The Children's Online Privacy Protection Act, which is the first federal statute that regulates collection of information on the Internet, requires parental consent for children under 13 to make online purchases. Peeler noted that while such comprehensive privacy protections are now in place only for children, a majority of the FTC has recommended legislation protecting adult online privacy and several bills have been introduced in Congress. Some industry leaders have also been quoted as saying it is not a question of whether legislation will be enacted, but what it will say. In the meantime, Peeler ensures that the FTC will continue to work for the protection of consumers, but he urges consumers to take protection into their own hands. Twenty-five percent of consumers don't care about online privacy and the remaining 50 percent of consumers fall somewhere in the middle.
Polls show consumers are more concerned about online privacy than healthcare, crime and taxes.
Not only is consumer protection a responsibility of the consumer, it is also a responsibility of the retailer, according to Peeler. It's a notion that some may laugh at, especially the lawyers in the room, but for Peeler a business's responsibility to its consumers isn't a laughing matter. Businesses must respond to consumer needs, take notice about how consumers are being treated, allow the consumer to decide what information he or she will disclose and inform consumers about their security options. In fact, the children's privacy law has specific safe harbor provisions to encourage self regulation. Their main challenge is how to make privacy policies understandable and useful for consumers.