E-Business 101, Part 3: Privacy - Cookies
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Many privacy concerns arise as a result of the use of "cookies" by Web sites and the storage of cookies on computers used by visitors to the Web sites. Cookies are small bits of code or computer software, usually stored on a visitor's computer hard drive. Cookies contain code that will be sent from the visitor's computer to the Web site the next time that the visitor returns to the Web site, thereby providing the Web site with information about the visitor. The name cookie derives from UNIX objects called magic cookies. These are tokens that are attached to a user or program and change depending on the areas entered by the user or program. Cookies are also sometimes called persistent cookies because they typically stay in the browser for long periods of time. By retrieving a previously stored cookie when a visitor accesses a Web site, the Web site may be able to monitor the activities of the visitor, the visitor's navigation on the Web, and other personal information. A recently filed federal class action in Colorado alleges that Excite@Home subsidiary Matchlogic planted cookies on consumers' hard drives to track their Web habits for commercial purposes, thereby violating the Electronic Communications Privacy Act of 1986 (ECPA) and the Computer Fraud and Abuse Act of 1986.
The ECPA extended earlier privacy protection to electronic mail, as well as to radio paging devices, cellular telephones, private communication carriers and computer transmissions. The ECPA is particularly important in the limiting of employers' monitoring of their employees' emails. In general, the ECPA was designed to protect the contents of stored electronic mail and voice mail and to prevent the intentional interception, disclosure or use of electronic communications. The ECPA also prohibits providers of electronic communication services from disclosing contents of a communication that they have stored electronically without the lawful consent of the person who originated the communication. Perhaps more importantly, the ECPA restricts access by government agencies to customer records belonging to electronic service providers. In order to gain access to such records without notifying the customer, a government agency must first obtain a search warrant, court order, or subpoena.
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