Top News | Legal Battle Looms Over OpenAI's Alleged Use of Scarlett Johansson's Voice; CentroMed Data Breach Exposes 400,000 Patients' Information and more

American Privacy Rights Act Advances Amid Lawmaker Concerns

The U.S. House Committee on Energy and Commerce Subcommittee on Data, Innovation, and Commerce approved the updated American Privacy Rights Act (APRA) draft on 23 May, advancing it to the full committee. Key issues like the private right of action and federal pre-emption were not raised, but the addition of COPPA 2.0 has sparked controversy. Lawmakers expressed concerns over insufficient children's privacy protections, data broker rules, and AI provisions. The updated APRA draft pre-empts certain state laws, including Illinois' Biometric Information Privacy Act, and may limit state attorney general powers, prompting calls for further revisions. Stakeholders had mixed reactions, with some appreciating privacy-by-design principles and data broker opt-out mechanisms, while others stressed the need to maintain FCC privacy powers. Read more

Legal Battle Looms Over OpenAI's Alleged Use of Scarlett Johansson's Voice

Scarlett Johansson is threatening legal action against OpenAI, claiming the AI company used a voice resembling hers for its new voice assistant, "Sky," without her consent. Johansson had rejected multiple requests from OpenAI CEO Sam Altman to lend her voice to the project. However, GPT-4o, which includes "Sky," was released on May 13, and many noticed the voice's similarity to Johansson's. OpenAI claimed a voice actor was used, and any resemblance was coincidental. Legal experts are divided on Johansson’s potential right of publicity claim, comparing it to past cases involving celebrity voice imitations. They note the challenges and nuances of proving such claims, particularly regarding intentional resemblance and commercial exploitation. The case underscores the complex legal landscape AI developers face regarding intellectual property and personality rights. Read more

Minnesota Passes Comprehensive Privacy Legislation

Minnesota's Legislature approved a comprehensive privacy omnibus bill on May 19, covering entities handling data of 100,000 consumers or deriving 25% of revenue from selling data of 25,000 consumers. The bill mandates appointing a chief privacy officer and includes consumer rights regarding profiling decisions. Small businesses are exempt, while there are targeted exemptions for health and financial data processing. The law aligns with other state privacy laws in areas such as universal opt-out mechanisms, data protection assessments, and attorney general enforcement. Minnesota is the seventh state to pass privacy legislation this year, with the law taking effect on July 31, 2025, pending the governor's approval. Read more

New Pennsylvania Bill Targets AI-Generated Content Transparency

On May 20, 2024, House Bill 2291 was introduced to amend the Unfair Trade Practices and Consumer Protection Law. The bill expands definitions of "unfair methods of competition" and "unfair or deceptive acts" to include distributing AI-generated content without clear disclosure. Disclosures must be understandable, noticeable, and presented in the same medium as the content. AI is defined as tools using predictive algorithms to create content. The bill specifies how disclosures should be presented for clarity and comprehensibility. If passed, the bill will take effect in 60 days. Read more

CentroMed Data Breach Exposes 400,000 Patients' Information

CentroMed, a primary care clinic in San Antonio, experienced a data breach affecting 400,000 patients. On May 1, 2024, CentroMed detected unusual IT network activity, discovering that malicious actors had accessed files containing personal information, including names, addresses, Social Security numbers, medical records, and financial details. The breach occurred around April 30, 2024. Patients are urged to review their healthcare and financial statements for suspicious activity. This incident follows a similar breach in August 2023 that exposed the data of 300,000 patients. Read more