20 Hours a Month Reading Privacy Policies

Barence sends word of research out of Carnegie Mellon University calling for changes in the way Web sites present privacy policies. The researchers, one of whom is an EFF board member, calculated how long it would take the average user to read through the privacy policies of the sites visited in a year. The answer: 200 hours, at a hypothetical cost to the US economy of $365 billion, more than half the financial bailout package. Every year. The researchers propose that, if the industry can't make privacy policies easier to read or skim, then federal intervention may be needed. This resulted in the predictable cry of outrage from online executives. Here's the study (PDF).

Comments

Re:Solution: Standardized policies

[sakdoctor]

Wasn't that the idea behind P3P

Privacy policies aren't legally enforcable anyway

[Aram Fingal]

Back in the Clinton administration, the FTC tried to set a precedent for enforcement of privacy policies with the case of Toysmart.com. Toysmart.com went bankrupt and a judge ruled that they could sell their customer database in violation of their own privacy policy to settle debt. The Clinton administration tried to reverse the decision on appeal but the case went on after Clinton left office and Bush came in.

The Bush administration tried to broker a compromise allowing Toysmart.com to sell their database as long as it was to a company in the same industry. One of the shareholders in Toysmart.com didn't want to be responsible for that decision so he bought the database himself and destroyed it. No precedent was set and the Bush administration hasn't tried to prosecute anyone for violation of privacy policy since.