Privacy Policy Law and Legal Definition

Privacy policy is a legal document that discloses some or all of the ways a party gathers, uses, discloses and manages a customer's data. The exact contents of a privacy policy will depend upon the applicable law and may need to address the requirements of multiple countries or jurisdictions. While there is no universal guidance for the content of specific privacy policies, a number of organizations provide example forms or online wizards.

While no generally applicable law exists, some federal laws govern privacy policies in specific circumstances, such as:

1.The Children's Online Privacy Protection Act (COPPA)- affects websites that knowingly collect information about or target at children under the age of 13. Any such websites must post a privacy policy and adhere to enumerated information-sharing restrictions.

2.The Gramm-Leach-Bliley Act requires institutions "significantly engaged in financial activities give "clear, conspicuous, and accurate statements" of their information-sharing practices. The Act also restricts use and sharing of financial information.

3.Health Insurance Portability and Accountability Act (HIPAA) - Privacy Rulesrequires notice in writing of the privacy practices of health care services, and this requirement also applies if the health service is electronic.