Data Security Meets Sharing Economy Meets Regulatory Enforcement Powers

Which state has an agency enforcement action against the sharing economy? New York’s Attorney General

Which part of the sharing economy is the NY Attorney General looking into? Ride Share

What’s the issue? Buzzfeed reported that company execuitves had access to rider locations through the ride share app

Let’s get to know what could happen in Texas, and look at what enforcement deal was worked out in NY. The settlement included:

• a 20K fine
• requiring ride share entity to adopt a data security plan
  •  encryption of  rider geo-location information
  • adopting  “multi-factor authentication
  • establish corporate data security safeguards like:
    • ​annual privacy and security training for employees
    • designation of a person to supervise a privacy and security program
    • maintain reasonable security practices

NY Daily News | Uber agrees to pay $20K fine, adopt data security provisions to settle probe by AG Schneiderman’s office

The Hill | Uber settles with New York AG over privacy