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Privacy on the Information Highway

by Peter Sim

 


The publicity that the Information Highway is receiving has resulted in growing public concern over possible invasions of privacy. According to the working group on Access and Social Impact of the federal government's Information Highway Advisory Council, "Canadians are very concerned that their privacy is being invaded and they generally distrust government's ability to ensure the security and confidentiality of personal information. Although technology itself is neutral (the problem is how it's applied), the public tends to focus more on its threats than on its opportunities."

 Both government and business will have to work to overcome this distrust in order to permit Canadians to realize the full potential of new communications technology.
 
 

What is Privacy?

There are three aspects to the privacy. First, there is the right to enjoy a certain amount of personal life free from unwanted interruptions or intrusions. Second, there is the right to communicate with other people without unwanted surveillance. Third, there is the right to control access to information about one's personal life. New information technology threatens all three forms of privacy.
 
 

Surveillance

Computers are making it possible to employers to monitor their employees activities in greater detail than ever before.

 Private e-mail is a major area of controversy. Employees resent their employer being able to read their e-mail. Employers respond that they have a right to control how their computers and their work time are used.

 Private internet service providers face similar problems. Customers naturally expect that their e-mail will be private. However, the law concerning the responsibility of bulletin boards operators and internet service providers for what goes on their syste ms is not clear. An internet service provider which does not monitor its system could be sued for defamation or charged for distributing pornography or hate literature.
 
 

Personal Information

The greatest new threat to privacy is the growing capacity of information technology to collect and distribute personal information. This has been a problem for many years but recent developments have greatly increased the potential for harm.

 More personal information is being stored in electronic data banks every day. Each time an individual uses a credit card, rents a video or makes a telephone call a record is entered onto a computer. Barcode scanners make it possible to record detailed inf ormation about a consumer's shopping habits.

The record of a single credit card can reveal a great deal about a person. By cross-matching data from several sources it it possible to create a detailed portrait of an individual's lifestyle, tastes, political views and health. Individuals can be denied credit, insurance or employment on the basis of information in a data bank they have never heard of.

As the number of data banks increases the potential for errors, fraud and unauthorized access increases. Sharing of information between data banks creates the risk that an error in one computer will be passed on to other systems before it can be corrected .
 
 

Intrusion

The collection of personal information is often a first step to direct intrusions into people's lives. Personal appeals through direct mail and tele-marketing are becoming an increasingly common sales technique. Direct marketing companies use computerized lists purchased from various sources to select their target audiences.

With the information now available it is possible to target audiences in terrifying detail. In the not too distant future it may be possible for a direct marketer to identify every consumer who purchased a particular product and schedule telephone calls t o them on the night they are watching their favourite show.

 Even more serious abuses are possible. Information from computer data banks can be used by politicians to embarrass their opponents or by stalkers to harass their victims. Personal profiles based on income, lifestyle and consumer choices can be used as a way of getting around prohibitions against discrimination on the basis of race, sex or religion.

The Canadian Radio Television and Telecommunications Commission recently responded to public complaints about one form of intrusion by issuing new rules restricting the use of automatic dialing and announcing devices for telephone solicitation.
 
 

The Other Side

There are also legitimate uses for personal information banks. A credit rating system which cuts down on lenders' losses from bad loans ultimately benefits honest borrowers. Computer data banks can help to collect child support payments, keep dangerous dr ivers off the road and catch criminals.
 
 

Existing Legal Protection

There is no comprehensive right of privacy recognized in the Canadian Charter of Rights or elsewhere. However, there are a whole series of specific protections for certain kinds of information.

 The federal government has a Privacy Act which controls the release of personal information held by the government. No information about a person can be released by a government department until the person concerned has been notified and given a chance to object. There are numerous exceptions which permit sharing of information between government departments and other levels of government.

 Quebec, Ontario, Saskatchewan, British Columbia, Nova Scotia and Alberta all have provincial privacy legislation. The scope of the legislation varies. In British Columbia, the Privacy Commissioner has the power to make binding orders to prevent government departments from collecting or disclosing personal information. In Quebec, the Civil Code regulates both private and public information holdings.

 The Criminal Code prohibits interception of private communications, including monitoring of cellular telephone messages, and unauthorized access to computer service s.

 Manitoba has no comprehensive privacy legislation but it does have specific laws which restrict disclosure of information such as hospital and pharmacy records.

 Regulation of data held by the private sector is even more sporadic. In Manitoba, The Personal Investigations Act regulates the activities of credit reporting agencies. Individuals are given the right to see their credit files and to demand changes to ina ccurate information.

Voluntary Standards

Businesses have attempted to regulate themselves through voluntary codes of conduct. The Canadian Direct Marketing Association has a code which allows consumers to request that their names be removed from a mailing list or that their name not be sold to o ther companies. Canada's banks adopted a privacy code in 1991. The Canadian Standards Association is working on a national privacy standard which should be available for public review by the end of this year.

 The problem with voluntary standards is that they often cannot overcome the pressure of the bottom line. Computer technology has made personal information a valuable commodity. Companies which see the potential to make substantial profits by selling infor mation on their customers may not be deterred by a purely voluntary code of conduct.
 
 

Technological Solutions

New information technology can be designed so that they do not invade privacy. In my November column, I discussed some techniques for protecting privacy using public key encryption and personal smart-cards.

 Technological solutions create political problems. Should businesses be required by law to include privacy protection features in new technology? Should these features be part of the basic service or an optional extra which users must pay for?
 
 

International Developments

Today data moves across national boundaries as easily as across provincial borders. The Organization for Economic Cooperation and Development has been working on the privacy implications of transborder data flow since 1969. In 1980 the OECD issued guideli nes on protection of privacy of personal data.

In 1990 the Commission of the European Community released a draft directive on data protection which applied to all personal data in computer or paper files. The directive will restrict the export of personal information to any country which does not have adequate privacy legislation.
 
 

Movements for Change

Both Canada and the United States are reconsidering their approach to privacy of personal information.

Industry Canada has issued a discussion paper entitled Privacy and the Information Highway: Building Canada's Information and C ommunications Infrastructure. This paper is the first step in a public consultation process which may result in new regulations or legislation.

 The National Information Infrastructure Initiative in the United States has also struck a task force on privacy issues.

If you are interested in these issues you can obtain more information from a number of groups which have been formed to engage in research and lobbying. Electronic Frontier Canada is an organization whi ch was founded, "to shape Canada's computing and communications infrastructure and the policies that govern it, in order to maintain privacy and other democratic values." On November 24, it sponsored a symposium Free Speech and Privacy in the Informatio n Age.

The Electronic Frontier Foundation and Computer Professionals for Social Responsibility do similar work in the United States. More information on all these organizations is available on the World Wide Web. (See my home page for a selection of links.)
 
 

Self Defence

Meanwhile, there are some basic steps you can take to protect your own privacy.

Do not give out your Social Insurance Number and other identification numbers unless absolutely necessary.

Give your credit card numbers over the phone, fax or electronic mail only when you are sure you are dealing with someone reliable. Do not give out credit card numbers or other confidential information over cellular telephones.

 Check your credit card statements against your sales slips for unauthorized transactions.

 If you receive unwanted mail or telephone calls, ask to have your name taken off the list.

Ask to see your file at the local credit bureau and review it for errors.

Laws and regulations can provide some protection but the final responsibility for preserving individual privacy rests with the individual.
 
 

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Prepared by:

Peter Sim                              Phone  (204) 475-5886 (o)
Barrister and Solicitor                Fax    (204) 453-8522        
137 Scott Street                       
Winnipeg, Manitoba R3L 0K9             e-mail psim@mbnet.mb.ca

Home Page: http://www.mbnet.mb.ca/~psim/index.html

                         DISCLAIMER
This article is prepared for general information only. It is not 
intended to be relied on as legal advice.


                          COPYRIGHT NOTICE
                  Copyright (c) 1994 Peter Sim
All rights reserved except the following: Users may make copies
in paper or electronic form for distribution, without charge, 
provided that the article is copied in its entirety and this 
copyright notice, the above disclaimed and the name and address
of the author are included with all such copies.

This article orginally appeared in THE COMPUTER POST - Manitoba's
Business and Technology Newspaper
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