Congress is considering the American Privacy Rights Act, sweeping privacy legislation that would leave Main Street businesses vulnerable to “drive-by” lawsuits and predatory litigation. The APRA includes a private right of action provision, shifting liability onto small businesses for privacy violations by their service providers.
This sweeping legislation, marketed as a solution to data privacy concerns, disproportionately shields major tech giants while leaving small businesses exposed. If passed, it will limit small businesses’ growth and ability to meet customer needs by hindering their capacity to leverage data solutions for marketing and customer engagement.
Retailers support a comprehensive national data privacy law that establishes protections for consumer data in a consistent manner. Congress should ensure fair protections for Main Street businesses by removing the private right of action provision in the APRA.