Big Tech’s headaches now range from coast to coast as Maine Governor Janet Mills signed into law a data privacy bill that is in some ways even more stringent than a similar data privacy law passed in California.
A key provision in the Maine data privacy law is that companies cannot refuse to provide services to customers who withhold their consent over the sharing of their personal information.
Casey Leins reports that the Maine data privacy law is a response to the inaction of the US Congress in this article from US News & World Report:
“Maine people value their privacy, online and off,” the Democratic governor said during the signing, according to her office’s press release. “The internet is a powerful tool, and as it becomes increasingly intertwined with our lives, it is appropriate to take steps to protect the personal information and privacy of Maine people.”
The law, which was unanimously approved by the state Senate and will go into effect on July 1, 2020, prevents providers from refusing to serve customers who don’t provide their consent to share their personal information. It also stops providers from offering discounts to entice customers to give their consent.
But the measure, which conflicts with federal law, faces backlash from coalitions of top telecommunication and technology sector companies, the Press Herald reported. They argue that the law not only clashes with Federal Communications Commission rules, but that it might also violate the U.S. Constitution’s Interstate Commerce Clause, which says that a state cannot regulate industries that do business in multiple states. Maine’s new law is expected to be challenged in court.
“(The law) risks disrupting a significant portion of the state’s innovation economy and would have major unintended consequences for consumers and businesses as ISPs are forced to adjust their investment and technology deployment plans based on a singular set of rules for the state,” Christina Fisher, executive director in the Northeast for technology coalition TechNet, said in a written testimony, according to the Press Herald.
California was the first state to pass a strict consumer privacy law for internet providers last year, but it differs from Maine’s law because it requires customers to request that their provider not sell their data. The Golden State’s law also applies to tech companies, such as Facebook and Google.
