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TechNet sends letter opposing current form of American Privacy Rights Act

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Linda Moore President and CEO at TechNet | Official website

TechNet, the national bipartisan network of innovation economy CEOs and senior executives, has sent a letter to members of the House Energy and Commerce Committee ahead of its expected markup of the American Privacy Rights Act (APRA) this week. The following statement is attributed to TechNet President and CEO Linda Moore:

"Now that 20 states have enacted their own comprehensive data privacy laws, the need for one national privacy standard that protects all Americans, mitigates abusive lawsuits, and provides certainty to businesses has never been greater. The American Privacy Rights Act fails to deliver this.

"APRA continues to include language that would add to the growing patchwork of laws, not end it. It gives states the green light to pass new privacy legislation that addresses language not included in the federal bill. The bill also preserves more than a dozen existing state privacy laws and carve-outs for state health privacy laws, like Washington’s My Health, My Data Act. Without clear federal preemption, a 50-state privacy patchwork would cost the American economy more than $1 trillion over 10 years, with $200 billion being paid by small businesses.

"The bill also invites abusive lawsuits against small businesses by not only creating an expansive federal private right of action but also maintaining several state-specific private rights of action, such as the California Privacy Rights Act and Illinois’ Biometric Information Privacy Act.

"APRA’s overly broad and stringent restrictions would also undermine consumer choice, impact consumers’ ability to receive the personalized content they value, and shift much of the free and open ad-supported internet behind paywalls. Ultimately, the burdensome regulations in APRA will likely entrench the largest companies while imposing significant barriers to entry for startups and small- and medium-sized enterprises.

"Instead of moving forward with flawed legislation that is opposed by a broad cross-section of industry sectors as well as civil society groups, Congress must come together and enact comprehensive bipartisan privacy legislation that ensures everyone, no matter their age or where they live, has the right to access, correct, and delete their data; mitigates abusive lawsuits; and provides companies certainty about their responsibilities so they can spend their resources on creating jobs rather than paying legal bills."

Since 2018, 210 comprehensive privacy bills have been considered across 46 states. In 2024 alone, 13 states have introduced 21 comprehensive privacy bills. Twenty state legislatures have passed such bills: California, Colorado Connecticut Delaware Florida Indiana Iowa Kentucky Maryland Minnesota Montana Nebraska New Hampshire New Jersey Oregon Rhode Island Tennessee Texas Utah Virginia A 50-state patchwork would cost U.S economy more than $1 trillion over next decade with over $200 billion paid by small businesses average spend small business (50-249 employees) in 2023 was $1.5 million up from $1.1 million in 2020 More than percent voters including Democrats Republicans ranked top important Congressional priority TechNet-led United coalition sent letter Congress earlier urging single uniform national standard coalition held event last summer Capitol Hill brought lawmakers owners organizations representing entire economy discuss need federal law

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