, 11 Feb 2012 23:32:48 +0000

Massachusetts merchants storing the personal data of residents of the state granted just over one month to comply with the latest provision of the Massachusetts data protection law. Beginning on March 1^st, all companies storing this data are required to encrypt data and “have specific language in third-party contracts that obligates their vendors to employ reasonable measures for protecting personal information.

Facebook Does Not Heart Spammers

Jerry Levine — Thu, 09 Feb 2012 23:31:39 +0000

Reuters reports that the world’s largest social networking site and the state of Washington have filed a lawsuit over a practice known as “clickjacking” or “likejacking,” where Facebook users are tricked into visiting ad sites and sharing their personal information. The scam is then spread to users’ friends, the report states, and “has grossed $1.2 million a month for the Delaware-based firm, Adscend Media, according to the state attorney general’s office.” The lawsuit is believed to be the first of its kind, the report notes, and a Facebook attorney said, “It’s important to stay a step ahead against spammers and scammers.”

Google Apps? Norway Says “No Way”

Jerry Levine — Wed, 08 Feb 2012 23:28:24 +0000

Citing that their citizens’ personal data privacy may be put at risk, Norwegian data protection authorities ban Norwegian public sector organizations from using Google Apps. According to the data protection authority, Google Apps does not comply with Norwegian privacy laws because there is not enough information on where the data is being kept.