July 18, 2000
Page 1 of 3
ONLINE PRIVACY UPDATE
CHILDREN’S ONLINE PRIVACY LAW GOES INTO EFFECT
Most Children’s Web Sites Don’t Comply,
Others Turn Kids Away


The Children’s Online Privacy Protection Act of 1998 (COPPA) went into effect on April 21, governed by rules written by the Federal Trade Commission (FTC). The law requires children’s Web sites targeted to obtain parental consent before collecting information from children under age 13.

Many Web sites are now violating the law, some have stopped serving children, and others are figuring out how to comply.

In 1998, Kids in the Know played a key role in lowering the age of children covered, from 16 to under 13. And last year, it helped improve draft rules considered by the FTC.

Key COPPA Provisions

COPPA applies to commercial Web sites and online services directed to, or that knowingly collect information from, children under 13 and was spurred by a FTC survey of more than 200 commercial Web sites targeting children. That review revealed that 89 percent of the sites collected personal information from children, yet only one percent sought parental consent before collecting and disseminating that information.

The final rule implementing COPPA was approved by the FTC by a 4-0 vote on October 20, 1999. Key provisions include:

• Web sites must clearly post notice of their information gathering practices, and state the types of information collected from children, how it’s used, and whether it’s distributed to third parties. A link to this notice must be displayed at each place on the site where information is collected.

• Parents have the option to approve the collection of information without consenting to the disclosure of that information to a third party.

• Consent in not required for a one-time request by a child for homework help.

• Sites must make a "reasonable effort," taking into account available technology, to ensure that a parent authorizes the collection, use, and disclosure of their child’s information. For two years, parental consent is considered valid if it arrives on a signed form through the mail or via fax. A credit card, digital signature, e-mail accompanied by PIN or password, or a verbal OK via a toll-free telephone number are also acceptable.

COPPA "gives parents the tools to control who collects personal information from their kids, how that information is used, and whether it’s shared with third parties," said FTC Chairman Robert Pitofsky in the online publication ZDNET. "This rule implements one of the commission’s top goals of protecting children’s privacy online."

Many Cites Fail to Comply

According to a May study, however, nearly 95 percent of children’s Web sites are violating COPPA. FollowUp.net, a manufacturer of software that helps companies comply with child Internet regulations, reviewed 324 Web sites targeting children.



  next page >  

< Close window >