[IP] Online data brokers target Canadian privacy commissioner
Begin forwarded message:
From: Michael Geist <mgeist@xxxxxxxxx>
Date: November 28, 2005 11:18:11 AM EST
To: dave@xxxxxxxxxx
Subject: Online data brokers target Canadian privacy commissioner
Dave,
Of possible interest -- my weekly Law Bytes column focuses on a  
recent Canadian incident in which a reporter obtained the personal  
phone records of Privacy Commissioner Jennifer Stoddart.  I argue  
that in a year dominated by almost daily privacy and security  
violations that have placed the personal information of millions at  
risk, that this privacy breach, which affected just one person, ranks  
as 2005's most shocking incident.
Although major Canadian telecommunications providers such as Bell  
Canada sought to characterize themselves as "victims" of fraudulent  
activity and claim that a rapid response to the incident is proof  
that the Canada's privacy laws are working as intended, the reality  
is that Canadian law is simply ill-equipped to deal effectively with  
such incidents.
In light of the privacy breach, the public might naturally expect  
that the Privacy Commissioner of Canada has the powers to address the  
issue.  She does not.
The investigation will naturally focus on both the telecommunications  
providers that disclosed the phone records as well as the U.S.-based  
data broker that obtained and later sold the information.
The Privacy Commissioner has little recourse against the  
telecommunications providers.  Although she can investigate the  
incident, without possessing order-making power, the Commissioner is  
reduced to issuing a non-binding "finding" that must be pursued in  
federal court in order to levy any financial penalties.
Indeed last week it was the CRTC that was better able to immediately  
address the issue.  Within days of the report, it sent a letter to  
the telecommunications providers demanding an internal investigation  
and imposing a strict 10-day deadline to furnish a host of  
information, including descriptions of the safeguards that were in  
place when the breaches occurred, explanations of how the companies  
verify customer identity, and new measures being taken to improve  
security.
The situation with respect to the U.S.-based data broker is even  
bleaker.  Last week the Privacy Commissioner declined to investigate  
a complaint against another U.S. data broker, arguing that Canada's  
privacy laws do not provide sufficient powers to investigate out-of- 
country operators.
The implications of that decision are stunning, suggesting that  
Canadians enjoy no privacy protection for personal information that  
is disclosed to non-Canadian entities.  Although the Commissioner' s  
interpretation of the limits of the law are subject to challenge -  
there is a good argument that the jurisdictional limitations on  
investigation should not act as a barrier to issuing a finding  
against a foreign entity - it is increasingly clear that Canadian law  
is not up to the challenge of providing effective privacy protection  
in a world of global data flows that do not respect national borders.
Tackling this challenge will not be easy, particularly as the  
Commissioner is asked to address a growing number of concerns  
including spam, spyware, and the threat of secret disclosures  
compelled by U.S. law enforcement.  A starting point, however, is to  
provide the Commissioner with order making power, the unquestioned  
ability to name the names of privacy violators, and the resources  
necessary to meet her mandate.
While a statutory review of Canada's national privacy legislation is  
slated for 2006, there is no need to wait for the review.  With an  
imminent national election call, Canada's political leaders should be  
required to answer a simple question - how are they prepared to  
reform Canadian law to provide meaningful privacy protection in the  
Internet era?
Toronto Star version at
http://geistprivacywakeupcall.notlong.com
Freely available version at
<http://www.michaelgeist.ca/index.php? 
option=com_content&task=view&id=1024>
Best,
MG
--
**********************************************************************
Professor Michael A. Geist
Canada Research Chair in Internet and E-commerce Law
University of Ottawa, Faculty of Law
57 Louis Pasteur St., Ottawa, Ontario, K1N 6N5
Tel: 613-562-5800, x3319     Fax: 613-562-5124
mgeist@xxxxxxxxx              http://www.michaelgeist.ca
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