New York City Council Proposal Places Consumer Privacy at Risk and Hurts Small Businesses

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Posted by Karl Abramson on Monday, July 19th, 2021, 3:57 PM PERMALINK

Earlier this morning, Americans for Tax Reform wrote to New York City’s council, urging them to oppose Intro 2311, a bill that would force meal delivery services to share private consumer data with restaurants. 

Intro 2311 would be a disaster for consumers and businesses, placing consumer security and safety and risk, and exposing small family-owned restaurants to significant legal liability” said Director of Consumer Issues Tim Andrews. “With no privacy safeguards in place, customer’s private details could be sold to third parties without their consent, restaurant staff could know the personal addresses of customers subjecting them to stalking and harassment, as has occurred in other countries, and the lack of any security provisions means consumer private data could be easily hacked.” 

Andrews continued: “This Bill is not only bad for consumers; it is bad for businesses. Family-owned restaurants don’t have the resources to protect their data from being extorted in increasingly common ‘ransomware’ attacks. Security breaches would not only harm users, but they could also force small businesses to cease operations as a result of multi-million-dollar legal liability costs, in addition to the inevitable loss of customers.” 

Andrews added: “Consumer data is one of the most valuable assets of the modern era. To allow restaurants to sell this private information to credit firms, banks, political campaigns, or unscrupulous bad actors with no privacy protections whatsoever violates every rule of sound public policy. Should the very delivery firms that were responsible for keeping restaurants in businesses, and families fed, throughout the pandemic be forced to turn over their valuable data for free to businesses unable to manage it securely, all New Yorkers will suffer as a result."

The full letter can be read here

Photo Credit: Jörg Schubert

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