Page 18 - THE SOUTH CHINA BUSINESS JOURNAL
P. 18
C. TODAY
Why True Preemption action, like that in ADPPA,
is Necessary would encourage an influx of
abusive class action lawsuits,
A recent study revealed that a create further confusion
50-state privacy patchwork could regarding enforcement of
cost the U.S. economy $1 trillion, blanket privacy rights, harm
$200 billion of which would hit small businesses, and hinder
small businesses. data-driven innovation.
As currently drafted, the ADPPA The Chamber sent a letter to
would merely create a new the members of the Senate
national privacy patchwork. Committee on Commerce,
The bill’s preemption would Science and Transportation
only supersede state laws and the House Committee on
for activity covered under Energy and Commerce outlining
the Act. As noted in a recent concerns with attempts to rush
Congressional Research Service through legislation that would
report, this type of preemption encourage an unmanageable
is not considered the strongest patchwork of laws and abusive
and allows states to creatively class action lawsuits through
continue to regulate data. private rights of action.
Chipping away even further at
a national standard, the ADPPA Where Do We Go From
would allow California to have Here
special status to enforce the law
and keep parts of its privacy law. The Chamber will continue to
Enterprising plaintiffs' attorneys work with our members and
could even continue to use state both parties in Congress to craft
consumer protection laws so a truly preemptive national
long as they don’t claim that a privacy bill that protects all
federal violation is a de facto Americans data equally. Any calls
violation of the state law. to further carve out state laws
from the legislation’s attempt at
How Private Right preemption should be rejected.
of Action Harms
Businesses This legislation is too important
to rush through. When it comes
A national data protection law to passing permanent law,
including a private right of Congress should measure twice
and cut once.
15 AMCHAM SOUTH CHINA
Why True Preemption action, like that in ADPPA,
is Necessary would encourage an influx of
abusive class action lawsuits,
A recent study revealed that a create further confusion
50-state privacy patchwork could regarding enforcement of
cost the U.S. economy $1 trillion, blanket privacy rights, harm
$200 billion of which would hit small businesses, and hinder
small businesses. data-driven innovation.
As currently drafted, the ADPPA The Chamber sent a letter to
would merely create a new the members of the Senate
national privacy patchwork. Committee on Commerce,
The bill’s preemption would Science and Transportation
only supersede state laws and the House Committee on
for activity covered under Energy and Commerce outlining
the Act. As noted in a recent concerns with attempts to rush
Congressional Research Service through legislation that would
report, this type of preemption encourage an unmanageable
is not considered the strongest patchwork of laws and abusive
and allows states to creatively class action lawsuits through
continue to regulate data. private rights of action.
Chipping away even further at
a national standard, the ADPPA Where Do We Go From
would allow California to have Here
special status to enforce the law
and keep parts of its privacy law. The Chamber will continue to
Enterprising plaintiffs' attorneys work with our members and
could even continue to use state both parties in Congress to craft
consumer protection laws so a truly preemptive national
long as they don’t claim that a privacy bill that protects all
federal violation is a de facto Americans data equally. Any calls
violation of the state law. to further carve out state laws
from the legislation’s attempt at
How Private Right preemption should be rejected.
of Action Harms
Businesses This legislation is too important
to rush through. When it comes
A national data protection law to passing permanent law,
including a private right of Congress should measure twice
and cut once.
15 AMCHAM SOUTH CHINA
