HB436INTRODUCED
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HB436
G3YU82C-1
By Representatives Robbins, Rigsby
RFD: Insurance
First Read: 18-Mar-25
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5 G3YU82C-1 03/18/2025 GP (L)lg 2025-1035
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First Read: 18-Mar-25
SYNOPSIS:
This bill would prohibit certain covered
entities that maintain biological data or neural data
from transferring or disclosing a consumer's biological
data or neural data to a third party without the
express consent of the consumer.
This bill would prohibit a covered entity from
using a consumer's biological data or neural data for a
purpose other than what is necessary to perform the
services or provide the goods requested by the
consumer.
This bill would prohibit a covered entity from
marketing to a consumer based on the consumer's
biological data or neural data.
This bill would require a covered entity to
notify a consumer before his or her biological data or
neural data is otherwise transferred, disclosed, or
used, and would provide the consumer the ability to
limit or prevent the transfer, disclosure, or use of
the data.
This bill would also allow the Consumer Interest
Division of the Office of the Attorney General to
enforce this act and levy a civil penalty of $3,000 per
violation.
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A BILL
TO BE ENTITLED
AN ACT
Relating to consumer protections; to prohibit a covered
entity from disclosing, transferring, or taking certain other
actions with regard to a consumer's biological data or neural
data without the consumer's express consent; to require the
Office of the Attorney General to enforce; and to provide a
civil penalty for violations.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. For the purposes of this act, the following
terms have the following meanings:
(1) BIOLOGICAL DATA. Data generated by: (i) the
technological processing, measurement, or analysis of an
individual's biological, genetic, biochemical, physiological,
or neural properties, compositions, or activities; or (ii) an
individual's body or bodily functions, which is used or
intended to be used for identification purposes.
(2) CONSUMER. Any individual who is an Alabama
resident.
(3) COVERED ENTITY. Any individual or entity that
maintains, owns, or licenses biological data or neural data in
the course of the individual's or entity's business, vocation,
or occupation.
(4) EXPRESS CONSENT. A consumer's acknowledgment or
permission, in writing or captured electronically, to a clear,
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permission, in writing or captured electronically, to a clear,
meaningful, and prominent written notice regarding the
disclosure or use of the consumer's biological data or neural
data.
(5) NEURAL DATA. Information that is generated by the
measurement of the activity of an individual's central or
peripheral nervous systems and that can be processed by or
with the assistance of a device.
Section 2. (a) A covered entity may not do any of the
following without the express consent of the consumer, given
before each specific transfer, disclosure, or use takes place:
(1) Transfer a consumer's biological data or neural
data to a third party.
(2) Disclose the consumer's biological data or neural
data to a third party for a reason other than fulfillment of
the entity's products or services.
(3) Use the consumer's biological data or neural data
for a purpose other than what is necessary to perform the
services or provide the goods reasonably expected by an
average consumer who requests those goods of services.
(4) Market to a consumer based on the consumer's
biological data or neural data.
(b) A covered entity that transfers, discloses, or uses
a consumer's biological data or neural data for purposes other
than those provided in subsection (a), before the transfer,
disclosure, or use, shall notify the consumer that the
information may be transferred, disclosed, or used for a
specified purpose and provide the consumer the opportunity to
limit or prevent the transfer, disclosure, or use of the
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limit or prevent the transfer, disclosure, or use of the
biological data or neural data.
Section 3. (a) Any consumer may report a violation of
this act to the Consumer Interest Division of the Office of
the Attorney General.
(b) The Consumer Interest Division of the Office of the
Attorney General may enforce this act by a civil action in
circuit court to enjoin any practice or conduct in violation
of this act or to recover a civil penalty of up to three
thousand dollars ($3,000) for each violation.
(c) Any civil penalty and costs may be waived if the
covered entity has made full restitution or has paid actual
damages to any consumer who has been injured by a violation of
this act.
(d) In any settlement of a claim or civil action
resulting from a violation of this act, the Office of the
Attorney General shall receive reasonable attorney fees and
costs.
Section 4. This act shall become effective on October
1, 2025.
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