Illinois 2023-2024 Regular Session

Illinois House Bill HB5454 Latest Draft

Bill / Introduced Version Filed 02/09/2024

                            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.
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    LRB103 36595 JRC 66704 b
A BILL FOR
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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.
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A BILL FOR

 

 

815 ILCS 530/5
815 ILCS 530/10
815 ILCS 530/60 new



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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

 

 

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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

 

 

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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

 

 

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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

 

 

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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

 

 

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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.

 

 

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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
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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

 

 

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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

 

 

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