,,ii #aac? ,,congress #b;d ,session ,s4 #aigf ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,janu>y #cj1 #bjad,mr4 ,rockefell] 7= himself1 ,mrs4 ,fe9/e91 ,mr4 ,pryor1 & ,mr4 ,nelson7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,comm]ce1 ,sci5ce1 & ,transportation ,a ,,bill ,to protect consum]s by requir+ reasonable security policies & proc$ures to protect data conta9+ p]sonal in=mation1 & to provide = nationwide notice 9 ! ev5t ( a brea* ( security4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,data ,security & ,brea* ,notification ,act ( #bjad4 #b4 ,requirem5ts = in=mation security 7a7 ,g5]al security policies & proc$ures 7#a7 ,regulations ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 ! ,commission %all promulgate regulations "u section #eec ( title #e1 ,unit$ ,/ates ,code1 to require ea* cov]$ entity t owns or possesses data conta9+ p]sonal in=mation1 or contracts to h any ?ird-p>ty entity ma9ta9 su* data = su* cov]$ entity1 to e/abli% & implem5t policies & proc$ures reg>d+ in=mation security practices = ! treatm5t & protection ( p]sonal in=mation tak+ into consid]ation-- 7,a7 ! size (1 & ! nature1 scope1 & complexity ( ! activities engag$ 9 by su* cov]$ entity2 7,b7 ! curr5t /ate ( ! art 9 adm9i/rative1 te*nical1 & physical safegu>ds = protect+ su* in=mation2 7,c7 ! co/ ( implem5t+ ! safegu>ds "u subp>agraph 7,b72 & 7,d7 ! impact on small bus9esses & nonpr(its4 7#b7 ,requirem5ts ,! regulations %all require ! policies & proc$ures to include ! foll[+3 7,a7 ,a security policy ) respect to ! collection1 use1 sale1 o!r dissem9ation1 & ma9t5ance ( p]sonal in=mation4 7,b7 ,! id5tification ( an (fic] or o!r individual z ! po9t ( contact ) responsibility = ! managem5t ( in=mation security4 7,c7 ,a process = id5tify+ & assess+ any reasonably =eseeable vuln]abilities 9 ea* sy/em ma9ta9$ by ! cov]$ entity t conta9s su* p]sonal in=mation1 :i* %all include regul> monitor+ = a brea* ( security ( ea* su* sy/em4 7,d7 ,a process = tak+ prev5tive & corrective action to mitigate any vuln]abilities id5tifi$ 9 ! process requir$ by subp>agraph 7,c71 :i* may include implem5t+ any *anges to security practices & ! ar*itecture1 in/allation1 or implem5tation ( network or op]at+ s(tw>e4 7,e7 ,a process = dispos+ ( data 9 electronic =m conta9+ p]sonal in=mation by de/roy+1 p]man5tly eras+1 or o!rwise modify+ ! p]sonal in=mation conta9$ 9 su* data to make su* p]sonal in=mation p]man5tly unreadable or indeciph]able4 7,f7 ,a /&>d me?od or me?ods = ! de/ruction ( pap] docum5ts & o!r non-electronic data conta9+ p]sonal in=mation4 7b7 ,limitations 7#a7 ,cov]$ entities subject to ! ,gramm-,lea*-,bliley ,act ,a f9ancial in/itution t is subject to title ,v ( ! ,gramm-,lea*-,bliley ,act 7#ae ,u4,s4,c4 #fhja et seq47 & is 9 compliance ) in=mation security requirem5ts "u t ,act %all be deem$ 9 compliance ) ?is section4 7#b7 ,applicability ( o!r in=mation security requirem5ts ,a p]son :o is subject to1 & 9 compliance )1 ! in=mation security requirem5ts ( section #acdja ( ! ,heal? ,in=mation ,te*nology = ,economic & ,cl9ical ,heal? ,act 7#db ,u4,s4,c4 #agica7 or ( section #aagc7;d7 ( title ,,xi1 "p ,c ( ! ,social ,security ,act 7#db ,u4,s4,c4 #acbj;d-#b7;d77 %all be deem$ 9 compliance ) ?is section ) respect to any data gov]n$ by section #acdja ( ! ,heal? ,in=mation ,te*nology = ,economic & ,cl9ical ,heal? ,act 7#db ,u4,s4,c4 #agica7 or by ! ,heal? ,insurance ,portability & ,acc\ntability ,act ( #aiif ,security ,rule 7#de ,c4,f4,r4 #afj4ajc & ,"p #afd74 7#c7 ,c]ta9 s]vice provid]s ,no?+ 9 ?is section %all apply to a s]vice provid] = any electronic communication by a ?ird p>ty to ! ext5t t ! s]vice provid] is engag$ 9 ! transmission1 r\t+1 or tempor>y1 int]m$iate1 or transi5t /orage ( t communication4 #c4 ,notification ( brea* ( security 7a7 ,nationwide notification ,a cov]$ entity t owns or possesses data 9 electronic =m conta9+ p]sonal in=mation1 foll[+ ! discov]y ( a brea* ( security ( ! sy/em ma9ta9$ by ! cov]$ entity t conta9s su* data1 %all notify-- 7#a7 ea* individual :o is a citiz5 or resid5t ( ! ,unit$ ,/ates & ^: p]sonal in=mation 0 or is reasonably believ$ to h be5 acquir$ or access$ f ! cov]$ entity z a result ( ! brea* ( security2 & 7#b7 ! ,commission1 unless ! cov]$ entity has notifi$ ! designat$ entity "u section #d4 7b7 ,special notification requirem5ts 7#a7 ,?ird-p>ty entities ,9 ! ev5t ( a brea* ( security ( a sy/em ma9ta9$ by a ?ird-p>ty entity t has be5 contract$ to ma9ta9 or process data 9 electronic =m conta9+ p]sonal in=mation on behalf ( any o!r cov]$ entity :o owns or possesses su* data1 ! ?ird-p>ty entity %all notify ! cov]$ entity ( ! brea* ( security4 ,^u receiv+ notification f ! ?ird p>ty entity1 su* cov]$ entity %all provide ! notification requir$ "u subsection 7a74 7#b7 ,s]vice provid]s ,if a s]vice provid] becomes aw>e ( a brea* ( security ( data 9 electronic =m conta9+ p]sonal in=mation t is own$ or possess$ by ano!r cov]$ entity t connects to or uses a sy/em or network provid$ by ! s]vice provid] = ! purpose ( transmitt+1 r\t+1 or provid+ int]m$iate or transi5t /orage ( su* data1 ! s]vice provid] %all notify ( ! brea* ( security only ! cov]$ entity :o initiat$ su* connection1 transmission1 r\t+1 or /orage if su* cov]$ entity c be reasonably id5tifi$4 ,^u receiv+ ! notification f ! s]vice provid]1 ! cov]$ entity %all provide ! notification requir$ "u subsection 7a74 7#c7 ,coord9ation ( notification ) cr$it report+ ag5cies ,if a cov]$ entity is requir$ to provide notification to m ?an #e1jjj individuals "u subsection 7a77#a71 ! cov]$ entity also %all notify ea* major cr$it report+ ag5cy ( ! tim+ & di/ribution ( ! notices1 except :5 ! only p]sonal in=mation t is ! subject ( ! brea* ( security is ! individual's fir/ "n or initial & la/ "n1 or address1 or phone numb]1 9 comb9ation ) a cr$it or debit c>d numb]1 & any requir$ security code4 ,su* notice %all be giv5 to ea* cr$it report+ ag5cy )\t unreasonable delay &1 if x w n delay notice to ! affect$ individuals1 prior to ! di/ribution ( notices to ! affect$ individuals4 7c7 ,timel9ess ( notification ,notification "u subsection 7a7 %all be made-- 7#a7 n lat] ?an #cj days aft] ! date ( discov]y ( a brea* ( security2 or 7#b7 z promptly z possible if ! cov]$ entity provid+ notice c %[ t provid+ notice )9 ! timeframe "u p>agraph 7#a7 is n feasible due to circum/ances necess>y-- 7,a7 to accurately id5tify affect$ consum]s2 7,b7 to prev5t fur!r brea* or unau?oriz$ disclosures2 or 7,c7 to reasonably re/ore ! integrity ( ! data sy/em4 7d7 ,me?od & cont5t ( notification 7#a7 ,direct notification 7,a7 ,me?od ( direct notification ,a cov]$ entity %all be 9 compliance ) ! notification requirem5t "u subsection 7a77#a7 if-- 7i7 ! cov]$ entity provides conspicu\s & cle>ly id5tifi$ notification-- 7,i7 9 writ+2 or 7,,ii7 by e-mail or o!r electronic means if-- 7aa7 ! cov]$ entity's prim>y me?od ( communication ) ! individual is by e-mail or su* o!r electronic means2 or 7bb7 ! individual has cons5t$ to receive notification by e-mail or su* o!r electronic means & su* notification is provid$ 9 a mann] t is consi/5t ) ! provisions p]mitt+ electronic transmission ( notices "u section #aja ( ! ,electronic ,signatures 9 ,global & ,national ,comm]ce ,act 7#ae ,u4,s4,c4 #gjja72 & 7ii7 ! me?od ( notification select$ "u clause 7i7 c reasonably be expect$ to rea* ! int5d$ individual4 7,b7 ,cont5t ( direct notification ,ea* me?od ( direct notification "u subp>agraph 7,a7 %all include-- 7i7 ! date1 e/imat$ date1 or e/imat$ date range ( ! brea* ( security2 7ii7 a description ( ! p]sonal in=mation t 0 or is reasonably believ$ to h be5 acquir$ or access$ z a result ( ! brea* ( security2 7iii7 a telephone numb] t an individual c use at no co/ to ! individual to contact ! cov]$ entity to inquire ab\t ! brea* ( security or ! in=mation ! cov]$ entity ma9ta9$ ab\t t individual2 7iv7 notice t ! individual may be entitl$ to consum] cr$it reports "u subsection 7e77#a72 7v7 in/ructions h[ an individual c reque/ consum] cr$it reports "u subsection 7e77#a72 7vi7 a telephone numb]1 t an individual c use at no co/ to ! individual1 & an address to contact ea* major cr$it report+ ag5cy2 & 7vii7 a telephone numb]1 t an individual c use at no co/ to ! individual1 & an ,int]net ,web site address to obta9 in=mation reg>d+ id5tity !ft f ! ,commission4 7#b7 ,sub/itute notification 7,a7 ,circum/ances giv+ rise to sub/itute notification ,a cov]$ entity requir$ to provide notification to individuals "u subsection 7a77#a7 may provide sub/itute notification in/ead ( direct notification "u p>agraph 7#a7-- 7i7 if direct notification is n feasible due to lack ( suffici5t contact in=mation = ! individual requir$ to be notifi$2 or 7ii7 if ! cov]$ entity owns or possesses data 9 electronic =m conta9+ p]sonal in=mation ( few] ?an #aj1jjj individuals & direct notification is n feasible due to excessive co/ to ! cov]$ entity requir$ to provide su* notification relative to ! res\rces ( su* cov]$ entity1 z det]m9$ 9 accordance ) ! regulations issu$ by ! ,commission "u p>agraph 7#c77;,a74 7,b7 ,me?od ( sub/itute notification ,sub/itute notification "u ?is p>agraph %all include-- 7i7 conspicu\s & cle>ly id5tifi$ notification by e-mail to ! ext5t ! cov]$ entity has an e-mail address = an individual :o is entitl$ to notification "u subsection 7a77#a72 7ii7 conspicu\s & cle>ly id5tifi$ notification on ! ,int]net ,web site ( ! cov]$ entity if ! cov]$ entity ma9ta9s an ,int]net ,web site2 & 7iii7 notification to pr9t & to broadca/ m$ia1 includ+ major m$ia 9 metropolitan & rural areas :]e ! individuals ^: p]sonal in=mation 0 acquir$ reside4 7,c7 ,cont5t ( sub/itute notification ,ea* me?od ( sub/itute notification "u ?is p>agraph %all include-- 7i7 ! date1 e/imat$ date1 or e/imat$ date range ( ! brea* ( security2 7ii7 a description ( ! types ( p]sonal in=mation t 7 or are reasonably believ$ to h be5 acquir$ or access$ z a result ( ! brea* ( security2 7iii7 notice t an individual may be entitl$ to consum] cr$it reports "u subsection 7e77#a72 7iv7 in/ructions h[ an individual c reque/ consum] cr$it reports "u subsection 7e77#a72 7v7 a telephone numb] t an individual c use at no co/ to ! individual to le>n :e!r ! individual's p]sonal in=mation is includ$ 9 ! brea* ( security2 7vi7 a telephone numb]1 t an individual c use at no co/ to ! individual1 & an address to contact ea* major cr$it report+ ag5cy2 & 7vii7 a telephone numb]1 t an individual c use at no co/ to ! individual1 & an ,int]net ,web site address to obta9 in=mation reg>d+ id5tity !ft f ! ,commission4 7#c7 ,regulations & guidance 7,a7 ,regulations ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 ! ,commission1 by regulation "u section #eec ( title #e1 ,unit$ ,/ates ,code1 %all e/abli% crit]ia = det]m9+ circum/ances "u :i* sub/itute notification may be provid$ "u section #c7;d77#b7 ( ?is ,act1 includ+ crit]ia = det]m9+ if direct notification "u section #c7;d77#a7 ( ?is ,act is n feasible due to excessive co/s to ! cov]$ entity requir$ to provide su* notification relative to ! res\rces ( su* cov]$ entity4 ,! regulations may also id5tify o!r circum/ances :]e sub/itute notification w\ld be appropriate1 includ+ circum/ances "u :i* ! co/ ( provid+ direct notification exce$s ! b5efits to consum]s4 7,b7 ,guidance ,9 addition1 ! ,commission1 9 consultation ) ! ,small ,bus9ess ,adm9i/ration1 %all provide & publi% g5]al guidance ) respect to compliance ) ?is subsection4 ,! guidance %all include-- 7i7 a description ( writt5 or e-mail notification t complies ) p>agraph 7#a72 & 7ii7 guidance on ! cont5t ( sub/itute notification "u p>agraph 7#b71 includ+ ! ext5t ( notification to pr9t & broadca/ m$ia t complies ) p>agraph 7#b77;,b77iii74 7e7 ,o!r obligations foll[+ brea* 7#a7 ,9 g5]al ,n lat] ?an #fj days aft] ! date ( reque/ by an individual :o receiv$ notification "u subsection 7a77#a7 & qu>t]ly !reaft] = #b ye>s1 a cov]$ entity requir$ to provide notification "u subsection 7a77#a7 %all provide1 or arrange = ! provision (1 to ! individual at no co/1 consum] cr$it reports f at lea/ #a major cr$it report+ ag5cy4 7#b7 ,limitation ,?is subsection %all n apply if ! only p]sonal in=mation t is ! subject ( ! brea* ( security is ! individual's fir/ "n or initial & la/ "n1 or address1 or phone numb]1 9 comb9ation ) a cr$it or debit c>d numb]1 & any requir$ security code4 7#c7 ,rulemak+ ,! ,commission's rulemak+ "u subsection 7d77#c7 %all include-- 7,a7 det]m9ation ( ! circum/ances "u :i* a cov]$ entity requir$ to provide notification "u subsection 7a77#a7 mu/ provide or arrange = ! provision ( free consum] cr$it reports2 & 7,b7 e/abli%m5t ( a simple process "u :i* a cov]$ entity t is a small bus9ess or small non-pr(it organization may reque/ a full or a p>tial waiv] or a modifi$ or an alt]native means ( comply+ ) ?is subsection if provid+ free consum] cr$it reports is n feasible due to excessive co/s relative to ! res\rces ( su* cov]$ entity & relative to ! level ( h>m1 to affect$ individuals1 caus$ by ! brea* ( security4 7f7 ,delay ( ,notification ,au?oriz$ = ,national ,security & ,law ,en=cem5t ,purposes 7#a7 ,9 g5]al ,if ! ,unit$ ,/ates ,secret ,s]vice or ! ,f$]al ,bureau ( ,inve/igation det]m9es t notification "u ?is section w\ld imp$e a crim9al inve/igation or a national security activity1 notification %all be delay$ ^u writt5 notice f ! ,unit$ ,/ates ,secret ,s]vice or ! ,f$]al ,bureau ( ,inve/igation to ! cov]$ entity t exp]i5c$ ! brea* ( security4 ,writt5 notice f ! ,unit$ ,/ates ,secret ,s]vice or ! ,f$]al ,bureau ( ,inve/igation %all specify ! p]iod ( delay reque/$ = national security or law en=cem5t purposes4 7#b7 ,subsequ5t delay ( notification 7,a7 ,9 g5]al ,a cov]$ entity %all provide notification "u ?is section n lat] ?an #cj days aft] ! day t ! delay 0 invok$ unless a ,f$]al law en=cem5t or intellig5ce ag5cy provides subsequ5t writt5 notice to ! cov]$ entity t fur!r delay is necess>y4 7,b7 ,writt5 ju/ification requirem5ts 7i7 ,unit$ ,/ates ,secret ,s]vice ,if ! ,unit$ ,/ates ,secret ,s]vice in/ructs a cov]$ entity to delay notification "u ?is section beyond ! #cj-;day p]iod "u subp>agraph 7,a7 7ref]r$ to 9 ?is clause z subsequ5t delay71 ! ,unit$ ,/ates ,secret ,s]vice %all submit writt5 ju/ification = ! subsequ5t delay to ! ,secret>y ( ,homel& ,security be=e ! subsequ5t delay beg9s4 7ii7 ,f$]al ,bureau ( ,inve/igation ,if ! ,f$]al ,bureau ( ,inve/igation in/ructs a cov]$ entity to delay notification "u ?is section beyond ! #cj-;day p]iod "u subp>agraph 7,a7 7ref]r$ to 9 ?is clause z subsequ5t delay71 ! ,f$]al ,bureau ( ,inve/igation %all submit writt5 ju/ification = ! subsequ5t delay to ! ,attorney ,g5]al be=e ! subsequ5t delay beg9s4 7#c7 ,law en=cem5t immunity ,no cause ( action %all lie 9 any c\rt aga9/ any ,f$]al ag5cy = acts relat+ to ! delay ( notification = national security or law en=cem5t purposes "u ?is ,act4 7g7 ,g5]al ,exemption 7#a7 ,9 g5]al ,a cov]$ entity %all be exempt f ! requirem5ts "u ?is section if1 foll[+ a brea* ( security1 ! cov]$ entity reasonably concludes t !re is no reasonable risk ( id5tity !ft1 fraud1 or o!r unlawful conduct4 7#b7 ,presumption 7,a7 ,9 g5]al ,!re %all be a presumption t no reasonable risk ( id5tity !ft1 fraud1 or o!r unlawful conduct exi/s foll[+ a brea* ( security if-- 7i7 ! data is r5d]$ unusable1 unreadable1 or indeciph]able ?r\gh a security te*nology or me?odology2 & 7ii7 ! security te*nology or me?odology "u clause 7i7 is g5]ally accept$ by exp]ts 9 ! in=mation security field4 7,b7 ,rebuttal ,! presumption "u subp>agraph 7,a7 may be rebutt$ by facts demon/rat+ t ! security te*nology or me?odology 9 a specific case has be5 or is reasonably likely to be compromis$4 7#c7 ,te*nologies or ,me?odologies ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 & bi5nially !reaft]1 ! ,commission1 aft] consultation ) ! ,national ,in/itute ( ,/&>ds & ,te*nology1 %all issue rules 7pursuant to section #eec ( title #e1 ,unit$ ,/ates ,code7 or guidance to id5tify ea* security te*nology & me?odology "u p>agraph 7#b74 ,9 id5tify+ ea* su* security te*nology & me?odology1 ! ,commission & ! ,national ,in/itute ( ,/&>ds & ,te*nology %all-- 7,a7 consult ) relevant indu/ries1 consum] organizations1 data security & id5tity !ft prev5tion exp]ts1 & e/abli%$ /&>ds sett+ bodies2 & 7,b7 consid] :e!r & 9 :at circum/ances a security te*nology or me?odology curr5tly 9 use1 su* z encryption1 complies ) ! /&>ds "u p>agraph 7#b74 7#d7 ,,ftc guidance ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 ! ,commission1 aft] consultation ) ! ,national ,in/itute ( ,/&>ds & ,te*nology1 %all issue guidance reg>d+ ! application ( ! exemption "u p>agraph 7#a74 7h7 ,exemptions = national security & law en=cem5t purposes 7#a7 ,9 g5]al ,a cov]$ entity %all be exempt f ! requirem5ts "u ?is section if-- 7,a7 a det]m9ation is made-- 7i7 by ! ,unit$ ,/ates ,secret ,s]vice or ! ,f$]al ,bureau ( ,inve/igation t notification ( ! brea* ( security c\ld be reasonably expect$ to reveal s5sitive s\rces & me?ods or simil>ly imp$e ! ability ( ! ,gov]nm5t to conduct law en=cem5t or intellig5ce inve/igations2 or 7ii7 by ! ,f$]al ,bureau ( ,inve/igation t notification ( ! brea* ( security c\ld be reasonably expect$ to cause damage to ! national security2 & 7,b7 ! ,unit$ ,/ates ,secret ,s]vice or ! ,f$]al ,bureau ( ,inve/igation1 z ! case may be1 provides writt5 notice ( its det]m9ation "u subp>agraph 7,a7 to ! cov]$ entity4 7#b7 ,unit$ ,/ates ,secret ,s]vice ,if ! ,unit$ ,/ates ,secret ,s]vice invokes an exemption "u p>agraph 7#a71 ! ,unit$ ,/ates ,secret ,s]vice %all submit writt5 ju/ification = invok+ ! exemption to ! ,secret>y ( ,homel& ,security be=e ! exemption is invok$4 7#c7 ,f$]al ,bureau ( ,inve/igation ,if ! ,f$]al ,bureau ( ,inve/igation invokes an exemption "u p>agraph 7#a71 ! ,f$]al ,bureau ( ,inve/igation %all submit writt5 ju/ification = invok+ ! exemption to ! ,attorney ,g5]al be=e ! exemption is invok$4 7#d7 ,immunity ,no cause ( action %all lie 9 any c\rt aga9/ any ,f$]al ag5cy = acts relat+ to ! exemption f notification = national security or law en=cem5t purposes "u ?is ,act4 7#e7 ,reports ,n lat] ?an #ah mon?s aft] ! date ( enactm5t ( ?is ,act1 & ^u reque/ by ,congress !reaft]1 ! ,unit$ ,/ates ,secret ,s]vice & ,f$]al ,bureau ( ,inve/igation %all submit to ,congress a report on ! numb] & nature ( brea*es ( security subject to ! exemptions = national security & law en=cem5t purposes "u ?is subsection4 7i7 ,f9ancial fraud prev5tion exemption 7#a7 ,9 g5]al ,a cov]$ entity %all be exempt f ! requirem5ts "u ?is section if ! cov]$ entity utilizes or p>ticipates 9 a security program t-- 7,a7 effectively blocks ! use ( ! p]sonal in=mation to initiate an unau?oriz$ f9ancial transaction be=e x is *>g$ to ! acc\nt ( ! individual2 & 7,b7 provides notice to ea* affect$ individual aft] a brea* ( security t result$ 9 attempt$ fraud or an attempt$ unau?oriz$ transaction4 7#b7 ,limitations ,an exemption "u p>agraph 7#a7 %all n apply if-- 7,a7 ! brea* ( security includes p]sonal in=mation1 o!r ?an a cr$it c>d numb] or cr$it c>d security code1 ( any type2 or 7,b7 ! brea* ( security includes bo? ! individual's cr$it c>d numb] & ! individual's fir/ & la/ "n4 7j7 ,f9ancial in/itutions regulat$ by ,f$]al functional regulators 7#a7 ,9 g5]al ,a cov]$ f9ancial in/itution %all be deem$ 9 compliance ) ?is section if-- 7,a7 ! ,f$]al functional regulator ) jurisdiction ov] ! cov]$ f9ancial in/itution has issu$ a /&>d by regulation or guidel9e "u title ,v ( ! ,gramm-,lea*-,bliley ,act 7#ae ,u4,s4,c4 #fhja et seq47 t-- 7i7 requires f9ancial in/itutions )9 its jurisdiction to provide notification to individuals foll[+ a brea* ( security2 & 7ii7 provides protections sub/antially simil> to1 or great] ?an1 ^? requir$ "u ?is ,act2 & 7,b7 ! cov]$ f9ancial in/itution is 9 compliance ) ! /&>d "u subp>agraph 7,a74 7#b7 ,def9itions ,9 ?is subsection-- 7,a7 ! t]m cov]$ f9ancial in/itution means a f9ancial in/itution t is subject to-- 7i7 ! data security requirem5ts ( ! ,gramm-,lea*-,bliley ,act 7#ae ,u4,s4,c4 #fhja et seq472 7ii7 any implem5t+ /&>d issu$ by regulation or guidel9e issu$ "u t ,act2 & 7iii7 ! jurisdiction ( a ,f$]al functional regulator "u t ,act2 7,b7 ! t]m ,f$]al functional regulator has ! mean+ giv5 ! t]m 9 section #eji ( ! ,gramm-,lea*-,bliley ,act 7#ae ,u4,s4,c4 #fhji72 & 7,c7 ! t]m f9ancial in/itution has ! mean+ giv5 ! t]m 9 section #eji ( ! ,gramm-,lea*-,bliley ,act 7#ae ,u4,s4,c4 #fhji74 7k7 ,exemption2 heal? privacy 7#a7 ,cov]$ entity or bus9ess associate "u ,,hite* ,act ,to ! ext5t t a cov]$ entity "u ?is ,act acts z a cov]$ entity or a bus9ess associate "u section #acdjb ( ! ,heal? ,in=mation ,te*nology = ,economic & ,cl9ical ,heal? ,act 7#db ,u4,s4,c4 #agicb71 has ! obligation to provide notification to individuals foll[+ a brea* ( security "u t ,act or its implem5t+ regulations1 & is 9 compliance ) t obligation1 ! cov]$ entity %all be deem$ 9 compliance ) ?is section4 7#b7 ,entity subject to ,,hite* ,act ,to ! ext5t t a cov]$ entity "u ?is ,act acts z a v5dor ( p]sonal heal? records1 a ?ird p>ty s]vice provid]1 or o!r entity subject to section #acdjg ( ! ,heal? ,in=mation ,te*nology = ,economical & ,cl9ical ,heal? ,act 7#db ,u4,s4,c4 #agicg71 has ! obligation to provide notification to individuals foll[+ a brea* ( security "u t ,act or its implem5t+ regulations1 & is 9 compliance ) t obligation1 ! cov]$ entity %all be deem$ 9 compliance ) ?is section4 7#c7 ,limitation ( /atutory con/ruction ,no?+ 9 ?is ,act may be con/ru$ 9 any way to give effect to ! sunset provision "u section #acdjg7;g77#b7 ( ! ,heal? ,in=mation ,te*nology = ,economic & ,cl9ical ,heal? ,act 7#db ,u4,s4,c4 #agicg7;g77#b77 or to o!rwise limit or affect ! applicability1 "u section #acdjg ( t ,act1 ( ! requirem5t to provide notification to individuals foll[+ a brea* ( security = v5dors ( p]sonal heal? records & ea* entity describ$ 9 clause 7ii71 7iii71 or 7iv7 ( section #acdbd7;b77#a77;,a7 ( t ,act 7#db ,u4,s4,c4 #agiec7;b77#a77;,a774 7l7 ,web site notice ( ,f$]al ,trade ,commission ,if ! ,commission1 ^u receiv+ notification ( any brea* ( security t is report$ to ! ,commission1 f9ds t notification ( ! brea* ( security via ! ,commission's ,int]net ,web site w\ld be 9 ! public int]e/ or = ! protection ( consum]s1 ! ,commission %all place su* a notice 9 a cle> & conspicu\s location on its ,int]net ,web site4 7m7 ,,ftc /udy on notification 9 languages 9 addition to ,engli% ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 ! ,commission %all conduct a /udy on ! practicality & co/ effectiv5ess ( requir+ ! direct notification requir$ by subsection 7d77#a7 to be provid$ 9 a language 9 addition to ,engli% to individuals kn[n to speak only su* o!r language4 7n7 ,g5]al rulemak+ au?ority ,! ,commission may promulgate regulations necess>y "u section #eec ( title #e1 ,unit$ ,/ates ,code1 to effectively en=ce ! requirem5ts ( ?is section4 #d4 ,notice to law en=cem5t 7a7 ,designation ( gov]nm5t entity ,to receive notice ,n lat] ?an #fj days aft] ! date ( enactm5t ( ?is ,act1 ! ,secret>y ( ! ,dep>tm5t ( ,homel& ,security %all designate a ,f$]al ,gov]nm5t entity to receive notice "u ?is section4 7b7 ,notice ,a cov]$ entity %all notify ! designat$ entity ( a brea* ( security if-- 7#a7 ! numb] ( individuals ^: p]sonal in=mation 01 or is reasonably believ$ to h be51 acquir$ or assess$ z a result ( ! brea* ( security exce$s #aj1jjj2 7#b7 ! brea* ( security involves a database1 network$ or integrat$ databases1 or o!r data sy/em conta9+ ! p]sonal in=mation ( m ?an #a1jjj1jjj individuals2 7#c7 ! brea* ( security involves databases own$ by ! ,f$]al ,gov]nm5t2 or 7#d7 ! brea* ( security involves prim>ily p]sonal in=mation ( individuals kn[n to ! cov]$ entity to be employees or contractors ( ! ,f$]al ,gov]nm5t involv$ 9 national security or law en=cem5t4 7c7 ,cont5t ( notices 7#a7 ,9 g5]al ,ea* notice "u subsection 7b7 %all conta9-- 7,a7 ! date1 e/imat$ date1 or e/imat$ date range ( ! brea* ( security2 7,b7 a description ( ! nature ( ! brea* ( security2 7,c7 a description ( ea* type ( p]sonal in=mation t 0 or is reasonably believ$ to h be5 acquir$ or access$ z a result ( ! brea* ( security2 & 7,d7 a /atem5t ( ea* p>agraph "u subsection 7b7 t applies to ! brea* ( security4 7#b7 ,con/ruction ,no?+ 9 ?is section %all be con/ru$ to require a cov]$ entity to reveal specific or id5tify+ in=mation ab\t an individual z "p ( ! notice "u p>agraph 7#a74 7d7 ,responsibilities ( ! designat$ entity ,! designat$ entity %all promptly provide ea* notice x receives "u subsection 7b7 to-- 7#a7 ! ,unit$ ,/ates ,secret ,s]vice2 7#b7 ! ,f$]al ,bureau ( ,inve/igation2 7#c7 ! ,f$]al ,trade ,commission2 7#d7 ! ,unit$ ,/ates ,po/al ,inspection ,s]vice1 if ! brea* ( security involves mail fraud2 7#e7 ! attorney g5]al ( ea* ,/ate affect$ by ! brea* ( security2 & 7#f7 z appropriate1 o!r ,f$]al ag5cies = law en=cem5t1 national security1 or data security purposes4 7e7 ,tim+ ( notices ,notice "u ?is section %all be deliv]$ z foll[s3 7#a7 ,notice "u subsection 7b7 %all be deliv]$ z promptly z possible1 b-- 7,a7 n less ?an #c bus9ess days be=e notification to an individual "u section #c2 & 7,b7 n lat] ?an #aj days aft] ! date ( discov]y ( ! ev5ts requir+ notice4 7#b7 ,notice "u subsection 7d7 %all be deliv]$ z promptly z possible1 b n lat] ?an #a bus9ess day aft] ! date t ! designat$ entity receives notice ( a brea* ( security f a cov]$ entity4 #e4 ,application & en=cem5t 7a7 ,g5]al application ,! requirem5ts ( sections #b & #c %all apply to-- 7#a7 ^? p]sons1 p>tn]%ips1 or corporations ov] :i* ! ,commission has au?ority "u section #e7;a77#b7 ( ! ,f$]al ,trade ,commission ,act 7#ae ,u4,s4,c4 #de7;a77#b772 & 7#b7 not)/&+ sections #d & #e7;a77#b7 ( ! ,f$]al ,trade ,commission ,act 7#ae ,u4,s4,c4 #dd & #de7;a77#b771 any non-pr(it organization1 includ+ any organization describ$ 9 section #eja7;c7 ( ! ,int]nal ,rev5ue ,code ( #aihf t is exempt f taxation "u section #eja7;a7 ( ! ,int]nal ,rev5ue ,code ( #aihf4 7b7 ,opt-,9 = c]ta9 o!r entities 7#a7 ,9 g5]al ,not)/&+ sections #d & #e7;a77#b7 ( ! ,f$]al ,trade ,commission ,act 7#ae ,u4,s4,c4 #dd & #de7;a77#b771 ! requirem5ts ( section #c %all apply to any o!r cov]$ entity n includ$ "u subsection 7a7 t ent]s into an agreem5t ) ! ,commission "u :i* t cov]$ entity w\ld be subject to section #c ) respect to any acts or omissions t occur :ile ! agreem5t is 9 effect & t may con/itute a violation ( section #c1 if-- 7,a7 n less ?an #cj days prior to ent]+ into ! agreem5t ) ! p]son or entity1 ! ,commission publi%es notice 9 ! ,f$]al ,regi/] ( ! ,commission's int5t to ent] into ! agreem5t2 & 7,b7 n lat] ?an #ad bus9ess days aft] ent]+ into ! agreem5t ) ! p]son or entity1 ! ,commission publi%es 9 ! ,f$]al ,regi/]-- 7i7 notice ( ! agreem5t2 7ii7 ! id5tity ( ea* p]son or entity cov]$ by ! agreem5t2 & 7iii7 ! effective date ( ! agreem5t4 7#b7 ,con/ruction 7,a7 ,o!r ,f$]al law ,an agreem5t "u p>agraph 7#a7 %all n effect a cov]$ entity's obligation to provide notice ( a brea* ( security or simil> ev5t "u any o!r ,f$]al law4 7,b7 ,no preemption prior to valid agreem5t ,subsections 7a77#b7 & 7b7 ( section #g %all n apply to a brea* ( security t occurs be=e a valid agreem5t "u p>agraph 7#a7 is 9 effect4 7c7 ,en=cem5t by ! ,f$]al ,trade ,commission 7#a7 ,unfair or deceptive acts or practices ,a violation ( section #b or #c ( ?is ,act %all be treat$ z an unfair & deceptive act or practice 9 violation ( a regulation "u section #ah7;a77#a77;,b7 ( ! ,f$]al ,trade ,commission ,act 7#ae ,u4,s4,c4 #eg;a7a77#a77;,b77 reg>d+ unfair or deceptive acts or practices4 7#b7 ,p[]s ( commission ,! ,commission %all en=ce ?is ,act 9 ! same mann]1 by ! same means1 ) ! same jurisdiction1 except z provid$ 9 subsections 7a77#b7 & 7b7 ( ?is section1 & ) ! same p[]s & duties z ?\gh all applicable t]ms & provisions ( ! ,f$]al ,trade ,commission ,act 7#ae ,u4,s4,c4 #da et seq47 7 incorporat$ into & made a "p ( ?is ,act4 ,any cov]$ entity :o violates su* regulations %all be subject to ! p5alties & entitl$ to ! privileges & immunities provid$ 9 t ,act4 7#c7 ,limitation ,9 promulgat+ rules "u ?is ,act1 ! ,commission %all n require ! deploym5t or use ( any specific products or te*nologies1 includ+ any specific comput] s(tw>e or h>dw>e4 7d7 ,en=cem5t by ,/ate attorneys g5]al 7#a7 ,civil action ,9 any case 9 :i* ! attorney g5]al ( a ,/ate1 or an (ficial or ag5cy ( a ,/ate1 has reason to believe t an int]e/ ( ! resid5ts ( t ,/ate has be5 or is ?reat5$ or adv]sely affect$ by any cov]$ entity :o violates section #b or section #c ( ?is ,act1 ! attorney g5]al1 (ficial1 or ag5cy ( ! ,/ate1 z p>5s patriae1 may br+ a civil action on behalf ( ! resid5ts ( ! ,/ate 9 a di/rict c\rt ( ! ,unit$ ,/ates ( appropriate jurisdiction-- 7,a7 to enjo9 fur!r violation ( su* section by ! def5dant2 7,b7 to compel compliance ) su* section2 or 7,c7 to obta9 civil p5alties 9 ! am\nt det]m9$ "u p>agraph 7#b74 7#b7 ,civil p5alties 7,a7 ,calculation 7i7 ,treatm5t ( violations ( section #b ,= purposes ( p>agraph 7#a77;,c7 ) reg>d to a violation ( section #b1 ! am\nt det]m9$ "u ?is p>agraph is ! am\nt calculat$ by multiply+ ! numb] ( days t a cov]$ entity is n 9 compliance ) su* section by an am\nt n great] ?an #aa1jjj4 7ii7 ,treatm5t ( violations ( section #c ,= purposes ( p>agraph 7#a77;,c7 ) reg>d to a violation ( section #c1 ! am\nt det]m9$ "u ?is p>agraph is ! am\nt calculat$ by multiply+ ! numb] ( violations ( su* section by an am\nt n great] ?an #aa1jjj4 ,ea* failure to s5d notification z requir$ "u section #c to a resid5t ( ! ,/ate %all be treat$ z a sep>ate violation4 7,b7 ,adju/m5t = inflation ,beg9n+ on ! date t ! ,consum] ,price ,index is fir/ publi%$ by ! ,bureau ( ,labor ,/ati/ics t is aft] #a ye> aft] ! date ( enactm5t ( ?is ,act1 & ea* ye> !reaft]1 ! am\nts specifi$ 9 clauses 7i7 & 7ii7 ( subp>agraph 7,a7 & 9 clauses 7i7 & 7ii7 ( subp>agraph 7,c7 %all be increas$ by ! p]c5tage increase 9 ! ,consum] ,price ,index publi%$ on t date f ! ,consum] ,price ,index publi%$ ! previ\s ye>4 7,c7 ,maximum total liability ,not)/&+ ! numb] ( actions :i* may be br\ght aga9/ a cov]$ entity "u ?is subsection1 ! maximum civil p5alty = :i* any cov]$ entity may be liable "u ?is subsection %all n exce$-- 7i7 #e1jjj1jjj = ea* violation ( section #b2 & 7ii7 #e1jjj1jjj = all violations ( section #c result+ f a s+le brea* ( security4 7#c7 ,int]v5tion by ! ,,ftc 7,a7 ,notice & int]v5tion ,! ,/ate %all provide prior writt5 notice ( any action "u p>agraph 7#a7 to ! ,commission & provide ! ,commission ) a copy ( its compla9t1 except 9 any case 9 :i* su* prior notice is n feasible1 9 :i* case ! ,/ate %all s]ve su* notice imm$iately ^u comm5c+ su* action4 ,! ,commission %all h ! "r-- 7i7 to int]v5e 9 ! action2 7ii7 ^u s int]v5+1 to be he>d on all matt]s aris+ !re92 & 7iii7 to file petitions = appeal4 7,b7 ,limitation on ,/ate action :ile ,f$]al action is p5d+ ,if ! ,commission has in/itut$ a civil action = violation ( ?is ,act1 no ,/ate attorney g5]al1 or (ficial or ag5cy ( a ,/ate1 may br+ an action "u ?is subsection dur+ ! p5d5cy ( t action aga9/ any def5dant nam$ 9 ! compla9t ( ! ,commission = any violation ( ?is ,act alleg$ 9 ! compla9t4 7#d7 ,con/ruction ,= purposes ( br++ any civil action "u p>agraph 7#a71 no?+ 9 ?is ,act %all be con/ru$ to prev5t an attorney g5]al ( a ,/ate f ex]cis+ ! p[]s conf]r$ on ! attorney g5]al by ! laws ( t ,/ate-- 7,a7 to conduct inve/igations2 7,b7 to adm9i/] oa?s or affirmations2 or 7,c7 to compel ! att5dance ( witnesses or ! production ( docum5t>y & o!r evid5ce4 7e7 ,notice to ,law ,en=cem5t2 ,civil ,en=cem5t by ,attorney ,g5]al 7#a7 ,9 g5]al ,! ,attorney ,g5]al may br+ a civil action 9 ! appropriate ,unit$ ,/ates di/rict c\rt aga9/ any cov]$ entity t engages 9 conduct con/itut+ a violation ( section #d4 7#b7 ,p5alties 7,a7 ,9 g5]al ,^u pro( ( su* conduct by a prepond]ance ( ! evid5ce1 a cov]$ entity %all be subject to a civil p5alty ( n m ?an #a1jjj p] individual ^: p]sonal in=mation 0 or is reasonably believ$ to h be5 access$ or acquir$ z a result ( ! brea* ( security t is ! basis ( ! violation1 up to a maximum ( #ajj1jjj p] day :ile su* violation p]si/s4 7,b7 ,limitations ,! total am\nt ( ! civil p5alty assess$ "u ?is subsection aga9/ a cov]$ entity = acts or omissions relat+ to a s+le brea* ( security %all n exce$ #a1jjj1jjj1 unless ! conduct con/itut+ a violation ( section #d 0 willful or int5tional1 9 :i* case an additional civil p5alty ( up to #a1jjj1jjj may be impos$4 7,c7 ,adju/m5t = inflation ,beg9n+ on ! date t ! ,consum] ,price ,index is fir/ publi%$ by ! ,bureau ( ,labor ,/ati/ics t is aft] #a ye> aft] ! date ( enactm5t ( ?is ,act1 & ea* ye> !reaft]1 ! am\nts specifi$ 9 subp>agraphs 7,a7 & 7,b7 %all be increas$ by ! p]c5tage increase 9 ! ,consum] ,price ,index publi%$ on t date f ! ,consum] ,price ,index publi%$ ! previ\s ye>4 7#c7 ,injunctive actions ,if x appe>s t a cov]$ entity has engag$1 or is engag$1 9 any act or practice t con/itutes a violation ( section #d1 ! ,attorney ,g5]al may petition an appropriate ,unit$ ,/ates di/rict c\rt = an ord] enjo9+ su* practice or en=c+ compliance ) section #d4 7#d7 ,issuance ( ord] ,a c\rt may issue su* an ord] "u p>agraph 7#c7 if x f9ds t ! conduct 9 "q con/itutes a violation ( section #d4 7f7 ,concealm5t ( brea*es ( security 7#a7 ,9 g5]al ,*apt] #dg ( title #ah1 ,unit$ ,/ates ,code1 is am5d$ by add+ at ! end ! foll[+3 #ajda4 ,concealm5t ( brea*es ( security involv+ p]sonal in=mation 7a7 ,9 g5]al ,any p]son :o1 hav+ k ( a brea* ( security & ( ! fact t notification ( ! brea* ( security is requir$ "u ! ,data ,security & ,brea* ,notification ,act ( #bjad1 int5tionally & willfully conceals ! fact ( ! brea* ( security1 %all1 9 ! ev5t t ! brea* ( security results 9 economic h>m to any individual 9 ! am\nt ( #a1jjj or m1 be f9$ "u ?is title1 imprison$ = n m ?an #e ye>s1 or bo?4 7b7 ,p]son def9$ ,= purposes ( subsection 7a71 ! t]m p]son has ! same mean+ z 9 section #ajcj7;e77#ab7 ( ?is title4 7c7 ,en=cem5t au?ority 7#a7 ,9 g5]al ,! ,unit$ ,/ates ,secret ,s]vice & ! ,f$]al ,bureau ( ,inve/igation %all h ! au?ority to inve/igate (f5ses "u ?is section4 7#b7 ,con/ruction ,! au?ority grant$ 9 p>agraph 7#a7 %all n be exclusive ( any exi/+ au?ority held by any o!r ,f$]al ag5cy4 4 7#b7 ,con=m+ & te*nical am5dm5ts ,! table ( sections = *apt] #dg ( title #ah1 ,unit$ ,/ates ,code1 is am5d$ by add+ at ! end ! foll[+3 #ajda4 ,concealm5t ( brea*es ( security involv+ p]sonal in=mation4 4 #f4 ,def9itions ,9 ?is ,act3 7#a7 ,brea* ( security 7,a7 ,9 g5]al ,! t]m brea* ( security means compromise ( ! security1 confid5tiality1 or integrity (1 or loss (1 data 9 electronic =m t results 91 or !re is a reasonable basis to conclude has result$ 91 unau?oriz$ access to or acquisition ( p]sonal in=mation f a cov]$ entity4 7,b7 ,exclusions ,! t]m brea* ( security does n include-- 7i7 a good fai? acquisition ( p]sonal in=mation by a cov]$ entity1 or an employee or ag5t ( a cov]$ entity1 if ! p]sonal in=mation is n subject to fur!r use or unau?oriz$ disclosure2 7ii7 any lawfully au?oriz$ inve/igative1 protective1 or intellig5ce activity ( a law en=cem5t or an intellig5ce ag5cy ( ! ,unit$ ,/ates1 a ,/ate1 or a political subdivision ( a ,/ate2 or 7iii7 ! release ( a public record n o!rwise subject to confid5tiality or nondisclosure requirem5ts4 7#b7 ,commission ,! t]m ,commission means ! ,f$]al ,trade ,commission4 7#c7 ,cov]$ entity ,! t]m cov]$ entity means a sole proprietor%ip1 p>tn]%ip1 corporation1 tru/1 e/ate1 coop]ative1 association1 or o!r comm]cial entity1 & any *>itable1 educational1 or nonpr(it organization1 t acquires1 ma9ta9s1 or utilizes p]sonal in=mation4 7#d7 ,data 9 electronic =m ,! t]m data 9 electronic =m means any data /or$ electronically or digitally on any comput] sy/em or o!r database1 includ+ recordable tapes & o!r mass /orage devices4 7#e7 ,designat$ entity ,! t]m designat$ entity means ! ,f$]al ,gov]nm5t entity designat$ by ! ,secret>y ( ,homel& ,security "u section #d4 7#f7 ,encryption ,! t]m encryption means ! protection ( data 9 electronic =m 9 /orage or 9 transit us+ an encryption te*nology t has be5 adopt$ by an e/abli%$ /&>ds sett+ body :i* r5d]s su* data indeciph]able 9 ! abs5ce ( associat$ cryptographic keys necess>y to enable decryption ( su* data4 ,su* encryption mu/ include appropriate managem5t & safegu>ds ( su* keys to protect ! integrity ( ! encryption4 7#g7 ,id5tity !ft ,! t]m id5tity !ft means ! unau?oriz$ use ( ano!r p]son's p]sonal in=mation = ! purpose ( engag+ 9 comm]cial transactions "u ! id5tity ( su* o!r p]son1 includ+ any contact t violates section #ajbh;,a ( title #ah1 ,unit$ ,/ates ,code4 7#h7 ,major cr$it report+ ag5cy ,! t]m major cr$it report+ ag5cy means a consum] report+ ag5cy t compiles & ma9ta9s files on consum]s on a nationwide basis )9 ! mean+ ( section #fjc7p7 ( ! ,fair ,cr$it ,report+ ,act 7#ae ,u4,s4,c4 #afha;a7p774 7#i7 ,p]sonal in=mation 7,a7 ,def9ition ,! t]m p]sonal in=mation means any in=mation or compilation ( in=mation t includes-- 7i7 a non-truncat$ social security numb]2 7ii7 a f9ancial acc\nt numb] or cr$it or debit c>d numb] 9 comb9ation ) any security code1 access code1 or password t is requir$ = an individual to obta9 cr$it1 )draw funds1 or engage 9 a f9ancial transaction2 or 7iii7 an individual's fir/ & la/ "n or fir/ initial & la/ "n 9 comb9ation )-- 7,i7 a driv]'s lic5se numb]1 a passport numb]1 or an ali5 regi/ration numb]1 or o!r simil> numb] issu$ on a gov]nm5t docum5t us$ to v]ify id5tity2 7,,ii7 unique biometric data su* z a f+] pr9t1 voice pr9t1 ret9a or iris image1 or any o!r unique physical repres5tation2 7,,iii7 a unique acc\nt id5tifi]1 electronic id5tification numb]1 us] "n1 or r\t+ code 9 comb9ation ) any associat$ security code1 access code1 or password t is requir$ = an individual to obta9 money1 goods1 s]vices1 or any o!r ?+ ( value2 or 7,,iv7 #b ( ! foll[+3 7aa7 ,home address or telephone numb]4 7bb7 ,"m's maid5 "n1 if id5tifi$ z su*4 7cc7 ,mon?1 day1 & ye> ( bir?4 7,b7 ,modifi$ def9ition by rulemak+ ,if ! ,commission det]m9es t ! def9ition "u subp>agraph 7,a7 is n reasonably suffici5t to protect individuals f id5tity !ft1 fraud1 or o!r unlawful conduct1 ! ,commission by rule promulgat$ "u section #eec ( title #e1 ,unit$ ,/ates ,code1 may modify ! def9ition ( p]sonal in=mation "u subp>agraph 7,a7 to ! ext5t ! modification w n unreasonably imp$e int]/ate comm]ce4 7#aj7 ,s]vice provid] ,! t]m s]vice provid] means a p]son t provides electronic data transmission1 r\t+1 int]m$iate & transi5t /orage1 or connections to its sy/em or network1 :]e ! p]son provid+ su* s]vices does n select or modify ! cont5t ( ! electronic data1 is n ! s5d] or ! int5d$ recipi5t ( ! data1 & does n diff]5tiate p]sonal in=mation f o!r in=mation t su* p]son transmits1 r\tes1 or /ores1 or = :i* su* p]son provides connections4 ,any su* p]son %all be treat$ z a s]vice provid] "u ?is ,act only to ! ext5t t x is engag$ 9 ! provision ( su* transmission1 r\t+1 int]m$iate & transi5t /orage1 or connections4 #g4 ,effect on o!r laws 7a7 ,preemption ( /ate in=mation security laws 7#a7 ,cov]$ entities "u section #e7;a7 ,) respect to a cov]$ entity subject to ! ,act "u section #e7;a71 ?is ,act sup]s$es any provision ( a /atute1 regulation1 or rule ( a ,/ate or political subdivision ( a ,/ate t expressly-- 7,a7 requires in=mation security practices & treatm5t ( data conta9+ p]sonal in=mation simil> to any ( ^? requir$ "u section #b2 or 7,b7 requires notification to individuals ( a brea* ( security z def9$ 9 section #f4 7#b7 ,cov]$ entities "u section #e7;b7 ,) respect to a cov]$ entity subject to ! ,act "u section #e7;b71 ?is ,act sup]s$es any provision ( a /atute1 regulation1 or rule ( a ,/ate or political subdivision ( a ,/ate t expressly requires notification to individuals ( a brea* ( security z def9$ 9 section #f4 7b7 ,additional preemption 7#a7 ,9 g5]al ,no p]son o!r ?an a p]son specifi$ 9 section #e7;d7 may br+ a civil action "u ! laws ( any ,/ate if su* action is premis$ 9 :ole or 9 "p ^u ! def5dant violat+ any provision ( ?is ,act4 7#b7 ,protection ( consum] protection laws ,except z provid$ 9 subsection 7a7 ( ?is section1 ?is subsection %all n be con/ru$ to limit ! en=cem5t ( any ,/ate consum] protection law by an attorney g5]al ( a ,/ate4 7c7 ,protection ( c]ta9 ,/ate laws ,?is ,act %all n be con/ru$ to preempt ! applicability (-- 7#a7 ,/ate trespass1 contract1 or tort law2 or 7#b7 any o!r ,/ate laws to ! ext5t t ^? laws relate to acts ( fraud4 7d7 ,pres]vation ( ,,ftc au?ority ,no?+ 9 ?is ,act may be con/ru$ 9 any way to limit or affect ! ,commission's au?ority "u any o!r provision ( law4 #h4 ,effective date ,?is ,act & ! am5dm5ts made by ?is ,act %all take effect #a ye> aft] ! date ( enactm5t ( ?is ,act4