What Legal Teams and Businesses Should Know About Ethical Data Mining and Use (2024)

Many organizations use data mining and web scraping techniques to gather data for research or advertising purposes. Sometimes, they need to understand how their brand and/or products are performing in the market. If they are on the declining trend or not receiving the expected response in the market, businesses rethink their marketing or development strategies based on the analysis that is conducted on mined or scraped data.

Businesses are legally required to ask the user's permission before using their data for any type of research. And as site owners and bloggers, this is something we see on a daily basis as we log in and navigate through different sites and services online.

However, there are certain organizations that illegally scrape user data from websites without their permission. Therefore, users are advised to use a Facebook proxy even when surfing Facebook, this masks their identity by directing their traffic through secure servers with the help of Smartproxy.

To be Ethical or Not

Businesses are often faced with the dilemma of whether to employ ethical practices or not. Clearly, they have to remain ethical for their own benefit as it saves them all the hassle of going through the legal proceedings in case they are caught.

Data ethics concern numerous analysts and IT professionals and worry about how their organization collects, stores, and lets them use the data. Even when they might not be responsible for deploying the web scraper that extracts and builds a database, they are responsible for asking their organization to follow ethical procedures to gain access to data.

5 Principles of Data Ethics

Ownership

Every individual has ownership of their personal information. It is unlawful and unethical to obtain someone's personal data without consent. Therefore, organizations should insert written agreements and digital privacy policies. These present the users with the organization's terms and conditions which they are required to sign. And through the use of business intelligence tools, such tasks can either be improved or fully automated in nearly all niche markets and industries.

Certain websites include pop-ups that have checkboxes. Users are required to check them before using their website. This gives the website permission to track the user's behavior through the use of cookies. Organizations should never assume that the customer or user is comfortable with them collecting their data. They should always ask for permission so that ethical and legal dilemmas can be avoided.

Transparency

Users have a right to know how the organization is planning to collect, store and utilize their data. Therefore, these organizations should make their process transparent. For example, if your organization made a decision to deploy an algorithm that personalizes the website experience by analyzing and working on the user's behavior on the site.

For this, a clear comprehensible policy should be written that explains that cookies will be used to track users' behavior. All collected data will be added to a secure database and will only be used to train an algorithm that will provide users with a personalized website experience.

If users want to provide false cookies to websites and social media platforms, they should consider using Facebook proxies.

Privacy

Ensuring the user's privacy is another ethical responsibility that comes while handling data. Regardless of their consent of letting the business collect, store, and analyze any Personally Identifiable Information (PII), it is still the organization's responsibility to keep it safe and not make it publicly available.

Some examples of PII are:

  • Full name
  • Birthdate
  • Street address
  • Phone number
  • Social Security Card
  • Credit Card information
  • Bank account number
  • Passport number

For privacy protection, organizations need to ensure that they are storing the collected data in a secure database to save it from falling into the wrong hands. Employing the use of specific data security methods also help protect privacy as they include features such as dual-authentication and file encryption.

Intention

The intention of the organization matters whenever a discussion on any branch of ethics happens. Before organizations start collecting data, they should know exactly why they need it, what they will be able to gain from it, and what changes will occur after analysis.

Even if the organization's intentions are pure and they will generate a positive outcome from the analysis, then they should use the data.

Outcomes

Even with the right intentions, certain data analysis outcomes exert unintentional harm to the users who have contributed to the database. This effect is known as a disparate impact, which is ruled as unlawful. This harm can happen due to bugs in the algorithm or due to inputting wrong variables into the algorithm itself. Either way, there is a possibility of spreading false information generated through the algorithm itself. Therefore, special care should be taken to ensure that there is no possibility that disparate impact could occur.

Ethical Use of Algorithms

Since algorithms are written by humans, there is a possibility that a bias can be left in the code intentionally or unintentionally. To use the algorithm ethically, it should follow the data science principles, which are:

Training

Data is used to train machine-learning algorithms, therefore an unrepresented dataset can cause the algorithm to prefer certain variables over others.

Code

There is a possibility that the back-end code of the algorithm itself is written with an unintentional bias.

Feedback

There is a chance the algorithm learns from biased feedback provided by the users. If an attribute is added a number of times, the algorithm will automatically start preferring the specified attribute over others.

Conclusion

Businesses should consider ethical practices while doing data mining or web scraping as sometimes, they are able to unearth sensitive data that can potentially harm the users who contribute to their research and analysis. However, to protect themselves, users should mask their digital footprint by using proxies.

This article was written by Kristel Staci from TechBullion and was legally licensed through the Industry Dive publisher network. Please direct all licensing questions to [email protected].

What Legal Teams and Businesses Should Know About Ethical Data Mining and Use (2024)

FAQs

What Legal Teams and Businesses Should Know About Ethical Data Mining and Use? ›

It is unlawful and unethical to obtain someone's personal data without consent. Therefore, organizations should insert written agreements and digital privacy policies.

What are the legal and ethical implications of data mining? ›

Ethical Concerns in Data Mining

Transparency: Customers should have a certain amount of visibility into and control over how their data is collected and used. Companies should be forthcoming with their data collection and use practices and ask permission before acting rather than asking for forgiveness after the fact.

What are the legal challenges of data mining? ›

Ethical concerns in data mining include issues such as the responsible use of data, ensuring transparency in data collection practices, and avoiding biases in algorithms. Striking the right balance between innovation and ethical considerations is crucial for the sustainable development of data mining practices.

What should organizations be doing to ensure ethical use of data? ›

Using data responsibly means focusing on privacy. This includes getting clear consent from users and following laws. It also means treating everyone fairly and being open about how data is used. Doing this helps build trust and keeps data analysis ethical.

What are some of the legal and ethical boundaries of data collection? ›

Key areas often associated with ethical concerns include: Privacy: How personal information is collected, used, and protected. Consent: Whether individuals have freely given informed consent to participate in research or receive medical treatment.

What are the ethical issues of data mining? ›

Data mining raises several ethical implications, including: Privacy Concerns: Data mining often involves collecting and analyzing large amounts of personal data, which can raise concerns about individuals' privacy rights.

What are the legal and ethical issues related to the use of information? ›

Accidental disclosure to inappropriate individuals and provisions to protect the accuracy of data also comes in the privacy issue. Access Right: The second aspect of ethical issues in information technology is access right.

Should data mining be legal? ›

Data mining—the process of studying vast sets of data from a variety of sources—is not illegal, but it can lead to ethical and legal concerns if the mined data includes private or personally identifiable information and applicable laws and regulations are not followed.

What are five 5 challenges when conducting data mining? ›

Challenges of Data Mining
  • 1]Data Quality. The quality of data used in data mining is one of the most significant challenges. ...
  • 2]Data Complexity. ...
  • 3]Data Privacy and Security. ...
  • 4]Scalability. ...
  • 5]Interpretability. ...
  • 6]Ethics.
Apr 2, 2024

What is the major issue in data mining? ›

Major issues include data quality, data privacy and security, handling diverse data types, scalability, integration with heterogeneous data sources, interpretation of results, dynamic data, and legal and ethical concerns.

How to legally and ethically gather data about an audience? ›

Ethical market research means respecting the rights of your audience. One of these rights is the right to withdraw at any given time. Allow participants to opt out of data collection, delete their account, and download what you have stored on their profile.

Why is data ethics important in business? ›

Businesses that take data ethics seriously build trust, comply with laws, protect their reputation, gain a competitive advantage, and fulfil their ethical responsibilities. By prioritising data ethics, businesses not only benefit themselves but also contribute to a more ethical and trustworthy data-driven ecosystem.

What are the five ethical considerations in data gathering? ›

Below are five basic principles of ethics of data collection and analytics.
  • Respect for Privacy. One of the fundamental principles of data collection and analytics is respect for privacy. ...
  • Fairness and Justice. ...
  • Transparency and Accountability. ...
  • Data Accuracy and Integrity. ...
  • Beneficence and Non-Maleficence.

What is ethics and legalities of data use? ›

In short, data ethics refers to the principles behind how organizations gather, protect, and use data. It's a field of ethics that focuses on the moral obligations that entities have (or should have) when collecting and disseminating information about us.

What are the five ways companies are unethical with data? ›

Most problems arise from (1) ethical failures in data sourcing, (2) using data for purposes other than those initially communicated, (3) lack of security in storing it, (4) how it is anonymized, and (5) how it's prepared for use.

How can companies ensure that they collect data accurately, ethically, and in compliance with local regional laws? ›

Informed consent is essential to protect individuals' privacy and ensure ethical data-sourcing practices. It also builds trust between organizations and individuals and helps organizations comply with privacy regulations.

What are the ethical considerations of mining? ›

Environmental Protection

Ethical small-scale mining must develop progressive plans for reducing the use of chemical substances, with procedures and technologies for their proper handling that ensure minimal environmental impact.

What is data mining and is it legal? ›

Data mining—the process of studying vast sets of data from a variety of sources—is not illegal, but it can lead to ethical and legal concerns if the mined data includes private or personally identifiable information and applicable laws and regulations are not followed.

What are the ethical implications of collecting data? ›

Data ethics involves balancing the potential benefits of data collection and use with the potential risks and harms to individuals and society. It also involves ensuring that data is collected and used transparently, accountably, and fairly and that individuals' privacy and rights are respected and protected.

What is the ethical danger of data mining? ›

Ethical issues in data mining include the lack of awareness, consent, and control people have over their personal data. Privacy concerns and the need for informed consent are pivotal in ensuring ethical data mining practices.

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