103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5454 Introduced , by Rep. Carol Ammons SYNOPSIS AS INTRODUCED: 815 ILCS 530/5815 ILCS 530/10815 ILCS 530/60 new Amends the Personal Information Protection Act. Provides protections for social media users and creates a private cause of action for them if their accounts have been hacked and not restored by social media websites under certain circumstances. Defines a social media website as an Internet website or mobile application that enables users to communicate with each other by posting information, comments, messages, or images; is open to the public; has more than 75 million subscribers; and has never been specifically affiliated with any religion or political party. Provides that, if a court finds that a social media website has violated this Act, the court may award actual damages computed at a rate of $1,000 per violation per day and reasonable attorney's fees and costs incurred in maintaining that civil action. Requires the social media website to restore access to the user's online account within 24 hours of the discovery of the security breach; provide notice of the breach of security within seven days of the discovery; and provide instructions for restoring the integrity of the user's online account of a social media website in compliance with this Act. LRB103 36595 JRC 66704 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5454 Introduced , by Rep. Carol Ammons SYNOPSIS AS INTRODUCED: 815 ILCS 530/5815 ILCS 530/10815 ILCS 530/60 new 815 ILCS 530/5 815 ILCS 530/10 815 ILCS 530/60 new Amends the Personal Information Protection Act. Provides protections for social media users and creates a private cause of action for them if their accounts have been hacked and not restored by social media websites under certain circumstances. Defines a social media website as an Internet website or mobile application that enables users to communicate with each other by posting information, comments, messages, or images; is open to the public; has more than 75 million subscribers; and has never been specifically affiliated with any religion or political party. Provides that, if a court finds that a social media website has violated this Act, the court may award actual damages computed at a rate of $1,000 per violation per day and reasonable attorney's fees and costs incurred in maintaining that civil action. Requires the social media website to restore access to the user's online account within 24 hours of the discovery of the security breach; provide notice of the breach of security within seven days of the discovery; and provide instructions for restoring the integrity of the user's online account of a social media website in compliance with this Act. LRB103 36595 JRC 66704 b LRB103 36595 JRC 66704 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5454 Introduced , by Rep. Carol Ammons SYNOPSIS AS INTRODUCED: 815 ILCS 530/5815 ILCS 530/10815 ILCS 530/60 new 815 ILCS 530/5 815 ILCS 530/10 815 ILCS 530/60 new 815 ILCS 530/5 815 ILCS 530/10 815 ILCS 530/60 new Amends the Personal Information Protection Act. Provides protections for social media users and creates a private cause of action for them if their accounts have been hacked and not restored by social media websites under certain circumstances. Defines a social media website as an Internet website or mobile application that enables users to communicate with each other by posting information, comments, messages, or images; is open to the public; has more than 75 million subscribers; and has never been specifically affiliated with any religion or political party. Provides that, if a court finds that a social media website has violated this Act, the court may award actual damages computed at a rate of $1,000 per violation per day and reasonable attorney's fees and costs incurred in maintaining that civil action. Requires the social media website to restore access to the user's online account within 24 hours of the discovery of the security breach; provide notice of the breach of security within seven days of the discovery; and provide instructions for restoring the integrity of the user's online account of a social media website in compliance with this Act. LRB103 36595 JRC 66704 b LRB103 36595 JRC 66704 b LRB103 36595 JRC 66704 b A BILL FOR HB5454LRB103 36595 JRC 66704 b HB5454 LRB103 36595 JRC 66704 b HB5454 LRB103 36595 JRC 66704 b 1 AN ACT concerning civil actions. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Personal Information Protection Act is 5 amended by changing Sections 5 and 10 and by adding Section 60 6 as follows: 7 (815 ILCS 530/5) 8 Sec. 5. Definitions. In this Act: 9 "Data collector" may include, but is not limited to, 10 government agencies, public and private universities, 11 privately and publicly held corporations, financial 12 institutions, retail operators, and any other entity that, for 13 any purpose, handles, collects, disseminates, or otherwise 14 deals with nonpublic personal information. 15 "Breach of the security of the system data" or "breach" 16 means unauthorized acquisition of computerized data that 17 compromises the security, confidentiality, or integrity of 18 personal information maintained by the data collector. "Breach 19 of the security of the system data" does not include good faith 20 acquisition of personal information by an employee or agent of 21 the data collector for a legitimate purpose of the data 22 collector, provided that the personal information is not used 23 for a purpose unrelated to the data collector's business or 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5454 Introduced , by Rep. Carol Ammons SYNOPSIS AS INTRODUCED: 815 ILCS 530/5815 ILCS 530/10815 ILCS 530/60 new 815 ILCS 530/5 815 ILCS 530/10 815 ILCS 530/60 new 815 ILCS 530/5 815 ILCS 530/10 815 ILCS 530/60 new Amends the Personal Information Protection Act. Provides protections for social media users and creates a private cause of action for them if their accounts have been hacked and not restored by social media websites under certain circumstances. Defines a social media website as an Internet website or mobile application that enables users to communicate with each other by posting information, comments, messages, or images; is open to the public; has more than 75 million subscribers; and has never been specifically affiliated with any religion or political party. Provides that, if a court finds that a social media website has violated this Act, the court may award actual damages computed at a rate of $1,000 per violation per day and reasonable attorney's fees and costs incurred in maintaining that civil action. Requires the social media website to restore access to the user's online account within 24 hours of the discovery of the security breach; provide notice of the breach of security within seven days of the discovery; and provide instructions for restoring the integrity of the user's online account of a social media website in compliance with this Act. LRB103 36595 JRC 66704 b LRB103 36595 JRC 66704 b LRB103 36595 JRC 66704 b A BILL FOR 815 ILCS 530/5 815 ILCS 530/10 815 ILCS 530/60 new LRB103 36595 JRC 66704 b HB5454 LRB103 36595 JRC 66704 b HB5454- 2 -LRB103 36595 JRC 66704 b HB5454 - 2 - LRB103 36595 JRC 66704 b HB5454 - 2 - LRB103 36595 JRC 66704 b 1 subject to further unauthorized disclosure. 2 "Health insurance information" means an individual's 3 health insurance policy number or subscriber identification 4 number, any unique identifier used by a health insurer to 5 identify the individual, or any medical information in an 6 individual's health insurance application and claims history, 7 including any appeals records. 8 "Medical information" means any information regarding an 9 individual's medical history, mental or physical condition, or 10 medical treatment or diagnosis by a healthcare professional, 11 including such information provided to a website or mobile 12 application. 13 "Personal information" means either of the following: 14 (1) An individual's first name or first initial and 15 last name in combination with any one or more of the 16 following data elements, when either the name or the data 17 elements are not encrypted or redacted or are encrypted or 18 redacted but the keys to unencrypt or unredact or 19 otherwise read the name or data elements have been 20 acquired without authorization through the breach of 21 security: 22 (A) Social Security number. 23 (B) Driver's license number or State 24 identification card number. 25 (C) Account number or credit or debit card number, 26 or an account number or credit card number in HB5454 - 2 - LRB103 36595 JRC 66704 b HB5454- 3 -LRB103 36595 JRC 66704 b HB5454 - 3 - LRB103 36595 JRC 66704 b HB5454 - 3 - LRB103 36595 JRC 66704 b 1 combination with any required security code, access 2 code, or password that would permit access to an 3 individual's financial account. 4 (D) Medical information. 5 (E) Health insurance information. 6 (F) Unique biometric data generated from 7 measurements or technical analysis of human body 8 characteristics used by the owner or licensee to 9 authenticate an individual, such as a fingerprint, 10 retina or iris image, or other unique physical 11 representation or digital representation of biometric 12 data. 13 (2) User name or email address, in combination with a 14 password or security question and answer that would permit 15 access to an online account, when either the user name or 16 email address or password or security question and answer 17 are not encrypted or redacted or are encrypted or redacted 18 but the keys to unencrypt or unredact or otherwise read 19 the data elements have been obtained through the breach of 20 security. 21 "Personal information" does not include publicly available 22 information that is lawfully made available to the general 23 public from federal, State, or local government records. 24 "Social media website" means an Internet website or mobile 25 application that enables users to communicate with each other 26 by posting information, comments, messages, or images, and HB5454 - 3 - LRB103 36595 JRC 66704 b HB5454- 4 -LRB103 36595 JRC 66704 b HB5454 - 4 - LRB103 36595 JRC 66704 b HB5454 - 4 - LRB103 36595 JRC 66704 b 1 that meets the following criteria: is open to the public; has 2 more than 75,000,000 subscribers; and has never been 3 specifically affiliated with any religion or political party. 4 (Source: P.A. 99-503, eff. 1-1-17.) 5 (815 ILCS 530/10) 6 Sec. 10. Notice of breach; notice to Attorney General. 7 (a) Any data collector that owns or licenses personal 8 information concerning an Illinois resident shall notify the 9 resident at no charge that there has been a breach of the 10 security of the system data following discovery or 11 notification of the breach. The disclosure notification shall 12 be made in the most expedient time possible and without 13 unreasonable delay, consistent with any measures necessary to 14 determine the scope of the breach and restore the reasonable 15 integrity, security, and confidentiality of the data system. 16 The disclosure notification to an Illinois resident shall 17 include, but need not be limited to, information as follows: 18 (1) With respect to personal information as defined in 19 Section 5 in paragraph (1) of the definition of "personal 20 information": 21 (A) the toll-free numbers and addresses for 22 consumer reporting agencies; 23 (B) the toll-free number, address, and website 24 address for the Federal Trade Commission; and 25 (C) a statement that the individual can obtain HB5454 - 4 - LRB103 36595 JRC 66704 b HB5454- 5 -LRB103 36595 JRC 66704 b HB5454 - 5 - LRB103 36595 JRC 66704 b HB5454 - 5 - LRB103 36595 JRC 66704 b 1 information from these sources about fraud alerts and 2 security freezes. 3 (2) With respect to personal information defined in 4 Section 5 in paragraph (2) of the definition of "personal 5 information", notice may be provided in electronic or 6 other form directing the Illinois resident whose personal 7 information has been breached to promptly change his or 8 her user name or password and security question or answer, 9 as applicable, or to take other steps appropriate to 10 protect all online accounts for which the resident uses 11 the same user name or email address and password or 12 security question and answer. 13 The notification shall not, however, include information 14 concerning the number of Illinois residents affected by the 15 breach. 16 (b) Any data collector that maintains or stores, but does 17 not own or license, computerized data that includes personal 18 information that the data collector does not own or license 19 shall notify the owner or licensee of the information of any 20 breach of the security of the data immediately following 21 discovery, if the personal information was, or is reasonably 22 believed to have been, acquired by an unauthorized person. In 23 addition to providing such notification to the owner or 24 licensee, the data collector shall cooperate with the owner or 25 licensee in matters relating to the breach. That cooperation 26 shall include, but need not be limited to, (i) informing the HB5454 - 5 - LRB103 36595 JRC 66704 b HB5454- 6 -LRB103 36595 JRC 66704 b HB5454 - 6 - LRB103 36595 JRC 66704 b HB5454 - 6 - LRB103 36595 JRC 66704 b 1 owner or licensee of the breach, including giving notice of 2 the date or approximate date of the breach and the nature of 3 the breach, and (ii) informing the owner or licensee of any 4 steps the data collector has taken or plans to take relating to 5 the breach. The data collector's cooperation shall not, 6 however, be deemed to require either the disclosure of 7 confidential business information or trade secrets or the 8 notification of an Illinois resident who may have been 9 affected by the breach. 10 (b-5) The notification to an Illinois resident required by 11 subsection (a) of this Section may be delayed if an 12 appropriate law enforcement agency determines that 13 notification will interfere with a criminal investigation and 14 provides the data collector with a written request for the 15 delay. However, the data collector must notify the Illinois 16 resident as soon as notification will no longer interfere with 17 the investigation. 18 (c) For purposes of this Section, notice to consumers may 19 be provided by one of the following methods: 20 (1) written notice; 21 (2) electronic notice, if the notice provided is 22 consistent with the provisions regarding electronic 23 records and signatures for notices legally required to be 24 in writing as set forth in Section 7001 of Title 15 of the 25 United States Code; or 26 (3) substitute notice, if the data collector HB5454 - 6 - LRB103 36595 JRC 66704 b HB5454- 7 -LRB103 36595 JRC 66704 b HB5454 - 7 - LRB103 36595 JRC 66704 b HB5454 - 7 - LRB103 36595 JRC 66704 b 1 demonstrates that the cost of providing notice would 2 exceed $250,000 or that the affected class of subject 3 persons to be notified exceeds 500,000, or the data 4 collector does not have sufficient contact information. 5 Substitute notice shall consist of all of the following: 6 (i) email notice if the data collector has an email 7 address for the subject persons; (ii) conspicuous posting 8 of the notice on the data collector's web site page if the 9 data collector maintains one; and (iii) notification to 10 major statewide media or, if the breach impacts residents 11 in one geographic area, to prominent local media in areas 12 where affected individuals are likely to reside if such 13 notice is reasonably calculated to give actual notice to 14 persons whom notice is required. 15 (d) Notwithstanding any other subsection in this Section, 16 a data collector that maintains its own notification 17 procedures as part of an information security policy for the 18 treatment of personal information and is otherwise consistent 19 with the timing requirements of this Act, shall be deemed in 20 compliance with the notification requirements of this Section 21 if the data collector notifies subject persons in accordance 22 with its policies in the event of a breach of the security of 23 the system data. 24 (e)(1) This subsection does not apply to data collectors 25 that are covered entities or business associates and are in 26 compliance with Section 50. HB5454 - 7 - LRB103 36595 JRC 66704 b HB5454- 8 -LRB103 36595 JRC 66704 b HB5454 - 8 - LRB103 36595 JRC 66704 b HB5454 - 8 - LRB103 36595 JRC 66704 b 1 (2) Any data collector required to issue notice pursuant 2 to this Section to more than 500 Illinois residents as a result 3 of a single breach of the security system shall provide notice 4 to the Attorney General of the breach, including: 5 (A) A description of the nature of the breach of 6 security or unauthorized acquisition or use. 7 (B) The number of Illinois residents affected by such 8 incident at the time of notification. 9 (C) Any steps the data collector has taken or plans to 10 take relating to the incident. 11 Such notification must be made in the most expedient time 12 possible and without unreasonable delay but in no event later 13 than when the data collector provides notice to consumers 14 pursuant to this Section. If the date of the breach is unknown 15 at the time the notice is sent to the Attorney General, the 16 data collector shall send the Attorney General the date of the 17 breach as soon as possible. 18 Upon receiving notification from a data collector of a 19 breach of personal information, the Attorney General may 20 publish the name of the data collector that suffered the 21 breach, the types of personal information compromised in the 22 breach, and the date range of the breach. 23 (f) In accordance with federal law, any business that 24 operates a social media website shall, within 24 hours of 25 discovery of a breach of security to a user whose online 26 account or personal information was, or is reasonably believed HB5454 - 8 - LRB103 36595 JRC 66704 b HB5454- 9 -LRB103 36595 JRC 66704 b HB5454 - 9 - LRB103 36595 JRC 66704 b HB5454 - 9 - LRB103 36595 JRC 66704 b 1 to have been, accessed by an unauthorized person, determine 2 the scope of the breach of security and restore the reasonable 3 integrity of, and access to, the online account to the user. 4 Any discovery of breach of security shall be documented in 5 writing by the business that operates the social media website 6 and retained for 5 years. 7 (g) Within 7 days of the discovery of the breach of 8 security to a user's account, the business that operates the 9 social media website shall provide clear and conspicuous 10 notice delivered to the user through the email and mobile 11 phone number that was associated with the online account prior 12 to the breach of security. 13 (h) The business that operates the social media website 14 shall include within the notification instructions that 15 directs the customer whose online account has been breached to 16 promptly change any password and security question or answer, 17 as applicable, and to take other appropriate steps to protect 18 and restore the integrity of the online account of the social 19 media website. 20 (i) The Department of Innovation and Technology may 21 promulgate rules and regulations necessary to effectuate this 22 subsection. 23 (Source: P.A. 100-201, eff. 8-18-17; 101-343, eff. 1-1-20.) 24 (815 ILCS 530/60 new) 25 Sec. 60. Private cause of action for violation of this Act HB5454 - 9 - LRB103 36595 JRC 66704 b HB5454- 10 -LRB103 36595 JRC 66704 b HB5454 - 10 - LRB103 36595 JRC 66704 b HB5454 - 10 - LRB103 36595 JRC 66704 b 1 by a business operating a social media website. 2 (a) Any user of a social media website may bring an action 3 in any court of competent jurisdiction following the discovery 4 of a breach of security by the business that operates the 5 social media website, if the user: 6 (1) has not had access restored to the user's online 7 account within 24 hours of the discovery of the security 8 breach as required by this Act; 9 (2) has not been provided notice of the breach of 10 security within seven days of such discovery, as required 11 by this Act; or 12 (3) has not been provided instructions for restoring 13 the integrity of the user's online account of a social 14 media website in compliance with this Act. 15 (b) If a court of competent jurisdiction finds that a 16 social media website has violated this Section, the court may 17 award actual damages computed at a rate of $1,000 per 18 violation per day and reasonable attorney's fees and costs 19 incurred in maintaining that civil action. 20 (c) This private right of action authorized pursuant to 21 this Section does not supplant any other claim or cause of 22 action available to a customer under common law or by statute. 23 The provisions of this subsection are in addition to any other 24 common law and statutory remedies. 25 (d) Nothing in this Section may be construed as creating a 26 private right of action against the State or any political HB5454 - 10 - LRB103 36595 JRC 66704 b HB5454- 11 -LRB103 36595 JRC 66704 b HB5454 - 11 - LRB103 36595 JRC 66704 b HB5454 - 11 - LRB103 36595 JRC 66704 b HB5454 - 11 - LRB103 36595 JRC 66704 b