The Mercury News

Cyberattac­k bill passes

Measure grants private companies liability protection

- By Ken Dilanian

WASHINGTON — The House on Wednesday passed long- awaited legislatio­n designed to thwart cyberattac­ks by encouragin­g private companies to share informatio­n about the attackers’ methods with each other and the government.

The measure, which passed 307 to 116, grants protection from liability if companies follow certain procedures. Many companies have been reluctant to share internal data about cyberattac­ks for fear of being sued, leaving both the firms and the government less equipped to battle an onslaught of cyberintru­sions, including state- sponsored campaigns to purloin American intellectu­al property.

“At some point, we need to stop just hearing about cyberattac­ks that steal our most valuable trade secrets and our most private informatio­n, and actually do something to stop them,” said Rep. Adam Schiff, ranking Democrat on the Intelligen­ce Committee and one of the measure’s principal authors.

In a statement, the White House praised the bill that passed Wednesday while also expressing concerns, arguing that the liability protection­s in some cases went too far and could ultimately reduce the incentive for companies to report breaches. The White House also called for language ensuring that data is not shared by businesses to thwart competitio­n.

Wednesday’s bill came out of the Intelligen­ce Committee. The House is expected to pass a similar bill on Thursday that emerged from the Homeland Security Committee. The two measures will be reconciled into a single piece of legislatio­n before heading to the Senate, where a similar bill has been introduced with bipartisan support.

Informatio­n sharing is badly needed, backers say, so that government agencies can help the private sector defend against sophistica­ted cyberattac­ks, many of which are undertaken by intelligen­ce agencies in countries such as Russia, China, North Korea and Iran.

The House bill passed Wednesday would grant companies liability protection if they stripped out personal informatio­n from the data and shared it in real time through a civilian portal, most likely run by the Department of Homeland Security.

Similar efforts have foundered in previous years over concerns by privacy groups that personal informatio­n held by companies would end up in the hands of the National Security Agency, the digital spying agency that is the country’s foremost repository of cyberexper­tise. The House bill would allow the NSA to get the data, but not until private informatio­n had been removed.

“This bill does not provide the government with any new surveillan­ce authoritie­s,” said chief sponsor Devin Nunes, the House Intelligen­ce Committee chairman. “To the contrary, it includes robust privacy protection­s.”

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