May 10, 2011
Originally appeared as Sony Breach Spurs Call for Tough Legislation in E-Commerce Times
Filed under Consumer Privacy
It is appropriate to question whether enough is being done to solve the data breach problem. Although some state and federal regulations require companies to notify affected consumers of a data breach, the financial and reputational cost of notification may not provide many companies with adequate incentive to properly protect consumers' data in the first place.
A key element in the shifting political winds in Washington is a call for less business regulation, especially from the conservative wing of the now ascendant Republican majority in the U.S. House of Representatives.