Privacy Policies

In general, a privacy policy will describe how a website collects, uses and discloses user information. Website owners that collect personal information must explain their privacy practices in plain language in order to obtain consent to the collection, use and disclosure of personal information. A privacy policy should be published on the website at the time of launch. A prominent link should appear on all pages to the privacy policy.

This article provides a general overview of the substance of a privacy policy. This article is not exhaustive as the actual legal requirements for a privacy policy and information collection by a business vary based on a number of factors including the nature of the business collecting the information, the location, the type of information collected and manner in which it is used.

What is Personal Information

Personal information is information about an identifiable individual. This includes information about an individual, such as name, telephone number, address and email address, and information that can be used with other information to identify an individual, such as location information, gender, age, financial information, purchase information, etc.

Agreeing to a Privacy Policy

Like website terms of use, privacy policies can be accepted in click-wrap or browse-wrap form, although click-wrap is the preferable approach. The click-wrap form requires a user to click a box or take some other action to indicate consent. The browse-wrap form makes users subject to the privacy policy as a condition of their use of the website.

Collection of Information

Websites can collect information from its users directly or indirectly. Information can be collected directly where users voluntarily provide the information to the website, such as when an account is created or a purchase is made. Information can also be collected indirectly, such as from third party sources or using technological means.

Website owners can collect a wide variety of information through the use of cookies and other technological means. Just consider the type Google Analytics can collect - device type, operating system, location, page visited and the amount of time you spent on the site, just to name a few. Website owners can also collect additional information such as IP addresses and information about your interaction with emails.

Use of Information

Website owners must clearly explain to its users what it does with the information collected. A privacy policy will often provide that website owners are permitted to use personal information to manage user accounts, administer payments, fulfill orders for products and services, communicate with users and to protect their website.

Disclosure of Information

Except in rare cases, a website owner will disclose user information to third parties. These disclosures must be clearly set out in the privacy policy. Privacy policies often permit website owners to disclose personal information to third parties for purposes of operating and developing the website, in connection with a sale of the website, to collect debts and for law enforcement purposes. Some websites will also share information with third party shipping and marketing providers.