E.U. Proposes Data Protection Regulation that would Further the Gap Between U.S. Regulations

Privacy and data security is considered a fundamental right in the E.U. (like the right to free speech or to bear arms in the U.S.). Accordingly, the E.U. has some of the highest standards relating to the use and protection of personal data of its citizens. In Oct. of 2013, the European Parliament Committee on Civil Liberties, Justice and Home Affairs approved an updated version of the E.U. Data Protection Regulation so that it could be socialized among member states in preparation for a vote this spring. The proposed legislative initiative empowers consumers with a “right to erasure” or “right to be forgotten.” Consumers will have the ability to request the removal of any personal data that a particular entity may possess. Egregious violators of the proposed regulation may be subject to penalty of 1 million euros or 2% of annual global revenue (ouch!). Entities seeking to transfer data outside the E.U. would need to obtain prior approval from the E.U. data protection authorities to do so. To the demise of the largest web based analytical driven company based in California that will go unnamed, the proposed legislation requires consumer consent for the practice of profiling and using predictive analysis to evaluate user trends. Stay tuned!