THE MAGAZINE

Data security

A bill (H.R. 4127) that would require that companies protect the personal information of customers has been approved by the House Energy and Commerce Committee, the House Judiciary Committee, and the House Financial Services Committee. The bill has now been taken up by the full House. H.R. 4127 would require that any company that holds or transmits individuals’ personal information establish security to protect that information. The bill would also require that information brokers set up reasonable procedures to verify the accuracy of information they collect, assemble, or maintain. H.R. 4127 prohibits information brokers from obtaining or attempting to obtain personal information through false pretenses. The bill defines false pretenses as making false statements or representations or providing counterfeit, lost, stolen, or fraudulently obtained documents.

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