Reps. Bobby Rush, D-Ill., and Joe Barton, R-Texas, have introduced legislation that could saddle companies with as much as $5 million in civil penalties if they don’t take certain steps to safeguard their customers’ personal information.
The Data Accountability and Trust Act (DATA), which Rush and Barton offered in past congresses, would require businesses to have “effective information security policies and procedures” to protect customer data, according to a news release the lawmakers issued after they introduced the bill Wednesday. The measure would leave it up to the Federal Trade Commission to create rules that would identify cybersecurity practices companies must follow to avoid civil penalties.
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