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Bill

SB 569

Commercial Law - Online Data Privacy - Limits on Data Collection

2026 Regular Session Introduced by Arthur Ellis

Maryland bill restricts online data collection by requiring commercial entities to limit personal data gathering to only business-necessary purposes.

Hearing 2/19 at 1:00 p.m.
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Bill Summary · SB 569

Legislative bill overview

SB 569 would establish limits on how much personal data commercial entities can collect from users online in Maryland. The bill aims to restrict data collection practices by requiring businesses to justify the necessity of data they gather and potentially limiting collection to only information directly relevant to stated business purposes. This represents Maryland's attempt to join other states in creating baseline data privacy protections for residents.

Why is this important

Data collection has become a primary business model for many tech companies, often occurring without meaningful user awareness or consent. Excessive data collection can enable identity theft, price discrimination, targeted manipulation, and other harms. This bill could set a precedent for how Maryland balances consumer privacy rights against business interests in the digital economy.

Potential points of contention

  • Business compliance costs: Companies argue that strict data limits would increase operational expenses and reduce their ability to offer "free" services funded by targeted advertising
  • Definitional ambiguity: The bill's success depends on clearly defining what constitutes "necessary" data collection—vague standards could create legal uncertainty or prove unenforceable
  • Interstate commerce conflicts: Maryland's rules could disadvantage local businesses competing with out-of-state companies, or conflict with federal regulations if they eventually emerge

Compiled from official sources — confirm details with the bill’s official record.

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