Bills in New York, Connecticut Would Restrict, Monitor Use of Online Data by Advertisers

March 21, 2008 By Wayne Hanson

New York State Assembly Bill A09275, the Third Party Internet Advertising Consumers Bill of Rights Act of 2008 sponsored by New York Assemblyman Richard L. Brodsky, "establishes rules and privacy policies with respect to how third-party online advertisers collect and disseminate online behavior of consumers." It also requires that consumers are given adequate notice of how third-party advertisers operate as well as a clear and conspicuous online advertising opt-out mechanism on Web sites.

Among its requirements are:

It prohibits 3rd parties from collecting certain personal identifier information online.
It requires that any profiling activities by online advertisers are disclosed and consumers have the ability to opt-out from such profiling.
It requires that Web sites that employ third-party advertisers to monitor the behavior of individuals clearly post that they do and offer an opt-out for consumers who wish not to be monitored.

The justification of the bill, according to its text, is that "acquisitions of third-party advertising companies by large Internet companies have raised serious and important privacy issues with respect to who is monitoring an individual's online behavior for marketing and other purposes."

Connecticut's Senate Bill 515 An Act Concerning Internet Web Site Tracking of Consumer Data, would require Internet Web site operators to provide consumers, upon request, with information on whether the Web site operator gathers data on the consumer and whether that data is sold to third parties.

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