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Federal Trade Commission Finally Cracks Down On Spyware!


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Wet Chicken's Avatar
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12-Oct-2004, 07:12 PM #1
Talking Federal Trade Commission Finally Cracks Down On Spyware!
Thank God they're finally doing something about spyware! 3 pieces of legislation in the works;

The three main bills all instruct the FTC to more aggressively target spyware makers. The first bill passed last week, The Securely Protect Yourself Against Cyber Trespass Act (SPY ACT), sponsored by California Republican Mary Bono, instructs the FTC to file an annual report advising precisely how many actions the commission has taken against spyware distributors. The bill also imposes heftier fines.

Government efforts to combat spyware stayed in focus Tuesday morning, as the Federal Trade Commission staged a press conference describing a lawsuit against purveyors of the sneaky software. Even as the federal government's top consumer protection agency was flexing its muscle, lawmakers were mulling over a variety of laws aimed at stiffening penalties against the Internet's newest nuisance.

Last week, the House of Representatives passed two bills designed to scare off spyware authors. While the bills are generally in agreement, most observers think it's too late in the election season for House members to settle the differences, meld them with a Senate version of the bill, and send approved legislation along to the White House. House members began their pre-election break last week and Senate members went home on Monday, making legislative relief from spyware unlikely until next year.

But the Federal Trade Commission isn't waiting around for Congress. Last week, it filed what it now says is the first lawsuit against a spyware distributor. Sanford Wallace, infamous for his involvement in the spam community, is named in the lawsuit, as are Seismic Entertainment Productions Inc. and SmartBot.net Inc.

The software is more than a nuisance. Microsoft Corp. says some 50 percent of its customer-support calls related to computer crashes can be blamed on spyware.


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12-Oct-2004, 07:53 PM #2
It's about time!!!! This bill is #H.R. 2929 authors are:
Mary Bono -- Republican -- Palm Springs, CA
Ed Towns -- Democrat -- Brooklyn, NY

Quote:
Originally Posted by H.R.2929
108th CONGRESS

1st Session

H. R. 2929

To protect users of the Internet from unknowing transmission of their personally identifiable information through spyware programs, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

July 25, 2003

Mrs. BONO (for herself and Mr. TOWNS) introduced the following bill; which was referred to the Committee on Energy and Commerce

A BILL

To protect users of the Internet from unknowing transmission of their personally identifiable information through spyware programs, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Safeguard Against Privacy Invasions Act'.

SEC. 2. FTC AUTHORITY TO REGULATE TRANSMISSION OF SPYWARE PROGRAMS.

(a) PROHIBITION OF TRANSMISSION WITHOUT CONSENT- The Federal Trade Commission shall, by regulation, prohibit the transmission of a spyware program to a covered computer by means of the Internet, unless the user of the covered computer expressly consents to such transmission in response to a clear and conspicuous request for such consent or through an affirmative request for such transmission.

(b) TRANSMISSION PURSUANT TO LICENSE AGREEMENTS- The Federal Trade Commission shall, by regulation, establish requirements for the transmission of a spyware program to a covered computer, by means of the Internet, in any case in which the transmission of the spyware program, or any information, program, or communication together or in connection with which the spyware program is transmitted, requires any affirmative action on the part of the user of the covered computer to agree to a license, contract, or other agreement which is made available on the World Wide Web, as follows:

(1) LOCATION OF LICENSE AGREEMENT- The terms of such license, contract, or agreement shall be set forth on a World Wide Web page and the mechanism by which the user of the covered computer agrees to such license, contract, or agreement shall be included on the same page.

(2) NOTICE- The terms of the license, contract, or other agreement shall--

(A) include provisions, that are clearly stated and prominently displayed, which specify that agreement to such license, contract, or other agreement constitutes consent to transmission of the spyware for purposes of subsection (a); and

(B) clearly explain the purpose of including the spyware.

(3) IDENTIFICATION- The name of the person or entity transmitting the spyware, a valid physical street address of such person or entity, and a functioning return electronic mail address for such person or entity shall be included on the World Wide Web page referred to in paragraph (1).

(c) NOTICE OF COLLECTION OF PERSONALLY IDENTIFIABLE INFORMATION- The Federal Trade Commission shall, by regulation, prohibit the use of any spyware program that is transmitted to a covered computer by means of the Internet for collecting any personally identifiable information from the covered computer, unless notice that the program will be used for such collection is provided--

(1) in any license, contract, or other agreement covering the spyware program or the information, program, or communication together with which, or in connection with which, the spyware program is transmitted; and

(2) in another prominent location, as the Commission shall provide.

SEC. 3. ENFORCEMENT.

(a) ENFORCEMENT THROUGH FTC ACT-

(1) UNFAIR OR DECEPTIVE ACT OR PRACTICE- A violation of any provision of this Act or any regulation issued under this Act is an unfair or deceptive act or practice unlawful under section 5(a)(1) of the Federal Trade Commission Act (15 U.S.C. 45(a)(1)).

(2) GUIDELINES AND OPINIONS- In order to assist in compliance with this Act, the Federal Trade Commission may issue generally applicable guidelines and, upon request, advisory opinions with respect to specific types of acts or practices that would, or would not, comply with this Act.

(b) CRIMINAL PENALTIES- Whoever--

(1) violates section 2(c) or the regulations issued under such section, or

(2) knowingly violates any other provision of this Act or any regulation issued under this Act,

shall be fined under title 18, United States Code, or imprisoned for not more than 1 year, or both.

SEC. 4. DEFINITIONS.

For purposes of this Act:

(1) COMPUTER; COVERED COMPUTER- The terms `computer' and `covered computer' have the meanings given such terms in section 1030(e) of title 18, United States Code.

(2) INTERNET- The term `Internet' means collectively the myriad of computer and telecommunications facilities, including equipment and operating software, which comprise the interconnected world-wide network of networks that employ the Transmission Control Protocol/Internet Protocol, or any predecessor or successor protocols to such protocol, to communicate information of all kinds by wire or radio.

(3) SPYWARE PROGRAM- The term `spyware program' means any computer program or software that can be used to transmit from a computer, or that has the capability of so transmitting, by means of the Internet and without any action on the part of the user of the computer to initiate such transmission, information regarding the user of the computer, regarding the use of the computer, or that is stored on the computer. In issuing regulations to carry out this paragraph, the Commission shall distinguish spyware programs from other commonly used computer programs used to share information among computers in an organized network of computers.

(4) PAGE- The term `page' means, with respect to the World Wide Web, a location that has a single Uniform Resource Locator or other single location with respect to the Internet, as the Commission may prescribe.

(5) PERSONALLY IDENTIFIABLE INFORMATION- The term `personally identifiable information' does not include any record of aggregate data that does not identify particular persons, particular computers, particular users of computers, or particular email addresses or other locations of computers with respect to the Internet.

SEC. 5. REGULATIONS.

The Commission shall issue regulations necessary to carry out this Act not later than 90 days after the date of the enactment of this Act.
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13-Oct-2004, 08:25 AM #3
The only bad part is all the cool anti spyware software makers what will they do?
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13-Oct-2004, 02:34 PM #4
Quote:
Originally Posted by AKA Arizona
The only bad part is all the cool anti spyware software makers what will they do?
AdAware and spybot are free so its no biggy. But it will take the government a while to clean it up, and even then it won't be completely cleaned up
Ciberblade's Avatar
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13-Oct-2004, 02:45 PM #5
Quote:
Originally Posted by Wet Chicken
AdAware and spybot are free so its no biggy. But it will take the government a while to clean it up, and even then it won't be completely cleaned up
At least there will be a method to deal with the creators...kinda like virus writers.

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