
For the second year in a row, a
Virginia lawmaker has introduced a bill that would prohibit companies from selling data that can pinpoint people's locations.
Currently, Virginia's Consumer Data Protection Act
requires businesses to obtain consumers' consent before selling "precise" location data -- defined as information that can determine geolocation within a 1,750-foot radius.
Earlier this month, state Senator Russet Perry introduced SB 388, which would revise the state privacy law by outright
banning sales of precise geolocation data, or offers to sell such data -- regardless of whether consumers consent.
The state senate approved a similar bill last year, but the
measure stalled in the House of Delegates.
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Two other states -- Maryland and Oregon -- have passed comparable bans on the sale of location
data.
The watchdog Consumer Reports, which backed the proposed Virginia law last year, reiterated its support for this year's bill.
“Location data
is among the most sensitive information companies can collect, potentially revealing visits to reproductive or mental health clinics, political rallies, places of worship, and other potentially
sensitive locations," stated Matt Schwartz, policy analyst at Consumer Reports. "At a time when location tracking is increasingly being weaponized against consumers, stopping the commercial sale of
consumers’ location data is one of the most effective steps lawmakers can take to safeguard consumer privacy."
Major ad industry groups including the Association of
National Advertisers, American Association of Advertising Agencies and Interactive Advertising Bureau opposed last year's bill, arguing in a letter to lawmakers that the measure “would inhibit
Virginia businesses’ ability to provide useful services, including marketing and advertising.”
“Under Virginia law today, upon a consumer’s consent,
precise geolocation data may be transferred to provide them benefits, such as coupons or other relevant advertising for products and services close in proximity to them,” the groups wrote last
year.
Virginia defines the sale of data as a transfer in exchange for money -- but excludes transfers to a company that processes data on behalf of an app that collected the
information.
Given that definition, the bill apparently would allow an app developer to transfer precise location data it collects with opt-in consent to a service provider,
but only for use on behalf of that particular developer. The bill would not allow an app developer to transfer precise location data it collects with consent to programmatic platforms that let
companies other than the original collector draw on the data for ads.