AT&T Alters Privacy Policy

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MICHELLE NORRIS, host:

AT&T says consumers have nothing to fear from change the company is making to its privacy policies. Those changes take effect tomorrow. Privacy groups say the new policies may be designed to protect AT&T against lawsuits over the government's warrantless eavesdropping.

NPR's Larry Abramson has the story.

LARRY ABRAMSON reporting:

Starting tomorrow, customers for AT&T's internet service and for its new video offerings will have to slog through a new five page privacy policy. Customers who haven't passed the Bar might have a hard time figuring out what they're agreeing to, but this sentence might jump out. Please read this privacy policy carefully. Before using your service, you must agree to this policy.

For privacy advocates like Peter Squire of Ohio State University, that sets off alarm bells.

Mr. PETER SQUIRE (Ohio State University): It sure looks like they're changing the policy in response to recent events.

ABRAMSON: Recent events like revelations of eavesdropping without a warrant by the National Security Agency. AT&T faces multiple lawsuits for allegedly helping the government to peruse phone and internet traffic by millions of Americans. News of the changes to the privacy policy were first disclosed in a San Francisco Chronicle yesterday. Professor Peter Squire says by requiring consent, AT&T may be trying to build a defense for any future suits.

Mr. SQUIRE: If I give consent to the phone company to do something, then they're not breaking the law. That's why this new consent provision is potentially important.

ABRAMSON: AT&T says this is all an overreaction. Spokesman Michael Coe says that after AT&T merged with SBC last year, the new company also had to merge and update its different privacy statements.

Mr. MICHAEL COE (AT&T): What we also did to our privacy policy was incorporate video services, which we did not have at the time of the previous effective date of our previous policy.

ABRAMSON: The new policy also contains this statement about account information. “These records constitute business records that are owned by AT&T. As such AT&T may disclose such records to protect its legitimate business interests, safeguard others or respond to legal process.”

Again, privacy groups say that may be an attempt to justify handing over customer calling records to the government, something that's been alleged in media reports but never confirmed by AT&T or the government. Attorney General Alberto Gonzales has said that logs of telephone calls are business records and enjoy no special privacy protection according to a 1979 Supreme Court precedent.

But many attorneys have pointed out that since that decision, Congress passed new protections requiring a subpoena before records can be handed over. Barry Steinhart of the ACLU says whatever AT&T's motives, customers cannot be forced to sign away their right to sue.

Mr. BARRY STEINHART (American Civil Liberties Union): Well not only do we think that you could continue to sue, but of course if what AT&T is conceding here is that the prior arrangement that they had was illegal, then they are literally liable for tens of billions of dollars in damages.

ABRAMSON: Spokesman Michael Coe says AT&T is not asking customers to consent to wiretapping. He says the new wording is meant to be simpler and easier to read.

Mr. COE: What's important to note is that for our internet customers and for our voice customers, nothing has changed in respect to the collection, use and protection of their information.

ABRAMSON: One suit against AT&T returns to court in San Francisco tomorrow. That action does not reference the company's privacy policies. The government is moving to have that suit dismissed, saying it threatens secrets that help protect national security.

Larry Abramson, NPR News, Washington.

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