New York's “Disposal of Personal Records Law” Becomes Effective on December 6, 2006: Protection of Personal Information Moves to the Front of Legislative Agendas

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The rapid development of e-commerce in the past 15 years has resulted in new opportunities for criminals. Fraudulent access to a person’s bank or credit card account can be obtained with little more than a name, address, and social security number. In an effort to prevent the misappropriation of sensitive personal information, federal and state governments are enacting legislation aimed at protecting personal data. These new laws place affirmative duties on businesses and organizations to protect documents that contain an individual’s personal identifying information.

New York is the latest addition to the growing list of states choosing to regulate the disposal of personal data. On June 9, 2006, New York Governor George Pataki signed into law measures to protect the privacy of personal information. This legislation, known as the “Disposal of Personal Records Law,” will become effective on December 6, 2006. This advisory focuses on the New York provisions as they reflect those already enacted or proposed in other states. However, there is enough disparity in the laws of various jurisdictions that businesses must be aware of all of their nuances.

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