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Supreme Court Rules On Corporate Privacy

heptapod writes "The Supreme Court unanimously decided (PDF) Monday that AT&T can't keep embarrassing corporate information that it submits to the government out of public view; 'personal privacy' rights do not apply to corporations. 'We trust that AT&T will not take it personally,' concluded the ruling."

34 of 408 comments (clear)

  1. good start, long way to go by v1 · · Score: 5, Informative

    we still have quite a few other personal rights that have been given to corporations that shouldn't have

    --
    I work for the Department of Redundancy Department.
  2. "personal privacy" rights dont apply by commodore6502 · · Score: 4, Interesting

    About frakking time. Corporations should have no more access to human rights than a tree or rock or building. If an entity can not vote, then it should not have rights.

    Privileges like trademarks and advertising? Sure. But such privileges should be strictly regulated and limited (unlike individual speech rights which should be unlimited).

    --
    Information wants to be expensive AND wants to be free. So you have Value vs. Cheap distribution fighting each other.
    1. Re:"personal privacy" rights dont apply by Trepidity · · Score: 3, Informative

      This is about interpreting the FOIA, not Constitutional rights, so the "rights" involved are whatever Congress wanted to specify in the law, which could have included things relating to corporations if Congress chose to.

      Congress wrote in the FOIA that people can generally request government records, and the government must respond to such requests, except in a list of specific exceptions where the agency is allowed to withhold them. If Congress had wanted to, they could have included "the request would reveal sensitive information about a corporation" in the list. This case just holds that Congress did not in fact include such an exception, implicitly or otherwise.

    2. Re:"personal privacy" rights dont apply by zill · · Score: 3, Funny

      If an entity can not vote, then it should not have rights.

      Of course corporations can vote. They just use the special ballot that lists Benjamin Franklin as a candidate every election.

    3. Re:"personal privacy" rights dont apply by Stormy+Dragon · · Score: 5, Insightful

      If an entity can not vote, then it should not have rights.

      So non-citizens residing the US have no rights? Or children?

      Also, have you considered the full implications of that stance? Could the US, for example, censor Busboy Productions, Inc. on the grounds it has no first ammendment rights? Could they sieze Twitter's computer servers without a warrant on the grounds it has no fourth ammendment rights? Can they tap your wokplace phone without a warrant because your employer has no expectation of privacy?

  3. OK by killmenow · · Score: 4, Insightful

    First off: "We trust that AT&T will not take it personally"

    Hahahaha! That's like a big middle finger stuck right into the ruling. Nice!

    Now that I got that out of my system...the whole corporate personhood thing is such a farce anyway. A corporation is nothing but a group of people. It could be one person or 100,000 people. But if you remove all the people from the corporation, can it make a decision? Can it sign a piece of paper? Can it continue to function at all? NO.

    What's worse: the idea that people do things "on behalf" of corporations. Such as the fallacy that a corporation is to blame and not the person who does the wrong thing and rationalizes "I'm not a sociopath because I decided to pollute that river with toxic waste then obstruct justice during the investigation by shredding all those documents on behalf of the corporation."

    Corporations don't commit crimes. People do. Maybe it's "on behalf of" the corporation. But it's always a person doing the deed.

    Again, a corporation is its people. It's not its own person.

    1. Re:OK by zill · · Score: 4, Insightful

      A single human cell cannot function without the rest of the body.

      A single employee can function without the rest of the corporation.

  4. corporations-as-individuals = insanity by 0111+1110 · · Score: 5, Insightful

    If corporations were individuals they would be sociopaths as this 2003 Canadian documentary endeavors to show. In D&D they would be considered either lawful evil or chaotic evil (depending on the corporation). They are narrowly selfish and greedy to such an extent that as an individual they would almost certainly be criminals. Profit trumps every other concern without exception. So corporations are an evil institution, but are they a necessary evil? The price we pay for economic prosperity. Perhaps, but that doesn't mean we have to give them any more power than necessary to get what we (as a society) want from them (inexpensive, innovative, useful products).

    I consider myself a Libertarian, but I would argue that even in a free society corporations-as-individuals should be prohibited. It simply does not make sense to grant them the same rights as an individual not only because they clearly are a group of individuals, but because corporations need to have limitations on their power and on their predictably ruthlessly selfish/evil behavior. Corporations are the only institutions that can even remotely compete with governments in terms of power and abuse of power and they should be treated warily because of this.

    --
    Quite an experience to live in fear, isn't it? That's what it is to be a slave.
  5. Reading too much into the ruling by Dachannien · · Score: 4, Insightful

    Folks here are already saying things about this ruling diminishing the "person" aspect of corporations. The ruling doesn't really do that. Instead, it rests on a question of statutory construction. In particular, the court says that "personal privacy", a phrase used in FOIA, does not merely mean the privacy of a person, as AT&T argued, but instead refers to particular elements of privacy that only carry meaning when you're talking about an actual human being.

  6. Re:No need to break what isn't broken by Utini420 · · Score: 3, Insightful

    Wouldn't those people's rights be protected by, ya know, being people?

    --
    A little inaccuracy sometimes saves tons of explanation.
  7. Businesses trying to tell us what to do by zoomshorts · · Score: 3, Insightful

    Sadly, most elected officials do not realize, that we the People, ALLOW these businesses to do business in our country.
    Just like they think they lead us, when the words lead, leader and leadership, do not exist in the U.S. Constitution.

    The tail shall not wag the dog. End of story. Get out and vote against these idiots! It is your DUTY as an informed
    electorate.

  8. Re:No need to break what isn't broken by Anonymous Coward · · Score: 5, Insightful

    Has a company ever been put in prison?

  9. Re:No need to break what isn't broken by khallow · · Score: 3, Insightful

    Wouldn't those people's rights be protected by, ya know, being people?

    No. Even in the US that isn't true. If your rights have been violated by law or action, you still have to act to redress your grievance, either in the courts or through communication. What you don't get is that procedures frequently have to be implemented in order for the right to be properly honored.

    For example, the Miranda warning is a judicially mandated action that was deemed necessary so that people who were arrested would aware of their rights. It doesn't follow naturally from the Constitution and didn't come about until about 45 years ago.

    Similarly, corporate personhood is a legal invention. It came about precisely because the courts of the time deemed it necessary in order to honor the rights of the people making up the corporation.

  10. Re:No need to break what isn't broken by sanosuke001 · · Score: 5, Insightful

    No, it would be much easier as we would have to charge individuals with crimes and therefore, individuals in the company would have real personal consequences for their actions instead of having the company take the fall. It also wouldn't have to be a single person; a group of people in collusion would be just as effective.

    --
    -SaNo
  11. Re:No need to break what isn't broken by sjames · · Score: 3, Insightful

    There's a big difference between having some form of legal entity and personhood. The one big thing that must be brought back is actual enforcement of the requirement that a corporation be in the public interest. Breaking the law is never in the public interest, so a corporation that does so is dissolved.

  12. Re:Don't Worry AT&T by RingDev · · Score: 3, Informative

    I believe that is direct contributions, not total political expenditures.

    Take the Koch brothers recent activity in Wisconsin. They donated $43,500 to Governer Walker's election campaing. But, they also donated $1M to the Republican Goveners association (which spent over $2M in Wisconsin) and funded another $2+ million in political activity in Wisconsin through their Americans for Prosperity PAC.

    So if you look at the Koch's contribution to Walker, it doesn't seem all that significant. But if you look at their spending, it's tremendous.

    True, that example is at the state level and the list you linked to is at the federal level. But I would really be surprised to find that that chart includes all investments besides direct contributions by all PAC and subsidiaries and their PACs by all of the groups listed.

    -Rick

    --
    "Most people in the U.S. wouldn't know they live in a tyrannical state if it walked up and grabbed their junk." - MyFirs
  13. Re:Outraged by Tom · · Score: 3, Insightful

    The people certainly not.

    But why does the group need extra rights for itself, if all the people within it already have them?

    --
    Assorted stuff I do sometimes: Lemuria.org
  14. Re:WRONG by Tom · · Score: 3, Insightful

    I personaly don't see why people working together should have less rights than people working alone.

    They don't. The people working at a corporation are nowhere even the subject of the discussion. The rights at stake are additional rights given to the corporation.

    I personally don't see why people working together should have more rights than people working alone.

    --
    Assorted stuff I do sometimes: Lemuria.org
  15. Re:No need to break what isn't broken by Baki · · Score: 4, Insightful

    Many countries make a distinction between natural persons (i.e. humans) and a legal person (entities, corporations). I have to assume that there must be some distiction between the two in the US too, though it is smaller than elsewhere. If not, a corporation being a natural person would have a nationality, and if it is a US nationality, it would have the right to vote in elections, which is not the case.

  16. Re:No need to break what isn't broken by dkleinsc · · Score: 4, Insightful

    Sure they can. For instance, if corporations are property, thanks to asset forfeiture it's possible for the government to charge property with a crime and confiscate it.

    Or alternately, assume they are neither property nor persons. That means that Congress can pass whatever laws about corporations they like (since they nearly always fall under interstate commerce), and the state where the corporation is incorporated can also exercise unchecked control. Either of them could pass a law that states something like "Corporations who commit criminal offenses will be tried as criminal defendants."

    One could argue whether either of those is a good or bad thing, but it's hardly a situation where they can't be charged with a crime.

    --
    I am officially gone from /. Long live http://www.soylentnews.com/
  17. Re:No need to break what isn't broken by Anonymous Coward · · Score: 4, Insightful

    Which typically amounts to a slap on the wrist.

  18. Re:No need to break what isn't broken by Lumpy · · Score: 4, Insightful

    Problem is, "the public" is not what you think it is. that does not mean you or me but "major shareholders" which is the top 1% of the population. Liability to you or me, even if we hold 1,000 shares is nothing. liability to the guy that owns 20% is there.

    the public was sold a bag of goods that was rigged from the start to protect the riches of the top 1% and NOT that of the public.

    --
    Do not look at laser with remaining good eye.
  19. Re:No need to break what isn't broken by Mister+Whirly · · Score: 5, Insightful

    You have summed up the problem pretty effectively. All the execs have to do is pass the buck and they know they can basically get away with whatever they want. And if they are caught, the harshest penalty is monetary - not even personal fines, but rather the corporation. It is like legally removing your conscience.

    --
    "But this one goes to 11!"
  20. Re:I must be dreaming. by Hatta · · Score: 3, Interesting

    Don't worry. The Supreme Court will be back to their old tricks again in Al Kidd v Ashcroft. They may throw us a bone once in a while, but don't think for a second that they are on our side.

    --
    Give me Classic Slashdot or give me death!
  21. When a company is fined, who pays? by dlenmn · · Score: 4, Insightful

    When a company is fined, who pays the price? For public companies (most of the companies we care about), the answer is basically shareholders -- almost all of whom had no part in the wrongdoing. So the main effect is that some people in the company do something wrong, then all shareholders get fined. I think more fines should be leveled on the people who actually did the wrongdoing (although fining the company is still somewhat useful as it does provide an incentive not to break the law -- it's just that the burden of the fine is mostly misplaced).

    1. Re:When a company is fined, who pays? by Fieryphoenix · · Score: 4, Insightful

      Hitting the shareholders' pocketbooks is what should motivate them to keep douchebags out of leadership positions in the company.

    2. Re:When a company is fined, who pays? by fishexe · · Score: 3, Insightful

      When a company is fined, who pays the price? For public companies (most of the companies we care about), the answer is basically shareholders -- almost all of whom had no part in the wrongdoing.

      False. Their part in the wrongdoing was voting for the board that hired the people (...that hired the people...[repeat as necessary]) that did the wrongdoing. Do you think just because your ownership is in the form of stock, that you have no responsibility to even investigate whether the people generating your dividends are trustworthy enough not to lie, cheat, steal, maim or kill?

      --
      "I don't care about the Constitution!" --Bill O'Reilly, November 17, 2009
    3. Re:When a company is fined, who pays? by fuzzyfuzzyfungus · · Score: 4, Interesting

      The whole point of "shares", and limited liability companies in general, is to allow people to purchase a slice of the outcome of an enterprise the could not afford to undertake themselves; but without the risk of losing more than they put in.

      The risk that shares will lose value is part and parcel with the whole concept of "share". In fact, shareholders are already coddled today much more than they were historically. At one time, getting an LLC was a major thing, not just some paperwork. People actually had to put their own assets on the line with "partnerships". Limited liability stock is a luxury by comparison.

      Now, as a pragmatic matter, I strongly suspect that targeting individual corporate officers with criminal penalties when they do criminal things(ie. if somebody knowingly exposes workers to unreasonable hazard that proves fatal, don't dick around with corporate fines, treat that somebody the same way you would anybody else who subjects others to unreasonable hazard - put them up on manslaughter charges) would have a salubrious effect on corporate behavior, and would be a good public policy move. However, there is absolutely nothing unjust with punishing corporations in ways that damage the value of shares. That is sort of the whole point. (On a separate; but related, note: it sure would be nice if corporate charters were amended such that shareholders had much greater actual power, so they would have some chance of heading things off, rather than just voting with their feet once the clusterfuck started...)

    4. Re:When a company is fined, who pays? by mrchaotica · · Score: 4, Insightful

      The problem with that is that the shares are filtered though so many layers of mutual funds and derivatives and hedge funds and private equity and TLAs and who knows what else that the majority of the shareholders don't even realize that they even are shareholders at all!

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

  22. Re:No need to break what isn't broken by vlm · · Score: 3, Interesting

    So who do we send to jail or fine for the Toyota gas pedal problems?

    Well that one is simple, the journalists whom made the whole thing up for the pageviews.

    Good luck collecting your multi-million dollar award from that single assembly line worker, and enjoy destroying his life in revenge for the damage (most likely accidental) that "he alone" caused you.

    The aviation industry solved that by always blaming the pilot, whom coincidentally was dead. An unintended consequence would be the auto industry increasing their lethality so the driver always ends up dead, thus can take the blame.

    Metalworking shops etc already carry hefty liability insurance. The social engineers in congress would have an interesting problem, as thats currently paid pre-tax but if individual worker had to buy first of all they'd be screwed to higher prices just like health insurance and secondly they'd be paying post tax money. So it would be quite a drag on the economy as a whole, although insurance companies would make more, and special interests love to donate to politicians, so I suspect its inevitable in the future...

    --
    "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
  23. Re:No need to break what isn't broken by matt_gaia · · Score: 3, Informative

    What happened with CU is that previous to the case, individuals in a corporation were allowed to make political contributions to whoever they chose to (up to the personal limit, which is $2400, IIRC). In the ruling that came down, corps were then allowed to donate whatever they wanted to out of their own accounts, and essentially without limits. So, because of this (monumentally bad) ruling, corporations could essentially drown out the voices from individual contributors, by spending millions from the corporate accounts on their favorite candidates.

  24. Re:No need to break what isn't broken by dachshund · · Score: 3, Informative

    I have to assume that there must be some distiction between the two in the US too, though it is smaller than elsewhere.

    There's an excellent (and funny) summary of the oral arguments at Slate.

    http://www.slate.com/id/2281715/

    To sum it up less elegantly, the issue is the Freedom of Information Act which defines an exemption for "personal privacy". It also defines many other exemptions that apply to corporations.

    The case hinged on whether artificial persons such as corporations had a right to "personal privacy". A lower court had said yes --- based more or less on an argument-by-grammar. "Personal privacy" contains the root "person", and hence all persons must have it.

    The Supreme Court decision pointed out that this is not much of an argument. Flesh and blood people have "personal space" and "personal issues", but corporations probably don't. They also pointed out that the legislators had clearly written exemptions into the law that applied to corporations, and so AT&T was asking for essentially a massive extension in what the law does vs. what Congress had intended.

    It gives me a small amount of confidence in this court to see them rule against a major extension of rights for corporations. Maybe it will become a trend.

  25. Re:No need to break what isn't broken by mrvan · · Score: 4, Informative

    Corporate personhood is not invented to protect 'natural', 'constitutional' or 'legal' rights of persons.

    For one thing, the concept originates from before the US constitution. It at least dates back to the Dutch East Indies company (1608 IIRC). Separating investment from liability (other than the invested sum) is a means to allow a multitude of people to invest in a company without the risk of being taken down in a bankruptcy (for more than their invested sum). It is a pure tradeoff between the the security of the investors and the rights of creditors and has nothing to do with enforcement of pre-existing rights.

  26. Re:No need to break what isn't broken by jimrthy · · Score: 3, Informative

    Ah, yes. Good ol' Dutch East Indies. We really should have learned from their monstrous example, realized corporate personhood is one of the single worst ideas ever, and moved back to sanity.