Rep. Daniel J. Burke
Filed: 3/8/2011
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1 | AMENDMENT TO HOUSE BILL 3025
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2 | AMENDMENT NO. ______. Amend House Bill 3025 by replacing | ||||||
3 | everything after the enacting clause with the following:
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4 | "Section 5. The Personal Information Protection Act is | ||||||
5 | amended by changing Sections 5, 10, and 12 and by adding | ||||||
6 | Section 40 as follows: | ||||||
7 | (815 ILCS 530/5)
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8 | Sec. 5. Definitions. In this Act: | ||||||
9 | "Data Collector" may include, but is not limited to,
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10 | government agencies, public and private universities,
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11 | privately and publicly held corporations, financial
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12 | institutions, retail operators, and any other entity that, for | ||||||
13 | any purpose, handles, collects, disseminates, or otherwise
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14 | deals with nonpublic personal information.
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15 | "Breach of the security of the system data" or "breach" | ||||||
16 | means
unauthorized acquisition or use of computerized data that |
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1 | compromises the security, confidentiality, or integrity of | ||||||
2 | personal information maintained by the data collector. "Breach | ||||||
3 | of the security of the system data" does not include good faith
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4 | acquisition of personal information by an employee or agent of
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5 | the data collector for a legitimate purpose of the data
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6 | collector, provided that the personal information is not used
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7 | for a purpose unrelated to the data collector's business or
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8 | subject to further unauthorized disclosure.
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9 | "Personal information" means an individual's first name or | ||||||
10 | first initial and last name in combination with any one or more
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11 | of the following data elements, when either the name or the | ||||||
12 | data elements are not encrypted or redacted:
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13 | (1) Social Security number. | ||||||
14 | (2) Driver's license number or State identification
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15 | card number.
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16 | (3) Account number or credit or debit card number, or | ||||||
17 | an
account number or credit card number in combination with
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18 | any required security code, access code, or password that
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19 | would permit access to an individual's financial account.
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20 | "Personal information" does not include publicly available
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21 | information that is lawfully made available to the general
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22 | public from federal, State, or local government records.
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23 | (Source: P.A. 94-36, eff. 1-1-06.) | ||||||
24 | (815 ILCS 530/10)
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25 | Sec. 10. Notice of Breach. |
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1 | (a) Any data collector that owns or licenses personal | ||||||
2 | information concerning an Illinois resident shall notify the
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3 | resident at no charge that there has been a breach of the | ||||||
4 | security of the
system data following discovery or notification | ||||||
5 | of the breach.
The disclosure notification shall be made in the | ||||||
6 | most
expedient time possible and without unreasonable delay,
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7 | consistent with any measures necessary to determine the
scope | ||||||
8 | of the breach and restore the reasonable integrity,
security, | ||||||
9 | and confidentiality of the data system. The disclosure | ||||||
10 | notification to an Illinois resident shall include, but need | ||||||
11 | not be limited to, information concerning (i) how the resident | ||||||
12 | may request a security freeze pursuant to Section 2MM of the | ||||||
13 | Consumer Fraud and Deceptive Business Practices Act and the | ||||||
14 | necessary information that must be provided when requesting the | ||||||
15 | security freeze, and (ii) any fees that must be paid to a | ||||||
16 | consumer reporting agency in connection with a request for a | ||||||
17 | security freeze. The notification shall not, however, include | ||||||
18 | information concerning the number of Illinois residents | ||||||
19 | affected by the breach. | ||||||
20 | In addition, a data collector that owns or licenses such | ||||||
21 | personal information shall notify the Attorney General of the | ||||||
22 | breach. The notification to the Attorney General shall include, | ||||||
23 | but need not be limited to, information concerning (i) the | ||||||
24 | nature of the breach, (ii) the number of Illinois residents | ||||||
25 | affected by the breach at the time of notification, and (iii) | ||||||
26 | any steps the data collector has taken or plans to take |
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1 | relating to the breach.
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2 | (b) Any data collector that maintains or stores, but does | ||||||
3 | not own or license, computerized data that
includes personal | ||||||
4 | information that the data collector does not own or license | ||||||
5 | shall notify the owner or licensee of the information of any | ||||||
6 | breach of the security of the data immediately following | ||||||
7 | discovery, if the personal information was, or is reasonably | ||||||
8 | believed to have been, acquired by
an unauthorized person. In | ||||||
9 | addition to providing such notification to the owner or | ||||||
10 | licensee, the data collector shall cooperate with the owner or | ||||||
11 | licensee in matters relating to the breach. That cooperation | ||||||
12 | shall include, but need not be limited to, (i) informing the | ||||||
13 | owner or licensee of the breach, including giving notice of the | ||||||
14 | date or approximate date of the breach and the nature of the | ||||||
15 | breach, and (ii) informing the owner or licensee of any steps | ||||||
16 | the data collector has taken or plans to take relating to the | ||||||
17 | breach. The data collector's cooperation shall not, however, be | ||||||
18 | deemed to require either the disclosure of confidential | ||||||
19 | business information or trade secrets or the notification of an | ||||||
20 | Illinois resident who may have been affected by the breach.
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21 | (b-5) The notification to an Illinois resident required by | ||||||
22 | subsection (a) of this Section may be delayed if an appropriate | ||||||
23 | law enforcement agency determines that notification will | ||||||
24 | interfere with a criminal investigation and provides the data | ||||||
25 | collector with a written request for the delay. However, the | ||||||
26 | data collector must notify the Illinois resident as soon as |
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1 | notification will no longer interfere with the investigation.
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2 | (c) For purposes of this Section, notice to consumers may | ||||||
3 | be provided by one of the following methods:
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4 | (1) written notice; | ||||||
5 | (2) electronic notice, if the notice provided is
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6 | consistent with the provisions regarding electronic
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7 | records and signatures for notices legally required to be
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8 | in writing as set forth in Section 7001 of Title 15 of the | ||||||
9 | United States Code;
or | ||||||
10 | (3) substitute notice, if the data collector
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11 | demonstrates that the cost of providing notice would exceed
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12 | $250,000 or that the affected class of subject persons to | ||||||
13 | be notified exceeds 500,000, or the data collector does not
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14 | have sufficient contact information. Substitute notice | ||||||
15 | shall consist of all of the following: (i) email notice if | ||||||
16 | the data collector has an email address for the subject | ||||||
17 | persons; (ii) conspicuous posting of the notice on the data
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18 | collector's web site page if the data collector maintains
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19 | one; and (iii) notification to major statewide media. | ||||||
20 | (d) Notwithstanding subsection (c), a data collector
that | ||||||
21 | maintains its own notification procedures as part of an
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22 | information security policy for the treatment of personal
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23 | information and is otherwise consistent with the timing | ||||||
24 | requirements of this Act, shall be deemed in compliance
with | ||||||
25 | the notification requirements of this Section if the
data | ||||||
26 | collector notifies subject persons in accordance with its |
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1 | policies in the event of a breach of the security of the system | ||||||
2 | data.
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3 | (Source: P.A. 94-36, eff. 1-1-06; 94-947, eff. 6-27-06.) | ||||||
4 | (815 ILCS 530/12)
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5 | Sec. 12. Notice of breach; State agency. | ||||||
6 | (a) Any State agency that collects personal information | ||||||
7 | concerning an Illinois resident shall notify the
resident at no | ||||||
8 | charge that there has been a breach of the security of the
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9 | system data or written material following discovery or | ||||||
10 | notification of the breach.
The disclosure notification shall | ||||||
11 | be made in the most
expedient time possible and without | ||||||
12 | unreasonable delay,
consistent with any measures necessary to | ||||||
13 | determine the
scope of the breach and restore the reasonable | ||||||
14 | integrity,
security, and confidentiality of the data system. | ||||||
15 | The disclosure notification to an Illinois resident shall | ||||||
16 | include, but need not be limited to, information concerning (i) | ||||||
17 | how the resident may request a security freeze pursuant to | ||||||
18 | Section 2MM of the Consumer Fraud and Deceptive Business | ||||||
19 | Practices Act and the necessary information that must be | ||||||
20 | provided when requesting the security freeze, and (ii) any fees | ||||||
21 | that must be paid to a consumer reporting agency in connection | ||||||
22 | with a request for a security freeze. The notification to an | ||||||
23 | Illinois resident shall not, however, include information | ||||||
24 | concerning the number of Illinois residents affected by the | ||||||
25 | breach. |
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1 | (b) For purposes of this Section, notice to residents may | ||||||
2 | be provided by one of the following methods:
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3 | (1) written notice;
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4 | (2) electronic notice, if the notice provided is
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5 | consistent with the provisions regarding electronic
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6 | records and signatures for notices legally required to be
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7 | in writing as set forth in Section 7001 of Title 15 of the | ||||||
8 | United States Code;
or
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9 | (3) substitute notice, if the State agency
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10 | demonstrates that the cost of providing notice would exceed
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11 | $250,000 or that the affected class of subject persons to | ||||||
12 | be notified exceeds 500,000, or the State agency does not
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13 | have sufficient contact information. Substitute notice | ||||||
14 | shall consist of all of the following: (i) email notice if | ||||||
15 | the State agency has an email address for the subject | ||||||
16 | persons; (ii) conspicuous posting of the notice on the | ||||||
17 | State agency's web site page if the State agency maintains
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18 | one; and (iii) notification to major statewide media.
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19 | (c) Notwithstanding subsection (b), a State agency
that | ||||||
20 | maintains its own notification procedures as part of an
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21 | information security policy for the treatment of personal
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22 | information and is otherwise consistent with the timing | ||||||
23 | requirements of this Act shall be deemed in compliance
with the | ||||||
24 | notification requirements of this Section if the
State agency | ||||||
25 | notifies subject persons in accordance with its policies in the | ||||||
26 | event of a breach of the security of the system data or written |
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1 | material.
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2 | (d) If a State agency is required to notify more than 1,000 | ||||||
3 | persons of a breach of security pursuant to this Section, the | ||||||
4 | State agency shall also notify, without unreasonable delay, all | ||||||
5 | consumer reporting agencies that compile and maintain files on | ||||||
6 | consumers on a nationwide basis, as defined by 15 U.S.C. | ||||||
7 | Section 1681a(p), of the timing, distribution, and content of | ||||||
8 | the notices. Nothing in this subsection (d) shall be construed | ||||||
9 | to require the State agency to provide to the consumer | ||||||
10 | reporting agency the names or other personal identifying | ||||||
11 | information of breach notice recipients.
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12 | (Source: P.A. 94-947, eff. 6-27-06.) | ||||||
13 | (815 ILCS 530/40 new) | ||||||
14 | Sec. 40. Disposal of materials containing personal | ||||||
15 | information; Attorney General. | ||||||
16 | (a) In this Section, "person" means: a natural person; a | ||||||
17 | corporation, partnership, association, or other legal entity; | ||||||
18 | a unit of local government or any agency, department, division, | ||||||
19 | bureau, board, commission, or committee thereof; or the State | ||||||
20 | of Illinois or any constitutional officer, agency, department, | ||||||
21 | division, bureau, board, commission, or committee thereof. | ||||||
22 | (b) When disposing of materials containing personal | ||||||
23 | information, a person must meet the following minimum standards | ||||||
24 | for proper disposal of such materials: | ||||||
25 | (1) Paper documents containing personal information |
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1 | must be either redacted, burned, pulverized, or shredded so | ||||||
2 | that personal information cannot practicably be read or | ||||||
3 | reconstructed. | ||||||
4 | (2) Electronic media and other non-paper media | ||||||
5 | containing personal information must be destroyed or | ||||||
6 | erased so that personal information cannot practicably be | ||||||
7 | read or reconstructed. | ||||||
8 | (c) Any person disposing of materials containing personal | ||||||
9 | information may contract with a third party to dispose of such | ||||||
10 | materials in accordance with this Section. Any third party that | ||||||
11 | contracts with a person to dispose of materials containing | ||||||
12 | personal information must implement and monitor compliance | ||||||
13 | with policies and procedures that prohibit unauthorized access | ||||||
14 | to or acquisition of or use of personal information during the | ||||||
15 | collection, transportation, and disposal of materials | ||||||
16 | containing personal information. | ||||||
17 | (d) Any person who violates this Section is subject to a | ||||||
18 | civil penalty of not more than $100 for each individual with | ||||||
19 | respect to whom personal information is disposed of in | ||||||
20 | violation of this Section. A civil penalty may not, however, | ||||||
21 | exceed $50,000 for each instance of improper disposal of | ||||||
22 | materials containing personal information. The Attorney | ||||||
23 | General may impose a civil penalty after notice to the person | ||||||
24 | accused of violating this Section and an opportunity for that | ||||||
25 | person to be heard in the matter. The Attorney General may file | ||||||
26 | a civil action in the circuit court to recover any penalty |
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1 | imposed under this Section. | ||||||
2 | (e) In addition to the authority to impose a civil penalty | ||||||
3 | under subsection (d), the Attorney General may bring an action | ||||||
4 | in the circuit court to remedy a violation of this Section, | ||||||
5 | seeking any appropriate relief. ".
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