Summary: S.1726 — 104th Congress (1995-1996)All Information (Except Text)

There is one summary for S.1726. Bill summaries are authored by CRS.

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Introduced in Senate (05/02/1996)

Promotion of Commerce On-Line in the Digital Era (Pro-CODE) Act of 1996 - Prohibits the Secretary of Commerce (acting through the National Institute of Standards and Technology or otherwise) from promulgating or enforcing regulations, or otherwise adopting standards or carrying out policies: (1) that result in encryption standards intended for use by businesses or entities other than Federal computer systems; or (2) in a manner inconsistent with this Act, or that have the effect of imposing Government-designed encryption standards on the private sector by restricting the export of computer hardware and computer software with encryption capabilities.

(Sec. 5) Prohibits the Federal and State governments from: (1) restricting or regulating the interstate sale by any person of any product with encryption capabilities; or (2) requiring, as a condition of such a sale, that a decryption key be given to any other person (including a Federal agency or a private entity certified or approved by the Federal or a State government).

Grants the Secretary exclusive authority to control exports of all computer hardware, software, and technology with encryption capabilities, except that which is specifically designed or modified for military use, including command, control, and intelligence applications.

Prohibits requiring any validated license (with limited exceptions) for the export or reexport of any: (1) computer software, including that with encryption capabilities, that is generally available, as is, and designed for installation by the purchaser, or that is in the public domain (including on the Internet) or publicly available because it is generally accessible to the public in any form; or (2) computing device or computer hardware solely because it incorporates or employs in any form such computer software (including that with encryption capabilities).

Directs the Secretary to authorize the export or reexport of computer software with encryption capabilities under a general license for nonmilitary end-uses in any country to which exports of software or hardware of similar capability are permitted for use by financial institutions not controlled in fact by U.S. persons, unless there is substantial evidence that such software and hardware will be diverted to a military end-use or an end-use supporting international terrorism, modified for military or terrorist end-use, or reexported without requisite Federal authorization.

Declares that nothing in this Act may be construed to affect any law in effect before this Act's enactment designed to prevent the distribution of descramblers and any other equipment for illegal interceptions of cable and satellite television signals.