Subj: Online Privacy: Perspectives of Privacy Right From: Paul Sholtz, Chief Technology Officer, PrivacyRight Inc., c/o Amy Hanson, 703- 299-9470 To: Internet Caucus Advisory Committee HOW DO US PRIVACY PROTECTIONS (IF ANY) COMPARE TO PRIVACY PROTECTIONS IN OTHER COUNTRIES? In general, the EU has far more comprehensive data protection laws than the US. Most EU regulations are modeled on the Code of Fair Information Practices, which was in fact conceived of, although never adopted, in the US. The EU Directive is unique in that it restricts trade with countries like the US that do not diligently protect privacy. In 1999, this provision nearly led to the first trans-Atlantic Internet trade war. Both sides have tentatively agreed to a compromise solution, allowing US companies to continue operating in "safe-harbor" with the EU, while they adopt more comprehensive data protection policies.