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Abstract

The unregulated collection, processing, and sale of consumer data has led to a plethora of social and legal issues. As regulators attempt to catch up with the “move fast and break things” ethos of tech innovation, “de-identified” or “anonymized” data has remained broadly unprotected. However, computer science literature shows us that “de-identified” data is a legal fiction. This Article examines the source of the de-identification fiction, analyzes the definitions in new state laws which attempt to close the loophole, tracks potential harms, and proposes a legislative solution which aims to ameliorate some of the legal fictions’ negative impacts. Part I examines the disparate judicial treatment of “identified” and “de-identified” data to uncover the legal fiction’s formation and contours. Part II discusses the narrow definitions of “de-identified data” proffered by new state laws and explains how they largely fail to address the justiciability issues posed by large-scale data breach litigation, instead entrenching the “de-identification” legal fiction. Part III discusses the tension between the statutory and judicial conceptions of de-identified data and the goals of data protection law. Part IV proposes a rethinking of the ways we segment data for the purposes of legal protection, shifting from an “identifiable”/”unidentifiable” approach to a mosaic-like approach that balances data sensitivity with potential privacy loss.

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