U.S. Privacy Laws Evolve Decades-Long Patchwork, Unlike EU's Comprehensive GDPR
The landscape of privacy laws in the United States has evolved over decades, with various acts addressing different sectors. The first watch, the Fair Credit Reporting Act (FCRA), was passed in 1970. Since then, laws like the Privacy Act of 1974, the Cable Communication Policy Act of 1984, and the Health Insurance Portability and Accountability Act (HIPAA) have added layers of protection. However, the approach has been piecemeal, unlike the comprehensive General Data Protection Regulation (GDPR) in the European Union.
The Privacy Act of 1974 was one of the first attempts at federal privacy legislation, applying only to federal agencies. Its origins date back to a 1960s proposal, indicating a long policy runway. The FCRA, passed two years earlier, was the first watch, originating from congressional banking committees. It was later amended to enhance its effectiveness.
The Cable Communication Policy Act of 1984, primarily involving the House Energy and Commerce Committee and the Senate Commerce, Science, and Transportation Committee, included privacy provisions due to the influence of a knowledgeable congressional staffer. In contrast, HIPAA's privacy provisions were an afterthought, with rules issued by the Department of Health and Human Services (HHS) after Congress failed to pass a health privacy law.
The Gramm-Leach-Bliley financial services modernization law of 1999 included privacy provisions that were a small part of a larger law and offered limited consumer protection. Meanwhile, the Family Educational Rights and Privacy Act (FERPA) was significantly rewritten after its initial passage in 1974 to better protect student privacy.
The United States' approach to privacy legislation has resulted in multiple narrow laws with different definitions and standards, demonstrating Congress's struggle to produce a coherent approach. The GDPR in the European Union, however, takes a more comprehensive stance on privacy. As technology continues to evolve, the need for a unified, robust privacy framework in the U.S. becomes increasingly apparent.
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