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With little fuss and no debate, a House subcommittee today amended an anti-spyware bill to clarify that the legislation does not cover third-party cookies.
H.R. 29, the Securely Protect Yourself Against Cyber Trespass Act (SPY ACT), -- Also known as the "Bono Bill" and the "Spy Act," -- prohibits unfair or deceptive practices related to spyware and requires an opt-in notice and consent regime for legal software that collects personally identifiable information from consumers.
The spyware practices prohibited by the legislation include phishing, keystroke logging, homepage hijacking and ads that can't be closed except by shutting down a computer. Violators could face civil penalties of up to $3 million.
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The previous version of the bill had made ad networks and behavioral targeting firms pretty nervous as it required them to ask permission each time a cookie is placed on a user's computer.
Last year a version without the amendment was passed by the House but never made into law largely due to concerns in the Senate.