Legislature(2011 - 2012)CAPITOL 120

03/23/2011 01:00 PM House JUDICIARY


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Delayed to 1:30 pm --
+ HB 87 ANTITRUST VIOLATION PENALTIES TELECONFERENCED
Moved CSHB 87(L&C) Out of Committee
*+ HB 23 COMPUTER PRIVACY TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 6 REMOVING A REGENT TELECONFERENCED
Scheduled But Not Heard
+= HB 168 INJUNCTION SECURITY: INDUSTRIAL OPERATION TELECONFERENCED
<Bill Hearing Canceled>
                    HB 23 - COMPUTER PRIVACY                                                                                
                                                                                                                                
2:02:30 PM                                                                                                                    
                                                                                                                                
CHAIR GATTO announced  that the final order of  business would be                                                               
HOUSE  BILL  NO. 23,  "An  Act  relating  to  criminal use  of  a                                                               
computer."                                                                                                                      
                                                                                                                                
2:03:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PETE PETERSEN,  Alaska State Legislature, speaking                                                               
as one of  the bill's joint prime sponsors, explained  that HB 23                                                               
would  update  Alaska's  statutes  regarding criminal  use  of  a                                                               
computer  -  AS  11.46.740  -  in  order  to  keep  up  with  new                                                               
technology  such  as  keyboard   loggers,  devices  which  record                                                               
keystrokes   as  they   are  being   entered  into   a  computer.                                                               
Specifically, Section  1 of  HB 23 -  amending AS  11.46.740(a) -                                                               
would make it a crime for  a person to install a keystroke logger                                                               
or  other  device or  program  that  has  the ability  to  record                                                               
someone  else's  keystrokes  or  entries  -  whether  transmitted                                                               
wirelessly  or not  - in  order  to access  information that  the                                                               
person has no right to.   Currently, obtaining someone's personal                                                               
information via  software or "spyware"  is illegal, but  not when                                                               
done via  the use  of a  keystroke logger, and  HB 23  would [fix                                                               
this loophole].                                                                                                                 
                                                                                                                                
2:04:51 PM                                                                                                                    
                                                                                                                                
DAVID BREMER,  Staff, Representative Pete Petersen,  Alaska State                                                               
Legislature,  on  behalf  of   Representative  Petersen,  one  of                                                               
HB 23's   joint   prime   sponsors,  additionally   offered   his                                                               
understanding that  some new  technology can  enable a  person to                                                               
record someone else's  keystrokes from as far away  as 100 yards.                                                               
In response to questions, he  assured the committee that the bill                                                               
wouldn't  apply to  law enforcement,  and noted  that the  Alaska                                                               
Cabaret,  Hotel,  Restaurant,  &  Retailers  Association  (Alaska                                                               
CHARR) is in support of HB 23.                                                                                                  
                                                                                                                                
REPRESENTATIVE PETERSEN mentioned that  in addition to protecting                                                               
the  personal information  of individuals,  the  bill would  also                                                               
protect the proprietary information of businesses.                                                                              
                                                                                                                                
MR.  BREMER,  in response  to  questions,  said that  although  a                                                               
person  using a  keystroke logger  to steal  information wouldn't                                                               
necessarily  know  the  context   of  the  keystrokes  that  were                                                               
recorded,  he/she  could look  for  common  patterns such  as  16                                                               
numeric keystrokes  in a row,  possibly indicating a  credit card                                                               
number,  or  some  alphabetic  keystrokes  that  include  letters                                                               
spelling "gmail.com", possibly indicating  an e-mail account; and                                                               
offered his  understanding that there is  not yet a way  to steal                                                               
information entered on a computer via touchscreen technology.                                                                   
                                                                                                                                
2:09:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  THOMPSON expressed  concern that  the affirmative                                                               
defense provided for  via Section 2 of the bill  could be misused                                                               
by  perpetrators   of  domestic  violence  (DV)   who  install  a                                                               
keystroke  logger on  their  home computers  in  order to  obtain                                                               
information  entered by  their victims.    He questioned  whether                                                               
this  provision -  which would  add a  new subsection  (d) to  AS                                                               
11.46.740  -  would  conflict  with  [Alaska's  DV  laws,  either                                                               
existing or proposed].                                                                                                          
                                                                                                                                
MR. BREMER  - noting  that without passage  of the  bill, anyone,                                                               
even a  perpetrator of DV, can  use a keystroke logger  to obtain                                                               
information he/she has no right to  - explained that Section 2 of                                                               
the  bill  was included  so  as  to  address instances  in  which                                                               
parents  install a  keystroke logger  on their  home computer  in                                                               
order  to monitor  what  their  children are  doing  on  it.   He                                                               
offered [his  understanding that the joint  prime sponsors] would                                                               
not  be opposed  to amending  the  bill [to  address the  concern                                                               
about  perpetrators  of  DV].     In  response  to  comments,  he                                                               
mentioned  that  in addition  to  keystroke  loggers that  obtain                                                               
information  remotely, there  are also  ones that  attach to  the                                                               
computer itself, looking much like  a simple cable extension, and                                                               
thus  a  person would  have  to  inspect  the wiring  on  his/her                                                               
computer  prior to  every use  in order  to ensure  that no  such                                                               
device  had  been  installed.     Keyboard  loggers  are  readily                                                               
available over  the Internet, and  range in price  from $50-$200,                                                               
he added.                                                                                                                       
                                                                                                                                
REPRESENTATIVE PRUITT asked whether  HB 23 would impact companies                                                               
that use such technology to monitor their employees.                                                                            
                                                                                                                                
MR. BREMER  relayed that it  wouldn't because companies  have the                                                               
right  to access  information  on  the computers  they  own.   In                                                               
response to  other questions, he  clarified that Section 2  of HB
23  provides  an  affirmative defense  for  those  installing  or                                                               
enabling a keystroke logger on  their own computer, and explained                                                               
that the bill's current title -  "An Act relating to criminal use                                                               
of  a computer."  -  was chosen  because the  catch  line of  the                                                               
section of statute being amended is, "Criminal use of computer."                                                                
                                                                                                                                
REPRESENTATIVE GRUENBERG suggested that  the joint prime sponsors                                                               
consider narrowing the title in  order to ensure that [unrelated]                                                               
provisions aren't added to the bill.                                                                                            
                                                                                                                                
REPRESENTATIVE  PETERSEN indicated  that narrowing  the title  to                                                               
that effect would be fine with him.                                                                                             
                                                                                                                                
2:19:51 PM                                                                                                                    
                                                                                                                                
ANNE  CARPENETI,  Assistant   Attorney  General,  Legal  Services                                                               
Section, Criminal  Division, Department  of Law  (DOL), suggested                                                               
dividing  the language  of proposed  AS 11.46.740(a)(2)  into two                                                               
parts in  order to clarify  that this new language  is addressing                                                               
both the installation of hardware/software,  and the accessing of                                                               
information remotely,  and suggested deleting Section  2 as being                                                               
unnecessary, since the  State would already have  to prove beyond                                                               
a reasonable doubt that the person  had no right to engage in the                                                               
proscribed behavior.  She noted,  though, that Section 2 wouldn't                                                               
conflict with  [Alaska's DV laws,  either existing  or proposed],                                                               
because it specifically says that  application of its affirmative                                                               
defense is limited to prosecutions  resulting from a violation of                                                               
AS 11.46.740(a)(2),  and AS 11.46 addresses  property crimes, not                                                               
crimes against a  person.  So if the committee  chooses to retain                                                               
Section 2,  the language  should at least  be changed  to reflect                                                               
that  it  applies  to  both  presently-owned  and  formerly-owned                                                               
computers.                                                                                                                      
                                                                                                                                
CHAIR  GATTO relayed  that a  proposed committee  substitute (CS)                                                               
addressing the aforementioned concerns would be forthcoming.                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG mentioned that he supports the bill.                                                                   
                                                                                                                                
2:28:19 PM                                                                                                                    
                                                                                                                                
GERALD  LUCKHAUPT,  Assistant  Revisor of  Statutes,  Legislative                                                               
Legal   Counsel,  Legislative   Legal   and  Research   Services,                                                               
Legislative Affairs Agency  (LAA), speaking as the  drafter of HB
23, relayed that he would  draft language clarifying that what is                                                               
now   proposed   AS 11.46.740(a)(2)   would  address   both   the                                                               
installation   of  hardware/software,   and   the  accessing   of                                                               
information remotely;  and that  he would change  the title.   He                                                               
concurred  that the  title currently  merely  reflects the  catch                                                               
line  of  the section  of  AS 11.46  being  amended -  a  section                                                               
addressing   computer  crimes,   both  those   committed  against                                                               
individuals  and those  committed  against  businesses and  other                                                               
entities; that  the affirmative defense provided  for via Section                                                               
2  would address  situations  in which  parents  wish to  monitor                                                               
their  children's computer  activity, and  situations in  which a                                                               
company wishes to monitor its  employees' computer activity; that                                                               
in a  prosecution under AS 11.46.740(a)(2), the  state would have                                                               
to  prove  that  the  person  had  no  right  to  engage  in  the                                                               
proscribed behavior;  and that Section  2 wouldn't  conflict with                                                               
[Alaska's  DV  laws, either  existing  or  proposed], because  it                                                               
specifically   says   that   its  application   is   limited   to                                                               
prosecutions resulting  from a  violation of  AS 11.46.740(a)(2),                                                               
which  addresses  the  wrongful  use of  keystroke  loggers,  not                                                               
domestic violence.                                                                                                              
                                                                                                                                
MR. LUCKHAUPT  offered his belief,  though, that Section  2 would                                                               
provide greater protection for someone  who installs or enables a                                                               
keystroke logger on a computer that  he/she owns.  In response to                                                               
questions, he again pointed out  that proposed AS 11.46.740(a)(2)                                                               
is intended to address both  the installation of keystroke logger                                                               
hardware/software,  and the  accessing  of keystroke  information                                                               
remotely; offered his  belief that HB 23 would fill  a gap in the                                                               
state's  laws  pertaining  to  computers  and  their  usage;  and                                                               
explained that under the bill,  the activity outlined in proposed                                                               
subsection  (a)(2) would  still be  a crime  regardless that  the                                                               
person  failed  to actually  obtain  the  information he/she  was                                                               
seeking via the use of keystroke logger technology.                                                                             
                                                                                                                                
2:42:03 PM                                                                                                                    
                                                                                                                                
QUINLAN  STEINER,  Director,   Central  Office,  Public  Defender                                                               
Agency  (PDA),  Department  of  Administration  (DOA),  expressed                                                               
concern that the  affirmative defense provided for  via Section 2                                                               
of HB 23 would  place the burden on the defendant  to prove, by a                                                               
preponderance of  the evidence,  that he/she owned  the computer,                                                               
and this could be difficult to  do.  Also, Section 2 is confusing                                                               
because  the affirmative  defense relates  to an  element of  the                                                               
offense itself, thereby obfuscating what  the State would have to                                                               
prove.   And  although the  best solution  would be  to eliminate                                                               
Section 2 altogether,  as suggested by the  DOL, another solution                                                               
might  be to  make lack  of ownership  an actual  element of  the                                                               
offense, thereby  placing the burden  on the State to  prove that                                                               
the  defendant  didn't  own  the  computer.    Mr.  Steiner  also                                                               
concurred  with  Ms.  Carpeneti that  the  language  of  proposed                                                               
AS 11.46.740(a)(2) ought  to be divided  into two parts  in order                                                               
to provide clarity.                                                                                                             
                                                                                                                                
CHAIR GATTO,  in response to comments,  noted members' continuing                                                               
concern with Section 2 of HB 23.                                                                                                
                                                                                                                                
REPRESENTATIVE  PETERSEN, in  response to  a question,  indicated                                                               
that the intent is for the  bill to apply in situations where the                                                               
person   committing    the   behavior   outlined    in   proposed                                                               
AS 11.46.740(a)(2) doesn't own the computer in question.                                                                        
                                                                                                                                
MS. CARPENETI  cautioned against  making a  lack of  ownership an                                                               
element of the  offense, reiterating that [under  the language of                                                               
AS 11.46.740(a)], the State would  already have to prove beyond a                                                               
reasonable doubt  that the person had  no right to engage  in the                                                               
proscribed behavior, and  that it would be best  to simply delete                                                               
Section   2   and   divide   the    language   of   proposed   AS                                                               
11.46.740(a)(2).                                                                                                                
                                                                                                                                
2:52:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG concurred with  Ms. Carpeneti that under                                                               
proposed AS  11.46.740(a) as currently  written, the  State would                                                               
have  to prove  that the  person had  no right  to engage  in the                                                               
proscribed   behavior  outlined   in   proposed  paragraph   (2),                                                               
acknowledging  that owning  a  computer does  give  a person  the                                                               
right to do as he/she wishes with it.                                                                                           
                                                                                                                                
MS.  CARPENETI concurred,  and  ventured that  making  a lack  of                                                               
ownership an element of the  offense could also prove problematic                                                               
in situations  involving a business  or entity that  provides its                                                               
customers with  access to  its computers  or and/or  its Internet                                                               
service -  such a business  or entity  shouldn't have a  right to                                                               
use  keystroke   logger  technology  to  obtain   its  customers'                                                               
personal information simply because  it owns the computers and/or                                                               
Internet service.   She again  recommended deleting Section  2 of                                                               
the bill.   In response to further questions, she  too noted that                                                               
businesses and other  entities do have the right  to monitor what                                                               
their employees  are doing on company-owned  computers.  However,                                                               
if  such  computers  were  being   used  by  both  employees  and                                                               
customers, then  it would be  up to the  State to prove  beyond a                                                               
reasonable  doubt that  the business  or entity  didn't have  the                                                               
right to  incidentally monitor  its customers'  computer activity                                                               
while monitoring its employees' computer activity.                                                                              
                                                                                                                                
MR.  BREMER  relayed  that  the joint  prime  sponsors  would  be                                                               
deleting Section 2.                                                                                                             
                                                                                                                                
CHAIR  GATTO,  after ascertaining  that  no  one else  wished  to                                                               
testify, closed public testimony on  the bill, and announced that                                                               
HB  23  would   be  held  over  while  the   committee  awaits  a                                                               
forthcoming proposed CS addressing the aforementioned concerns.                                                                 

Document Name Date/Time Subjects
HB87 Sponsor Statement Version D 03-09-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 87
HB87 Sectional Analysis Version D 02-25-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 87
HB87 CS(L&C) Version D 03-09-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 87
HB87 Version M 01-18-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 87
HB87 Fiscal Note-LAW-CIV 02-25-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 87
HB87 Supporting Documents-Table Civil Penalties.pdf HJUD 3/23/2011 1:00:00 PM
HB 87
HB23 Sponsor Statement 01-25-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Sectional Analysis 01-25-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Version B 01-25-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Relevant Statute 11.46.740.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Fiscal Note-DOC-OC 03-19-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Fiscal Note-LAW-CRIM 03-18-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Article PC World Privacy Watch 11-23-05.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Article Super-Glue 04-21-06.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Letter CHARR 01-28-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Report Vuagnoux&Pasini 2009.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Webpage Gadgetopia 01-28-10.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Webpage Wireless Keylogger 2009.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB23 Supporting Documents-Letter APOA 02-14-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 23
HB6 Proposed Amendment T.1 03-22-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 6
HB6 Supporting Documents-Memo Legal Services 03-22-11.pdf HJUD 3/23/2011 1:00:00 PM
HB 6