• by Wendy Davis  @wendyndavis, February 7, 2005

The Online Publishers Association submitted comments to the Committee on Energy and Commerce, U.S. House of Representatives, last week--advocating that anti-spyware bill H.R. 29, the Spy Act, make it clear that companies don't need to obtain permission from consumers before installing cookies. "We believe it would be prudent for the language in H.R. 29 to clarify that the exemption should be for all cookies and not leave open the possibility for the inclusion of cookies later pursuant to unilateral Federal Trade Commission action or as a result of conflicting legislation enacted at the State level," stated the association.

Introduced by Congresswoman Mary Bono (R-Calif.) in January, the bill requires companies that install software to first obtain consent from consumers. The proposed measure specifically exempts cookies, but also defines cookies more narrowly than many in the ad industry would like.

Some ad executives fear that the exemption, as written, would not include third-party cookies--that is, cookies installed by advertisers or analytics companies that monitor consumers across more than one site.

Online advertisers maintain that asking consumers for their permission to install certain cookies-- including those that monitor users across a variety of sites--could potentially hurt their business by making it harder to determine information such as how many times a consumer has seen a particular ad.

Last week, Bono's press secretary told OnlineMediaDaily that the permission requirement is not meant to apply to cookies of any sort--including those installed by advertisers--and that the House Committee on Energy and Commerce is likely to edit the bill to make that clear.