Privacy & Information Security Law Blog

On July 29, 2021, U.S. Representative Rep. Kathy Castor (D-Florida), a member of the House Energy and Commerce Committee, reintroduced the Protecting the Information of our Vulnerable Children and Youth Act (the “Bill”). The Bill would update the Children’s Online Privacy Protection Act (“COPPA”) to, among other requirements: (1) cover teens ages 13-17; (2) expand the categories of information considered to be “personal” (to include physical characteristics, biometric information, health information, education information, contents of messages and calls, browsing and search history, geolocation information, and latent audio or visual recordings); (3) prohibit companies from targeting online advertising to children and teens based on their personal information and behavior; (4) require opt-in consent to process personal information collected from all individuals under age 18; (5) strengthen Federal Trade Commission enforcement of COPPA; (6) provide a private right of action to parents of children and teens; and (7) eliminate the FTC’s recognition of self-regulatory COPPA safe harbor programs.

On July 16, 2021, the Luxembourg data protection authority (Commission nationale pour la protection des donées, “CNPD”) imposed a record-breaking €746 million fine on Amazon Europe Core S.à.r.l. for alleged violations of the EU General Data Protection Regulation (“GDPR”). The CNPD also ordered Amazon to revise certain of its practices. As Amazon has its EU headquarters in Luxembourg, the CNPD acts as Amazon’s lead supervisory authority in the EU.

On July 27, 2021, the Spanish Data Protection Authority (the “AEPD”) imposed a €2,520,000 fine on Spanish supermarket chain Mercadona, S.A. for unlawful use of a facial recognition system.

On June 29, 2021, the UK Department for Digital, Culture, Media and Sport (“DCMS”) published guidance for businesses on child online safety, which includes guidance on data protection and privacy, age-appropriate content, positive user interactions, and protecting children from online sexual exploitation and abuse.

On July 22, 2021, a Magistrate Judge in the U.S. District Court for the Middle District of Pennsylvania (the “Court”) ordered Rutter’s, a convenience-store chain, to produce an investigative report prepared by a security consultant regarding a suspected data breach event, as well as all communications between the party and the company performing the investigation. In the ruling, Rutter’s Data Sec Breach Litig, No. 1:20-cv-000382-JEJ-KM, the Court held that the report and related communications were not protected from disclosure by the work product doctrine or the attorney-client privilege.

On July 22, 2021, the Dutch Data Protection Authority (“Dutch DPA”) announced that it had imposed a €750,000 fine on TikTok for violating the privacy of young children namely for the company’s alleged lack of transparency.

On July 28, 2021, President Biden signed a National Security Memorandum entitled “Improving Cybersecurity for Critical Infrastructure Control Systems” (the “Memorandum”). The Memorandum formally establishes an Industrial Control Systems Cybersecurity Initiative and directs the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency (“CISA”) and the Department of Commerce’s National Institute of Standards and Technology (“NIST”), in collaboration with other agencies, to develop and issue cybersecurity performance goals for critical infrastructure. The Memorandum follows recent high-profile attacks on U.S. critical infrastructure, including ransomware attacks on Colonial Pipeline and JBS Foods.

The California Attorney General (“AG”) recently released a summary of enforcement actions the agency brought against companies in violation of the CCPA since enforcement of the Act began on July 1, 2020. The summary provides 27 illustrative examples of instances in which the AG sent notices of alleged noncompliance with the CCPA and how each company cured the alleged noncompliance.

On July 9, 2021, President Biden signed the Executive Order on Promoting Competition in the American Economy (the “Executive Order”). The stated goal of the Executive Order is to increase competition in the United States and resolve issues related to monopolistic behaviors, including with respect to privacy and data protection.

On July 2, 2021, the Centre for Information Policy Leadership (“CIPL”) at Hunton Andrews Kurth published a white paper on How the Legitimate Interest Ground for Processing for Processing Enables Responsible Data Use and Innovation (the “Paper”). The Paper explains the growing importance of the legitimate interests legal basis for organizations, whether for routine or more complex and innovative data processing activities. It provides recommendations on how this legal basis should be interpreted, used and applied to unlock the value of data in today’s global connected world. Finally, the Paper includes examples of data processing activities where organizations currently rely on the legitimate interests legal basis, illustrated by 16 case studies that describe how organizations balance the legitimate interest of the controller and individuals’ rights and freedoms.