US Lawmakers Propose National Data Privacy Standard to Preempt State Laws

House leadership is moving to introduce the SECURE Data Act and the GUARD Financial Data Act, two complementary bills designed to create a single national standard for user data management. The legislation, backed by House Energy and Commerce Chair Brett Guthrie and House Financial Services Chair French Hill, seeks to replace nearly two dozen disparate state laws. By preempting state-level regulations, the bills aim to reduce the compliance burdens that currently affect both small businesses and large corporations. According to the bill text, the proposed framework would grant consumers the right to access, correct, or delete their personal information, while also allowing them to opt out of the sale of their data and targeted advertising. A critical component of the legislation is the exclusion of a private right of action. By preventing individuals from suing companies over privacy violations, the bills offer a significant legal shield to technology and financial firms—a point of contention that has stalled previous legislative efforts led by Democrats. With committee chairs providing strong support, the bills are expected to move toward initial votes next month. The current legislative strategy focuses on securing a Republican majority to advance the measures through committee before seeking broader bipartisan support to ensure passage through the House.