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Can you summarize NCGS Chapter 75, Article 2A?
Monopolies, Trusts and Consumer Protection > Identity Theft Protection Act.
Short Summary
The Identity Theft Protection Act governs the protection of personal information and consumer reports, applying to businesses, consumers, and consumer reporting agencies. It defines various terms and prohibits unauthorized access to and acquisition of unencrypted and unredacted records or data containing personal information. It also allows consumers to place a security freeze on their credit report. The Act specifies the requirements for sufficient proof of authority and identification for protected consumers. Government or governmental subdivision or agency is exempted from the definition of ‘business’ under the Act. The section governing protection of social security numbers prohibits businesses from intentionally communicating or making available an individual’s social security number to the general public and imposes restrictions on its use and disclosure. Exemptions are provided for specific instances such as applications, internal verification, fraud prevention, debt collection, and government requirements. The section governing placement of security freeze on credit reports outlines the process for requesting a security freeze and provides exemptions for certain entities. The section governing the placement of a security freeze on a protected consumer’s credit report or file by consumer reporting agencies specifies the methods of request, proof of identification and authority, and fees. The section governing the destruction of personal information records requires businesses to take reasonable measures to protect against unauthorized access or use of personal information during or after its disposal. Exemptions are provided for entities subject to federal privacy and security laws. The section governing security breach notification requirements mandates businesses to provide notice to affected individuals in the event of a security breach and specifies the content and methods of notice. Non-compliance may result in penalties. The section governing the publication of personal information prohibits the broadcasting or publishing of personal information of individuals who have objected to such disclosure, with exemptions for government entities and entities subject to federal requirements under HIPAA. Violations may result in civil damages.
Whom does it apply to?
Businesses, consumers, consumer reporting agencies, protected consumers, representatives
What does it govern?
Protection of personal information and consumer reports, placement of security freeze on credit reports, destruction of personal information records, security breach notification requirements, publication of personal information
What are exemptions?
Government or governmental subdivision or agency (under the Identity Theft Protection Act), specific instances such as applications, internal verification, fraud prevention, debt collection, and government requirements (under the section governing protection of social security numbers), check services or fraud prevention services companies, deposit account information service companies, and consumer reporting agencies that only resell credit information (under the section governing security freeze on credit reports), certain entities that are already subject to and in compliance with federal privacy and security laws (under the section governing destruction of personal information records), government entities or entities subject to federal requirements under HIPAA (under the section governing publication of personal information)
What are the Penalties?
Violation of the Identity Theft Protection Act and the section governing protection of social security numbers is considered a violation of G.S. 75-1.1, violation of the section governing placement of security freeze on credit reports is considered a violation of G.S. 75-1.1, violation of the section governing security breach notification requirements may result in penalties under G.S. 75-1.1, violation of the section governing publication of personal information may result in civil damages as provided by G.S. 1-539.2C
Jurisdiction
North Carolina