Data for Dollars: How the Government Buys Your Data
TL;DR
The U.S. government sidesteps Fourth Amendment protections by purchasing Americans' personal data from brokers, avoiding warrants and oversight. Supreme Court rulings like Carpenter v. United States hint that such practices may be unconstitutional, but the law remains unclear. Agencies like the IRS, FBI, and ICE have exploited this loophole to access sensitive data, eroding civil liberties. Tools like Meprism Privacy help users reclaim control of their information.
The Fourth Amendment and the “Reasonable Expectation of Privacy”
Most Americans cherish the Fourth Amendment as a shield against government intrusion. It protects “the right of the people to be secure in their persons, houses, papers, and effects” from unreasonable searches and seizures. But what exactly counts as a “search” in the digital age? Since the seminal case Katz v. United States (1967), courts use the “reasonable expectation of privacy” test to answer that question. This test has two parts: (1) you must actually expect privacy in the situation, and (2) society must view that expectation as reasonable.
From Katz to Carpenter: How Privacy Law Has Evolved
Several Supreme Court decisions define the current landscape:
Katz v. United States (1967): The Court ruled that eavesdropping on a public phone booth was a search because the caller sought privacy, and society recognized it as reasonable.
Smith v. Maryland (1979): Introduced the third-party doctrine, ruling that dialing phone numbers was not private because the user knowingly shared that data with the phone company.
Carpenter v. United States (2018): Marked a shift, ruling that cell phone location data required a warrant. Even though the data was held by a third party, the Court acknowledged its sensitivity.
These cases show a back-and-forth: Katz opened protections, Smith narrowed them, and Carpenter reopened the door for digital privacy. Still, the law remains fuzzy, and government agencies are exploiting that.
Data Brokers and the Warrant Loophole
Rather than going to a judge for a warrant, federal agencies are buying personal data from brokers. These data sets, sourced from apps and online services, include GPS history, web activity, and more. Key examples:
IRS: In 2017, bought app-sourced location data from Venntel to track criminal suspects—without a warrant. The program was later dropped after legal scrutiny.
FBI: Admitted in 2023 to previously purchasing Americans’ location data, later claiming to have ceased the practice.
ICE: Signed a $22.1 million deal with LexisNexis for access to massive databases including jail bookings and credit headers. The agency also used Venntel’s GPS data to uncover a smuggling tunnel at the U.S.-Mexico border.
These purchases sidestep legal checks and let agencies gather sensitive data in bulk—far more than they could with traditional subpoenas.
Violating the Spirit of the Fourth Amendment
Agencies defend the practice by noting the data is commercially available. But this rationale ignores the Fourth Amendment’s purpose: to place limits on government power. The warrant requirement is meant to force judicial oversight, not to be bypassed by a budget line.
The logic behind Carpenter strongly implies that precise, revealing data—especially when passively generated by smartphones—deserves protection. Yet agencies claim Carpenter only applies to telecom records, and are purchasing app-based equivalents instead. This legal gray area, some argue, amounts to "data laundering": converting unconstitutional surveillance into a commercial transaction.
Eroding Privacy Through Apathy
The danger is not just legal—it’s cultural. Under Katz, what society considers "reasonable" shapes privacy rights. If we normalize surveillance, we lose protections. Courts may eventually say we shouldn’t expect our data to be private because we’ve accepted its exposure.
Justice Thurgood Marshall warned against this trap: sharing information with a service provider doesn’t mean you’re waiving all rights. Public backlash has worked before—Snowden’s revelations curtailed some NSA programs, and Carpenter was partly fueled by public discomfort. But if people shrug and say, "privacy’s already dead," the Fourth Amendment will die with it—not in law, but in practice.
The Threat to Civil Liberties and Rule of Law
Government access to commercial data impacts everyone—not just suspects. It chills speech, association, and protest. It enables discriminatory profiling. And it avoids democratic checks. Surveillance once required laws, debate, and court orders. Now, it’s done in secret, outsourced to private firms.
If purchasing private data is allowed without a warrant, the rule of law erodes. The Constitution envisioned limits on power. Today’s data broker deals resemble the general warrants the Fourth Amendment was written to stop.
Conclusion: Stand Up for Your Privacy Rights
In an age of convenience and big data, it’s easy to become complacent. We enjoy our apps and online services, and we know we trade some data for their use. Many of us think “I have nothing to hide, so why worry?” But privacy isn’t about hiding wrongs; it’s about preserving the freedom to live and express ourselves without constant monitoring. The U.S. government’s practice of buying consumer data behind our backs – without our consent and without judicial oversight – is a direct challenge to that freedom.
The good news is that we are not helpless. As individuals and consumers, we have power to push back. We can support laws that close these loopholes and demand that our representatives uphold constitutional values in the digital realm. And tangibly, we can starve the data brokers of the fuel that makes this warrantless surveillance possible – our data. This is where tools like Meprism Privacy come in. Meprism empowers you to delete your personal data from major brokers, taking back control of your information. When you remove your data from these aggregators, not only do you protect yourself from unwarranted profiling, you also send a signal. You demonstrate a continued societal demand for privacy. You show companies and the government alike that we do expect our data to remain private, that we do not consent to indiscriminate sale and snooping.
Each person who asserts their privacy rights makes those rights stronger for everyone. It’s akin to a vote – a vote for the kind of society we want. Do we want a society of apathy, where we shrug and give government agents a blank check to buy up our lives? Or do we want a society of engaged citizens who insist that constitutional protections endure even as technology changes? The Fourth Amendment’s promise is only as strong as our commitment to it. By actively protecting your privacy – whether through savvy tech tools, choosing privacy-friendly services, or supporting robust privacy laws – you are upholding that promise.
In the end, privacy is about power: the power to live freely, the power to dissent, the power to innovate and explore without a digital guard looking over your shoulder. The founders placed that power with the people, not the government. It’s up to us to keep it there. So, take action – reclaim your data, assert your rights, and encourage your friends and community to do the same. Together, we can close the “data broker loophole” and ensure that our laws and norms catch up with technology. Your data is your life – don’t let it be sold to the highest bidder. By standing up for your privacy, you stand up for the fundamental freedoms that define a democracy.
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