We use cookies to give you the best online experience. By using our website you agree to our use of cookies in accordance with our cookie policy. Learn more here.Close Me
No matter how big or small your company currently might be, your
company needs a geolocation policy that takes human rights into
account if you are either: (1) gathering or storing data that
personally identifies your customers; or (2) providing a platform
for creating or storing user generated content.
Technology companies typically first think about geolocation
when they have grown to the point where they need to locate data
somewhere other than their home base for redundancy reasons or to
reduce network latency. While companies usually don't have much
of a choice in deciding where to geo-locate their first servers
(because the servers are located wherever the company was founded),
companies should be conscious of the impact that the geolocation of
data has on the privacy and freedom of expression rights of their
users.
Two things need to be kept in mind above all else. The first is
that locating data in a particular jurisdiction often means that
the company acquires a physical presence in that jurisdiction.
Local government authorities who want to access that data for
whatever reason then gain the "nuclear option" of
physically raiding a data center or holding one or more employees
in contempt of court for failing to turn over the data being
sought.
The second is that not all jurisdictions are created equally
when it comes to their legal framework for protecting privacy and
freedom of expression. China is the archetypal example of a country
with weak protections for both privacy and freedom of
expression–at least against government requests for
information about the online activities of particular users. But
even established democracies vary greatly in terms of the
protections they afford personally identifying information or
user-generated content against overly broad requests from law
enforcement.
In order to protect both the human rights of their users as well
as their corporate good name, companies should conduct a human
rights impact assessment before geolocating data in a new
jurisdiction. Such a review should begin by considering all local
laws governing the disclosure of information to law enforcement and
intelligence agencies in normal and emergency circumstances. If
concerns are identified, the company should consider serving that
market from a nearby jurisdiction that affords greater protections
for human rights.
For example, it might be possible to serve China from Hong Kong,
or parts of the Middle East from the eastern Mediterranean.
Finally, if the only technologically feasible choice is to
geolocate servers in a less than ideal jurisdiction, the company
should think long and hard about what data it collects, how long it
retains such data, and whether the data really needs to be retained
in a way that makes it personally identifiable.
Even in a benign legal environment, it's a good idea to
reduce the amount of data your company collects and retains in
order to minimize the harm that might be caused by a security
breach. Building privacy and security into products by design makes
it all the more easier for a company to service users far from home
without compromising their rights or the company's reputation
in the process.
To view Foley Hoag's Corporate Social Responsibility
Blog please click
here
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
Last month, the National Association of Corporate Directors took a stab at identifying ground rules in its "Directors’ Guide" to corporate board and committee minutes.
Doing business in New York can be performed through a number of legal structures ranging from sole proprietorships to corporations. This advisory provides basic information on the different legal forms and the services that can be offered by Murray LLP for your business.
The SEC has recently announced that it entered into a Non-Prosecution Agreement with Ralph Lauren Corp. in connection with alleged violations of the Foreign Corrupt Practices Act.
The time has come to take out and refresh those business associate agreements, HIPAA privacy and security compliance manuals, and HIPAA privacy notices.