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Sen. Menendez Calls For Privacy Bill To Protect Consumers In Case Of Data Breaches

JERSEY CITY, N.J. (CBSNewYork/AP) -- U.S. Sen. Robert Menendez and Rep. Albio Sires (D-N.J.) announced Friday that they plan to reintroduce a Commercial Privacy Bill of Rights to improve protection for consumer data.

Menendez originally called for the bill after a major data breach that affected Target stores during the holiday shopping season in 2013. Numerous other high-profile data breaches have plagued other companies in the time since.

In addition to protecting data, the bill would also provide consumers with greater privacy rights and set up an accountability system for businesses, Menendez's office said.

"As Americans become more reliant on technology, we need to ensure that safeguards are in place to prevent the next cyber-attack and secure our private information," Menendez said in a news release. "The stakes are too high and the risks too great to do nothing given the new threats we face. We need to give consumers the protections they deserve. Further delay only leaves us all more vulnerable to identity thieves, cyber-snoops and cyber-terrorists."

Just this month, Blue Cross Blue Shield insurer Anthem Inc. said hackers gained access to the Social Security numbers, names, addresses and other personal information of about 80 million people. It follows other security breaches at JPMorgan Chase and several retailers, also including Home Depot.

"The number of cyberattacks and theft of personal data continues to increase, putting millions of American families at risk and threatening consumer confidence," Jersey City Mayor Steven Fulop said in the release. "Senator Menendez and Congressman Sires are right to move now by putting in place the necessary measures to ensure private information is protected and that the American public is not left defenseless against hackers and cyber thieves."

The Commercial Privacy Bill of Rights would accomplish the following, according to Menendez's office:

• Protection of individual privacy and data rights by placing limits on the information companies can collect, and how long it can be retained;

• Participation and notice rights for customers, including requiring the Federal Trade Commission to allow consumers to opt out of having their information transferred to third parties for advertising and marketing purposes;

• A requirement that entities contractually protect consumer information if they transfer it to a third party;

• A requirement for an independent non-governmental organization to help companies implement the terms of the Bill of Rights.

The legislation would only apply to companies covered by the FTC that collect or store certain information on more than 5,000 people within a period of a year. Private lawsuits under the legislation would not be allowed.

(TM and & Copyright 2015 CBS Radio Inc. and its relevant subsidiaries. CBS Radio and EYE Logo TM and Copyright 2015 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed. The Associated Press contributed to this report.)

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