Fighting for You: October 2023 Legislative and Regulatory Update - Articles

Articles

26Oct

Fighting for You: October 2023 Legislative and Regulatory Update

As Halloween rapidly approaches, the Insights Association is searching for treats in legislation and regulation while trying to defuse the tricks that may pose a threat to the insights industry. In October, we looked at the FTC and some privacy legislation concerns, argued against proposed state data taxes, analyzed AI regulatory proposals, looked at new non-compete restrictions in California, and new federal registration responsibilities for a lot of small insights businesses.

Consumer privacy and data security

The Federal Trade Commission (FTC), in a proposed rule on consumer data privacy and security expected to be released in the next couple of months, could potentially restrict most work in the insights industry. IA explored what specific acts or practices the FTC might target.

The FTC is operating without a full complement of commissioners, so a Senate committee recently held a hearing to consider the nomination of a pair of new ones -- Andrew Ferguson and Melissa Holyoak -- and the renomination of another -- Rebecca Slaughter.

Elsewhere at the federal level:

  • The You Own the Data Act (YODA Act) would prohibit a lot of data collection, use, and storage by a number of insights companies and organizations, as well as requiring several common consumer data privacy rights, with no preemption of state laws.
  • Bill Cassidy (R-LA) circulated a white paper on a regulatory approach to artificial intelligence (AI) in the health, education, and labor contexts, to which Privacy for America offered helpful recommendations in return, focused on health-related data.

And at the state level:

  • IA submitted testimony for a hearing on the Massachusetts Data Privacy Protection Act (MDPPA), comprehensive privacy legislation modeled on the federal legislation that passed out of a House committee last summer.
  • California's data broker registry was expanded with a new law adding a centralized one-stop consumer data deletion mechanism. Most everyone in the insights ecosystem will feel the downstream effects.

Tax

The Insights Association urged the District of Columbia to reject a proposal that would tax consumer data and testified against a bill in Massachusetts that would levy an excise tax on data collection from Massachusetts consumers by some companies and organizations owning or operating an online focus group or market research online community.

Human Resources

A pair of new California laws now thoroughly ban most non-compete agreements in employment contracts, including ones signed in other states.

Artificial Intelligence (AI)

Draft federal legislation (the AIRIA Act) would regulate potentially risky uses of AI and require transparency when providing content from generative AI. In addition, NIST would be tasked to conduct research and facilitate standards to more clearly distinguish human- and AI-generated content and support standardization of methods for detecting and understanding emergent properties in AI systems in order to mitigate issues stemming from unanticipated behavior. The bill would be enforced primarily by the U.S. Commerce Department.

A recent pair of AI primers may guide how state and federal policymakers approach regulating AI across the economy, including the insights industry, while by a state legislators’ group is promoting “a permissionless innovation approach” to AI regulation.

Also, former Congressman Will Hurd (R-TX), a lesser-known Republican candidate for President in 2024, was the first candidate to propose a policy approach to AI (before dropping out of the race).

Miscellaneous

Beginning on January 1, 2024, a new federal initiative to limit money laundering through corporations, limited liability companies, and other similar legal entities takes effect. This law – the Corporate Transparency Act (CTA) – will require registration with the Financial Crimes Enforcement Network (FinCEN) of the Department of the Treasury for a large percentage of legal entities in the United States (including those engaged in the insights industry) and those that own and control them.

The spooky season in advocacy

The Insights Association can only defend the insights industry from scary policymaking across the U.S. with ample support from IA members and sponsors like you.

We remain available to answer your questions on these and other legislative/regulatory/legal issues. Please keep in touch and happy Halloween!

This information is not intended and should not be construed as or substituted for legal advice. It is provided for informational purposes only. It is advisable to consult with private counsel on the precise scope and interpretation of any laws/regulation/legislation and their impact on your particular business.

About the Author

Howard Fienberg

Howard Fienberg

Based in Washington, DC, Howard is the Insights Association's lobbyist for the marketing research and data analytics industry, focusing primarily on consumer privacy and data security, the Telephone Consumer Protection Act (TCPA), tort reform, and the funding and integrity of the decennial Census and the American Community Survey (ACS). Howard has more than two decades of public policy experience. Before the Insights Association, he worked in Congress as senior legislative staffer for then-Representatives Christopher Cox (CA-48) and Cliff Stearns (FL-06). He also served more than four years with a science policy think tank, working to improve the understanding of scientific and social research and methodology among journalists and policymakers. Howard is also co-director of The Census Project, a 900+ member coalition in support of a fair and accurate Census and ACS. He has also served previously on the Board of Directors for the National Institute for Lobbying and Ethics and and the Association of Government Relations Professionals. Howard has an MA International Relations from the University of Essex in England and a BA Honors Political Studies from Trent University in Canada, and has obtained the Certified Association Executive (CAE), Professional Lobbying Certificate (PLC) and the Public Policy Certificate (PPC). When not running advocacy for the Insights Association, Howard enjoys hockey, NFL football, sci-fi and horror movies, playing with his dog, and spending time with family and friends.

Related

Education and Workforce Freedom Act Passes House Committee - H.R.8915

Education and Workforce Freedom Act Passes House Committee - H.R.8915

A bill supported by the Insights Association -- the Freedom to Invest in Tomorrow’s Workforce Act (...

Read More >
Language-Inclusive Support and Transparency for Online Services Act - LISTOS Act - S. 1801 and H.R. 3806

Language-Inclusive Support and Transparency for Online Services Act - LISTOS Act - S. 1801 and H.R. 3806

The Language-Inclusive Support and Transparency for Online Services Act (LISTOS Act) (S. 1801, H.R. ...

Read More >
Federal Court Puts Hold on FTC Non-Competes Rule

Federal Court Puts Hold on FTC Non-Competes Rule

A new court decision suggests that the Federal Trade Commission (FTC) rules banning most non-compete...

Read More >
Future of AI Innovation Act - S. 4178

Future of AI Innovation Act - S. 4178

The Future of Artificial Intelligence Innovation Act (S. 4178) would establish standards and provide...

Read More >
California AI Transparency Act - S.B. 942

California AI Transparency Act - S.B. 942

The California AI Transparency Act (S.B. 942) passed the Assembly Privacy Committee on June 18, 2024...

Read More >
Florida Vetoes Bill That Would Have Granted ISO Certification Safe Harbor from Data Security Litigation - H.B. 473

Florida Vetoes Bill That Would Have Granted ISO Certification Safe Harbor from Data Security Litigation - H.B. 473

Florida Governor Ron DeSantis (R) vetoed legislation that would have protected companies and organiz...

Read More >
Members only Article - Please login to view