<?xml version="1.0"?>
<?xml-stylesheet type="text/xsl" href="billres.xsl"?>
<!DOCTYPE bill PUBLIC "-//US Congress//DTDs/bill.dtd//EN" "bill.dtd">
<bill bill-stage="Introduced-in-House" dms-id="H2A9B7E0E53814225B604CDF0971DFF16" public-private="public" key="H" bill-type="olc"><metadata xmlns:dc="http://purl.org/dc/elements/1.1/">
<dublinCore>
<dc:title>118 HR 10540 IH: Health and Location Data Protection Act of 2024</dc:title>
<dc:publisher>U.S. House of Representatives</dc:publisher>
<dc:date>2024-12-19</dc:date>
<dc:format>text/xml</dc:format>
<dc:language>EN</dc:language>
<dc:rights>Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.</dc:rights>
</dublinCore>
</metadata>
<form>
<distribution-code display="yes">I</distribution-code><congress display="yes">118th CONGRESS</congress><session display="yes">2d Session</session><legis-num display="yes">H. R. 10540</legis-num><current-chamber>IN THE HOUSE OF REPRESENTATIVES</current-chamber><action display="yes"><action-date date="20241219">December 19, 2024</action-date><action-desc><sponsor name-id="S001205">Ms. Scanlon</sponsor> (for herself, <cosponsor name-id="J000298">Ms. Jayapal</cosponsor>, <cosponsor name-id="V000081">Ms. Velázquez</cosponsor>, and <cosponsor name-id="E000297">Mr. Espaillat</cosponsor>) introduced the following bill; which was referred to the <committee-name committee-id="HIF00">Committee on Energy and Commerce</committee-name></action-desc></action><legis-type>A BILL</legis-type><official-title display="yes">To prohibit data brokers from selling and transferring certain sensitive data.</official-title></form><legis-body id="H201EF2BFAEEF4F449F640F692B06A3AE" style="OLC"><section id="H6D080C9ADCAC4F7BB9C456F638DE3DEC" section-type="section-one"><enum>1.</enum><header>Short title</header><text display-inline="no-display-inline">This Act may be cited as the <quote><short-title>Health and Location Data Protection Act of 2024</short-title></quote>.</text></section><section id="HC8E1696D62A74FC09E60D57B92AAD786"><enum>2.</enum><header>Unfair and deceptive acts and practices relating to health and location data</header><subsection id="HF831A6D8F56E4EC2BDB1636E65502874"><enum>(a)</enum><header>In general</header><text>It shall be unlawful for a data broker to sell, resell, license, trade, transfer, share, or otherwise provide or make available any of the following forms of data, whether declared or inferred, of an individual:</text><paragraph id="H03465034FB944ECEB6EC19FF3AC43B65"><enum>(1)</enum><text>Location data.</text></paragraph><paragraph id="H9DAA8FB727F147E68EC862B2F3E43DE1"><enum>(2)</enum><text>Health data.</text></paragraph><paragraph id="HFD479B56C1D74AC482A8731B4D968EA8"><enum>(3)</enum><text>Other categories of data identified by the Commission that address or reveal a category of data described in paragraphs (1) and (2).</text></paragraph></subsection><subsection id="HFAF63DD1241648DAAC99D41CFCD350A3"><enum>(b)</enum><header>Exceptions</header><paragraph id="H7BB79102F8914CC18D15C7AFE1036B17"><enum>(1)</enum><header>Actions that are HIPAA-compliant</header><subparagraph id="H4B63C7C1E777419284665E7CF7000C01"><enum>(A)</enum><header>In general</header><text>Nothing in this Act shall be construed to prohibit any action taken with respect to the health information of an individual by a data broker acting in its capacity as a business associate or covered entity, that is permissible under the Federal regulations concerning standards for privacy of individually identifiable health information promulgated under section 264(c) of the Health Insurance Portability and Accountability Act of 1996 (<external-xref legal-doc="usc" parsable-cite="usc/42/1320d-2">42 U.S.C. 1320d–2</external-xref> note).</text></subparagraph><subparagraph id="HF4C018B5146F4FD4A9543373FF0CBEB9"><enum>(B)</enum><header>Application of terms</header><text>In paragraph (1), the terms <term>business associate</term>, <term>covered entity</term>, and <term>health information</term> shall have the meaning given those terms in the Federal regulations specified in such paragraph.</text></subparagraph></paragraph><paragraph id="H1C6D252280BD4B86A157C7DB53FF21C7"><enum>(2)</enum><header>Publication of newsworthy information of legitimate public concern</header><text>Nothing in this Act shall be construed to prohibit the publication of newsworthy information of legitimate public concern.</text></paragraph><paragraph id="H05FF3B7D1AD34021AFA253CE46FCDB92"><enum>(3)</enum><header>Disclosure pursuant to valid authorization</header><text>Nothing in this Act shall be construed to prohibit a disclosure of the data of an individual for which the individual provides valid authorization. For purposes of this paragraph, the term <term>valid authorization</term> has the meaning given such term in section 164.508 of title 45, Code of Federal Regulations (or a successor regulation), subject to such adaptations as the Commission shall deem necessary to apply such term to the disclosure of both location data and health data.</text></paragraph></subsection><subsection id="HD1E4CBEB72754D54892D12EA47E1BC89"><enum>(c)</enum><header>Effective date</header><text>The prohibition under subsection (a) shall take effect on the earlier of—</text><paragraph id="HB7AED6C483484908B0435D8B152EE42A"><enum>(1)</enum><text>the date the Commission issues the final rule under subsection (d); or</text></paragraph><paragraph id="H384B0A90EFF94D34AE526376AE93952D"><enum>(2)</enum><text>180 days after the date of enactment of this Act.</text></paragraph></subsection><subsection id="HE78DE8B6CAAF4BA18EA3179A68EE250C"><enum>(d)</enum><header>Rulemaking</header><paragraph id="H638898F3D93E44E7AA11C1A83E942F29"><enum>(1)</enum><header>Final rule</header><text>Pursuant to section 553 of title 5, United States Code, the Commission shall promulgate regulations to carry out the provisions of this Act. The Commission shall issue a final rule by not later than 180 days after the date of enactment of this Act.</text></paragraph><paragraph id="HBC7B2B5B7007415585980BF55EDC3114"><enum>(2)</enum><header>Additional guidance</header><text>Pursuant to section 553 of title 5, United States Code, the Commission may promulgate further regulations to carry out the provisions of this Act, including further guidance regarding the types of data described in subsection (a).</text></paragraph></subsection></section><section id="HB3FA44295C8A41229B9D4D4C0BBF528E"><enum>3.</enum><header>Enforcement</header><subsection id="H5B63E545916D4DA3A4BBA51636EC20A4"><enum>(a)</enum><header>Enforcement by the Federal Trade Commission</header><paragraph id="HD9CBD5EE5267478E8A2740A64A5094CB"><enum>(1)</enum><header>Unfair or deceptive acts or practices</header><text>A violation of section 2 shall be treated as a violation of a rule defining an unfair or a deceptive act or practice under section 18(a)(1)(B) of the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/57a">15 U.S.C. 57a(a)(1)(B)</external-xref>).</text></paragraph><paragraph id="HD9EDDF9479A24648906019FDFF85BADC"><enum>(2)</enum><header>Powers of Commission</header><subparagraph id="H8763F454015240EE9F0A1E55C3190C4A"><enum>(A)</enum><header>In general</header><text>Except as provided in subparagraphs (D) and (E), the Commission shall enforce section 2 in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/41">15 U.S.C. 41 et seq.</external-xref>) were incorporated into and made a part of this Act.</text></subparagraph><subparagraph id="H6098CB272F80495DB35D9F190FC28A09"><enum>(B)</enum><header>Privileges and immunities</header><text>Any person who violates section 2 shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/41">15 U.S.C. 41 et seq.</external-xref>).</text></subparagraph><subparagraph id="H506365EE0A7644B8903119D202D28A6E"><enum>(C)</enum><header>Authority preserved</header><text>Nothing in this Act shall be construed to limit the authority of the Federal Trade Commission under any other provision of law.</text></subparagraph><subparagraph id="H087F6777003F455C9CE1415EA66AED8B"><enum>(D)</enum><header>Nonprofit organizations</header><text>Notwithstanding section 4 of the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/44">15 U.S.C. 44</external-xref>) or any jurisdictional limitation of the Commission, the Commission shall also enforce this Act, in the same manner provided in subparagraphs (A) and (B), with respect to organizations not organized to carry on business for their own profit or that of their members.</text></subparagraph><subparagraph id="H6D2B77B6FA3C40E39F25C1CAFF65F998"><enum>(E)</enum><header>Independent litigation authority</header><text>In any case in which the Commission has reason to believe that a data broker is violating or has violated section 2, the Commission may bring a civil action in an appropriate district court of the United States to—</text><clause id="HCCCF043F63274B3580B4C2BAC1F27AEB"><enum>(i)</enum><text>enjoin any further such violation by such person;</text></clause><clause id="H1E62E52684614F3CB3798D1637C6C215"><enum>(ii)</enum><text>enforce compliance with this Act, including through deletion of the relevant information;</text></clause><clause id="HD7FDAA7858964C0F95481F84195D61DA"><enum>(iii)</enum><text>obtain a permanent, temporary, or preliminary injunction;</text></clause><clause id="HED03CFC5356C48F8B13529FA43D04BF5"><enum>(iv)</enum><text>obtain civil penalties;</text></clause><clause id="H472C98533D35463B9DEF94FB458C9787"><enum>(v)</enum><text>obtain damages (whether actual, punitive, or otherwise), restitution, disgorgement of unjust enrichment, or other compensation on behalf of aggrieved persons; or</text></clause><clause id="H647BE08D3131474FA182A1754C4D9093"><enum>(vi)</enum><text>obtain any other appropriate equitable relief.</text></clause></subparagraph></paragraph></subsection><subsection id="H669C4C6084AB49FB889F825C57393D1B"><enum>(b)</enum><header>Enforcement by States</header><paragraph id="H40B65E868F1D4D1C8C844279F6D9A9AC"><enum>(1)</enum><header>In general</header><text>In any case in which the attorney general of a State has reason to believe that an interest of the residents of the State has been or is threatened or adversely affected by the engagement of any data broker subject to section 2 in a practice that violates such section, the attorney general of the State may, as parens patriae, bring a civil action on behalf of the residents of the State in an appropriate district court of the United States to—</text><subparagraph id="H0348E8F095DA430EA9C21E09E1A6E55A"><enum>(A)</enum><text>enjoin any further such violation by such person;</text></subparagraph><subparagraph id="H992A57BBCC8F41DE95FDBEA7C4C100BE"><enum>(B)</enum><text>enforce compliance with this Act, including through deletion of the relevant information;</text></subparagraph><subparagraph id="HFE5BD3B9C9FD48B9ADA7C62A5AB8A0B0"><enum>(C)</enum><text>obtain a permanent, temporary, or preliminary injunction;</text></subparagraph><subparagraph id="HD4E3847765DA496FBF01C573064CD9B3"><enum>(D)</enum><text>obtain civil penalties;</text></subparagraph><subparagraph id="H89268E3DDF074C16B0B69E8D95056473"><enum>(E)</enum><text>obtain damages (whether actual, punitive, or otherwise), restitution, disgorgement of unjust enrichment, or other compensation on behalf of aggrieved persons; or</text></subparagraph><subparagraph id="H28B71374F83F4A71A151A2C041792B85"><enum>(F)</enum><text>obtain any other appropriate equitable relief.</text></subparagraph></paragraph><paragraph id="H5EF36941EA8E4A0DA4F756B8F9ADCB44"><enum>(2)</enum><header>Notice</header><text>Before filing an action under paragraph (1), the attorney general, official, or agency of the State involved shall provide to the Commission a written notice of such action and a copy of the complaint for such action. If the attorney general, official, or agency determines that it is not feasible to provide the notice described in this paragraph before the filing of the action, the attorney general, official, or agency shall provide written notice of the action and a copy of the complaint to the Commission immediately upon the filing of the action.</text></paragraph><paragraph id="H52E0665C65104BA2AABC98C5B14EBB65"><enum>(3)</enum><header>Limitation on State action while Federal action is pending</header><text>If the Commission has instituted a civil action for a violation of section 2, no State attorney general, or official or agency of a State, may bring an action under this paragraph during the pendency of that action against any defendant named in the complaint of the Commission for any violation of section 2 alleged in the complaint.</text></paragraph><paragraph id="H2792162E4755426C9A25D297B05F63C8"><enum>(4)</enum><header>Relationship with State-law claims</header><text>If the attorney general of a State has authority to bring an action under State law directed at acts or practices that also violate section 2, the attorney general may assert the State-law claim and a claim under section 2 in the same civil action.</text></paragraph><paragraph id="H5D62189C23BC46A1816737E5E9B3B741"><enum>(5)</enum><header>Investigatory powers</header><text>Nothing in this subsection may be construed to prevent the attorney general of a State from exercising the powers conferred on the attorney general by the laws of the State to conduct investigations, to administer oaths or affirmations, or to compel the attendance of witnesses or the production of documentary or other evidence.</text></paragraph></subsection><subsection id="H29B0B5577EDF4176A133C938F04E07C8"><enum>(c)</enum><header>Private enforcement</header><text>Any person whose interest has been or is threatened or adversely affected by the engagement of any data broker subject to section 2 in a practice that violates such section may bring a civil action in an appropriate district court of the United States to—</text><paragraph id="H91F02ACFEBA942CBBDA50BA7760FD30F"><enum>(1)</enum><text>enjoin any further such violation by such person;</text></paragraph><paragraph id="HCA2DFB1EC2864D0191C73D781BE681BD"><enum>(2)</enum><text>enforce compliance with this Act, including through deletion of the relevant information;</text></paragraph><paragraph id="H658DA20550A844019490D5A48937DA8F"><enum>(3)</enum><text>obtain a permanent, temporary, or preliminary injunction;</text></paragraph><paragraph id="H9A02A89A12494A88830120E8A37543C0"><enum>(4)</enum><text>obtain damages (whether actual, punitive, or otherwise), restitution, or other compensation;</text></paragraph><paragraph id="H4C75B41C140840F7B5088DDA754F52FC"><enum>(5)</enum><text>obtain reasonable attorney’s fees, including litigation expenses, and costs; or</text></paragraph><paragraph id="H7EE8BE0470FC4BDF9D663E472DA7044E"><enum>(6)</enum><text>obtain any other appropriate equitable relief.</text></paragraph></subsection><subsection id="H4FE6D32FB11B4937A3C08456524BFAB5"><enum>(d)</enum><header>Civil penalties</header><text>In addition to any other penalties as may be prescribed by law, a violation of this Act shall carry a civil penalty not to exceed 15 percent of the revenues earned by the person’s ultimate parent entity during the preceding 12-month period.</text></subsection><subsection id="H9723CD73A0784C908933A3C1985AC331"><enum>(e)</enum><header>Exclusive jurisdiction</header><paragraph id="H95384CBBC15F4C69B8B096A800238E20"><enum>(1)</enum><header>District courts</header><text>For any action brought under this Act, the following district courts shall have exclusive jurisdiction:</text><subparagraph id="HACFBDFB21B924C629D63BA93D898B28F"><enum>(A)</enum><text>For actions brought by the Commission, the United States District Court for the District of Columbia.</text></subparagraph><subparagraph id="HDD0E46FCF1554110A4ED7BD4562481C7"><enum>(B)</enum><text>For actions brought by a State attorney general, the district court of the United States for the judicial district in which the capital of the State is located.</text></subparagraph><subparagraph id="HA40F370A0AB7408FA4BA017BE5527D9E"><enum>(C)</enum><text>For private actions brought by persons—</text><clause id="H615B9A654DC842E3844F89C3B7830EF5"><enum>(i)</enum><text>the United States District Court for the District of Columbia; or</text></clause><clause id="HEAC63811437547C09341CA732FBDAA0B"><enum>(ii)</enum><text>the district court of the United States for the judicial district in which the violation took place or in which any defendant resides or does business.</text></clause></subparagraph></paragraph><paragraph id="H504864F675B144009C6C83B50ECBCB0D"><enum>(2)</enum><header>Court of appeals</header><text>The United States Court of Appeals for the District of Columbia Circuit shall have exclusive jurisdiction of appeals from all decisions under paragraph (1).</text></paragraph></subsection><subsection id="H3F795FCB9E4C4F5892AD0016202F3E10"><enum>(f)</enum><header>Statute of limitations</header><text>A proceeding for a violation of this Act may be commenced not later than 6 years after the date upon which the plaintiff obtains actual knowledge of the facts giving rise to such violation.</text></subsection><subsection id="H9DBD0D27A7584FD19507FC2B32AB2F0E"><enum>(g)</enum><header>Preemption</header><text>The provisions of this Act preempt only the provisions of State or local law that require disclosure prohibited by this Act.</text></subsection></section><section id="H4C446E191A454792A9612884708DDE52"><enum>4.</enum><header>Definitions</header><text display-inline="no-display-inline">In this Act:</text><paragraph id="H0C945613376E4EBF8476036476951FF1"><enum>(1)</enum><header>Commission</header><text>The term <term>Commission</term> means the Federal Trade Commission.</text></paragraph><paragraph id="H2F9405A4958B42AB88701EF0C0D0AE0B"><enum>(2)</enum><header>Data</header><subparagraph id="H844C1E4D61AB4CCA8C3BF9801FCCA757"><enum>(A)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this Act, the Commission shall adopt rules in accordance with section 553 of title 5, United States Code, to define the term <term>data</term> for the purpose of implementing and enforcing this Act.</text></subparagraph><subparagraph id="H7CAA6B291FA9447C92807DB9D0BF35E8"><enum>(B)</enum><header>Requirement</header><text>The term <term>data</term> shall include information that is linked, or reasonably linkable, to— </text><clause id="H6A3BFF958BD143638A0C13DEE2CABD5A"><enum>(i)</enum><text>specific individuals; or </text></clause><clause id="H403FDEC1A69541E79EDFFB3E2312D623"><enum>(ii)</enum><text>specific groups of individuals who share the same place of residence or internet protocol address.</text></clause></subparagraph></paragraph><paragraph id="HE1E549DA3CEB420295D807B377CE7F74"><enum>(3)</enum><header>Data broker</header><text>The term <term>data broker</term> means a person that collects, buys, licenses, or infers data about individuals and then sells, licenses, or trades that data.</text></paragraph><paragraph id="H7762BA4523584E7BBF5A246B31B1109F"><enum>(4)</enum><header>Health data</header><text>The term <term>health data</term> means data that reveal or describe—</text><subparagraph id="HF346BF1EB9EA4E419DBCEF8A1AEC8316"><enum>(A)</enum><text>the search for, attempt to obtain, or receipt of any health services;</text></subparagraph><subparagraph id="HDD219E4AC52947A39B6017E904548CDB"><enum>(B)</enum><text>any past, present, or future disability, physical health condition, mental health condition, or health condition of an individual, including, but not limited to, pregnancy and miscarriage; or</text></subparagraph><subparagraph id="H082308F438DF431B8EF62BE43AA3B5DA"><enum>(C)</enum><text>any treatment or diagnosis of a disability or condition described in subparagraph (B).</text></subparagraph></paragraph><paragraph id="HE80513AE8D7D4D23B6D72CD266E7224B"><enum>(5)</enum><header>Location data</header><text>The term <term>location data</term> means data capable of determining the past or present physical location of an individual or an individual’s device.</text></paragraph><paragraph id="H57E1D3FE066E42DFBCEE70AC4636C94F"><enum>(6)</enum><header>State</header><text display-inline="yes-display-inline">The term <term>State</term> means each of the several States, the District of Columbia, each commonwealth, territory, or possession of the United States, and each federally recognized Indian Tribe.</text></paragraph><paragraph id="H38034770F188458B9D9E6D8EAAE7EB92"><enum>(7)</enum><header>Ultimate parent entity</header><text>The term <term>ultimate parent entity</term> has the meaning given the term in section 801.1 of title 16, Code of Federal Regulations (or any successor regulation).</text></paragraph></section><section id="H59F04FB02CAA4145B71A5F4A4F3BFCD3"><enum>5.</enum><header>Funding</header><text display-inline="no-display-inline">In addition to amounts otherwise available, there is appropriated to the Commission for fiscal year 2025, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2034, for carrying out the work of the Commission. </text></section></legis-body></bill> 

