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LC 589

Prohibit sale of electronic data to the federal government

2025 Regular Session

Prohibits private entities from selling electronic data to the federal government, protecting individuals' privacy by limiting government access to consumer data held by firms.

(LC) Draft Delivered to Requester
#consumerprotection #federalgovernment #privacy
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WeVote Research Nonpartisan
Bill Summary · LC 589

Summary: LC 589 — Prohibit sale of electronic data to the federal government

Overview

LC 589 is a draft bill introduced on October 21, 2024, focusing on consumer privacy by restricting the sale of electronic data to the federal government. The bill’s status is currently “Draft Delivered to Requester” (LC), with ongoing drafting and review activity in the Legislative Counsel process. It falls under the subjects of Consumer Protection, Federal Government, and Privacy.

Purpose and intent

  • Primary aim: To prohibit the sale of electronic data by private entities to the federal government.
  • Policy objective: Enhance privacy protections for individuals by limiting the ability of private companies to sell consumer data to federal governmental entities.
  • The bill’s title and subject matter suggest a privacy-first approach, aligning private data practices with concerns about government access to data.

Key provisions (note: text not provided)

  • The bill would likely define “electronic data” and specify the scope of data covered (e.g., consumer data held by businesses, data brokers, or other entities).
  • Prohibition: A general prohibition on selling electronic data to the federal government.
  • Possible exemptions (not specified in available information): Typical privacy provisions may carve out exemptions for data required by law, enforcement actions, national security interests, or court orders; exemptions could also exist for publicly available information or data subject to other statutory regimes.
  • Compliance and enforcement: The bill may establish responsibilities for covered entities to ensure they do not sell data to federal agents and could outline penalties, civil remedies, or enforcement mechanisms if violated.
  • Effective date and transition: The bill may include an effective date and any transitional provisions for businesses to come into compliance.

Note: Specific provisions, definitions, exemptions, and enforcement details are not provided in the available excerpt. The above reflects common elements in similar privacy bills and what readers should expect when the full text is released.

Affected parties

  • Primary: Private sector entities that collect, store, or sell electronic data (e.g., data brokers, tech platforms, marketers, analytics firms).
  • Indirect: Individuals whose data may be sold; the federal government as a purchaser or recipient of data.
  • Potentially affected sectors: Consumer tech, advertising, data analytics, and any business model relying on selling user data.

Procedural and timeline aspects

  • Introduced: October 21, 2024.
  • Legislative actions (progress through LC drafting stages) include:
    • January–February 2025: Drafter assignment, legal review, input/proofing, and draft preparation.
    • February 16–21, 2025: Drafts moving toward finalization and delivery to requester; draft ready for delivery.
  • Current status: Draft Delivered to Requester; moving through Assembly review and potential floor consideration in subsequent steps.

Next steps for readers

  • Await the release of the full bill text to understand precise definitions, exemptions, enforcement mechanisms, penalties, and effective dates.
  • Monitor committee hearings and floor actions in the relevant legislative chamber for opportunities to provide public comment or analysis.

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

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