U.S. Chamber wants self- regulation in e-commerce

The U.S. Chamber of Commerce announced Nov. 24 that while it supports the Department of Commerce's efforts to maintain the uninterrupted flow of data from the European Union to the U.S., any principles governing those data flows should allow for self-regulation and flexibility by the industries involved.

"Free flow of data is crucial to the health of our already vibrant trade relationship with the European Union," said Willard Workman, chamber vice president for international policy, in a news release.

"Requiring U.S. industry to move towards a European approach to online privacy protection would seriously impede continued expansion of the medium that has brought such tremendous growth to the U.S. and global economy," he said.

"U.S. companies should not be held to a higher commercial standard than usual simply to accommodate European privacy rules," said Workman, who added that the chamber advocates the flexible American approach to privacy protection based on self-regulation and industry codes.

Workman also suggested that the Department of Commerce's proposal, "The International Safe Harbor Privacy Principles," be made consistent with guidelines established by the Online Privacy Alliance, a business coalition in which the U.S. Chamber is a member.

These guidelines include:

?All companies that engage in electronic commerce should adopt and implement privacy policies.

?Companies that comply with their industry codes would be considered in the safe harbor and immune from liability imposed by the E.U. Privacy Directives.

?Consumers should be given clear, understandable notice when providing personally identifiable data online.

?Consumers should be able to opt out of giving personal information if the information is used in a way that is unrelated to the original purpose for which it was collected.

?A third-party program such as a "seal of approval" program should handle the enforcement of privacy rules.

?Consumer access should be limited to verifying the accuracy of data.

"Industry self-regulation is the best means of ensuring effective protection of data privacy while preserving the uninterrupted flow of data across the globe," Workman said.

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