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On a voice vote, the U.S. House of Representatives Tuesday approved a federal data breach notification bill dubbed the Data Accountability and Trust Act. The bill would require the Federal Trade Commission to draw up regulations for how entities falling under its jurisdiction should monitor electronic data and notify consumers when a breach occurs. Introduced in April by U.S. Rep Bobby L. Rush, D-Ill., the legislation calls for "for-profit" entities to offer individuals ways to verify the accuracy of information stored about them, establish ways to correct inaccurate information, set procedures for verifying information and publish an online notice on how consumers could request access to the information maintained on them. Rush representatives did not immediately return CardLine calls seeking to clarify whether card issuers would have to comply or whether they would remain subject to financial regulatory authorities. According to the bill, "any person engaged in interstate commerce that owns or possess data in electronic form containing personal information" shall follow its stipulations. The bill also says entities would have to submit their plans to the FTC. The bill now moves to the U.S. Senate for consideration.
