The Obama administration on Friday proposed a bill intending to fill gaps by issuing some baseline information-processing requirements for all sorts of firms.

The new proposed bill, the Customer Privacy Bill of Rights Act, aims to provide American with more handles, fulfilling a promise the president had talked about for years.

But some privacy advocates immediately raised questions on the proposed bill. They said that the new legislation less adequate, specifically given the broad statements President Barack Obama had issued on the challenge.

They said that the bill will provide more flexibility to the providers and customers on the other hand will have no sufficient power.

It has been told that some existing federal laws like the Fair Credit Reporting Act and the Video Privacy Protection Act already limit how companies can use the information of a particular customer.

The Obama administration in a statement on Friday said, “It applies widespread-sense protections to private information collected on the net or offline, regardless of how information is shared. It also promotes practices that can maximize the positive aspects of data evaluation although taking significant measures to minimize risks”.

The proposal calls on industries to develop their personal codes of conduct regarding handling the consumer info.

It also charges the Federal Trade Commission to specify that these codes of conduct satisfy certain specifications like supplying consumers with clear notices about how their personal information will be collected, utilized and shared.

And according to the bill, providers that will violate these requirements could be subject to enforcement actions by the commission or by state attorneys common.
The industry analyst mentioned that the proposal, along with numerous other legislative efforts on commercial privacy, was unlikely to be enacted in a Republican Congress.