8/7/00
Federal Agencies to Conduct Bankruptcy Privacy Study
On July 31st, the Department of Justice, the Department of the Treasury and the Office of Management and Budget issued a notice regarding a study on how the filing of a bankruptcy affects the privacy of individual consumer information that becomes part of a bankruptcy case. The study will consider how the privacy interests of debtors in personal bankruptcy cases are affected by the public availability of information about them in those case.
It will also consider the need for access to this information and accountability in the bankruptcy system. Finally, it will consider how changes in business practices and technology may affect all these interests. To assist in the study, these agencies are requesting public comment on a series of questions. The study is to be completed by December 31, 2000. Any responses to the questions listed below should be submitted by September 8, 2000.
The Study will examine:
The types and amounts of
information that are collected from and about individual debtors, as well as
analyzed and disseminated, in personal bankruptcy cases.
Current practices, and
practices envisioned for the future, for the collection, analysis, and
dissemination of information in personal bankruptcy proceedings.
The needs of various parties
for access to financial information in personal bankruptcy cases, including
specifically which individuals or entities require access to which particular
types of information, for what purposes, and under what circumstances.
The privacy issues raised by
the collection and use of financial and other information in personal bankruptcy
cases. The effect of technology on access to, and the privacy of, a debtor's
personal information.
Business or governmental
models that can provide access to, and protect debtors' privacy interests in,
bankruptcy records.
Principles for the
responsible handling of information in bankruptcy records, and recommendations
for any policy, regulatory, or statutory changes.
Questions to be
Addressed:
1.01
What
types and amounts of information are collected from and about individual
debtors, analyzed, and disseminated in personal bankruptcy cases?
(1.1)
What
types of information are collected, maintained, and disseminated in bankruptcy?
(1.2)
Which of
these data elements are public record data?
(1.3)
Which
are non-public record data held by bankruptcy trustees?
(1.4)
How much
data is at issue?
(1.5)
Are
certain types of data more sensitive than others; that is, are there types of
data in which debtors would have a stronger privacy interest? If so, which
ones?
(1.6)
How
valuable is the information in the marketplace?
2.0 What are the current
practices, and practices envisioned for the future, for the collection,
analysis, and dissemination of information in personal bankruptcy
proceedings?
(2.1)
What
methods of data collection and aggregation are now used by the courts,
creditors, trustees, and other private actors to collect, analyze, and
disseminate public record data and non-public data?
(2.2)
What
methods are being contemplated for the future?
3.0 What access do various
parties need to financial information in personal bankruptcy cases? Which
individuals or entities require access to which particular types of information,
for what purposes, and under what circumstances?
(3.1)
What
entities currently access public record data?
(3.2)
What
entities currently access non-public data from trustees?
(3.3)
What
specific data elements do they need, and for what purposes?
(3.4)
Are the
purposes for which the information is sought consistent with the public
interest?
(3.5)
What
data elements in public record data should remain public for purposes of
accountability in the bankruptcy system? For other purposes?
(3.6)
Is there
certain information that need not be made available to the general public, but
could be made available to a limited class of persons?
(3.7)
If so,
what are these data elements, to whom should they be made available, and for
what purpose?
(3.8)
Is there
a need to make the following data elements publicly available: (a) Social
security numbers, (b) bank account numbers, (c) other account numbers?
B. Non-Public
Data
(3.9)
What
issues, if any, are raised by existing limitations on trustees' handling of
personal information?
(3.10) Are all of the data elements
held by bankruptcy trustees necessary for case administration purposes? If not,
which data elements are not?
(3.11) What interests would be
served by private or commercial enterprises collecting, compiling
electronically, and redistributing information from bankruptcy cases?
4.0 What are the privacy
issues raised by the collection and use of personal financial and other
information in personal bankruptcy proceedings?
(4.1)
Do
debtors' have privacy interests in information contained in public record data
made available through the bankruptcy courts? If so, what are those interests?
Do they vary by data element? If so, how?
(4.2)
What are
the benefits of a public record system for court records in bankruptcy cases?
(4.3)
What are
the costs of collecting and retaining data in bankruptcy cases?
(4.4)
To what
extent do individuals who file for bankruptcy understand that all of the
information contained in the public bankruptcy file is available to the public?
(4.5)
Should
debtors in bankruptcy be required to forego some expectation of privacy that
other consumers have under other circumstances?
(4.6)
Are
there characteristics about debtors in bankruptcy that raise special concerns
about wide public dissemination of their personal financial information?
(4.7)
What are
debtors' expectations about what uses and disclosures of information will be
made by bankruptcy trustees?
(4.8)
What, if
any, privacy interests lie in non-public bankruptcy data held by bankruptcy
trustees?
(4.9)
If
non-public data were made widely available to the public or to creditors for
other non-bankruptcy purposes, what might be the consequences?
(4.10)
Are
privacy interests affected if the distribution of non-public data bankruptcy
information is for profit?
5.0 What is the effect of
technology on access to and privacy of personal information?
(5.1)
Do
privacy issues related to public record data in bankruptcy cases change when
such data are made available electronically? On the Internet? If so, how?
(5.2)
Do
privacy interests in non-public data change when such data are compiled
electronically for ease of administration of bankruptcy cases? For commercial
use? For other use?
(5.3)
Are new
technologies being used to improve access to court records? Non-public
bankruptcy data? Should they be? Why or why not?
6.0 What are current
business or governmental models for protecting privacy and ensuring appropriate
access in bankruptcy records?
(6.1)
What statutes, rules, or policies can serve as models for maintaining
appropriate levels or access and privacy protection for public bankruptcy
records? For non-public bankruptcy information held by trustees?
(6.2)
What statutes, rules, or policies are ineffective in providing
appropriate access and privacy interests?
(6.3)
What statutes, rules, or policies, are otherwise relevant to this
Study?
7.0 What principles should
govern the responsible handling of bankruptcy data? What are some
recommendations for policy, regulatory or statutory changes?
(7.1)
To what extent are privacy safeguards appropriate for public record data?
If safeguards are appropriate, what should they be? How should they be crafted
to ensure that they do not interfere with legitimate public needs to access
certain bankruptcy data?
(7.2)
Should notice about the public nature of bankruptcy filings be provided
to individuals who file for bankruptcy? What form should such notice take?
(7.3)
Should there be any restrictions on the degree of accessibility of such
information, such as rules that vary if information is made available
electronically? Via the Internet? If so, what should they be? Should policies on
the handling of information in bankruptcy cases be technology neutral, so that
the rules for dealing with information are the same regardless of what medium is
used to disclose such information? Why or why not?
(7.4)
Are there any data elements in public record data that should be removed
from the public record and held instead as non-public data by bankruptcy
trustees or courts?
(7.5)
Is there some experience with other public records that is relevant to
the privacy and access issues in bankruptcy cases? Do any records or filing
systems, for example in the courts, provide instruction in this regard?
(7.6)
To what extent are privacy safeguards appropriate for non-public data
held by bankruptcy trustees in bankruptcy cases? If some safeguards are
appropriate, how should they be structured? How should they be crafted to ensure
that they not interfere with the needs of bankruptcy trustees to administer
their cases?
(7.7)
Should debtors receive notice of what uses and disclosures will be made
of their information in the hands of bankruptcy trustees? What would be the
effects of such disclosures?
(7.8)
Should restrictions be imposed on the use and disclosure of information
held by bankruptcy trustees? If so, what types of restrictions? What would be
the effects of such restrictions?
(7.9)
Should debtors be permitted to access the information held about them by
bankruptcy trustees? If so, under what circumstances? What would be the effects
of such access?
(7.10) If bankruptcy data are compiled and made easily and widely available to users outside of the bankruptcy system, should these users be charged for the collection and distribution process? How would the amount of the charge be set?
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