Apple, Google, Microsoft and others agree to app privacy limitation

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According to a statement issued by The California Department of Justice, Google, Apple, Microsoft, HP, Amazon and RIM have agreed to work together to make sure that apps sold through the companies’ respective app markets will conform to California state law.

The California  law requires apps that collect any kind of personal information to have a privacy policy that outlines what personal information the app collect and what it will do with the data. Apps that do not collect any private information do not need to out the privacy policy.

Any app that fails to follow the guidelines will be charges $5,000 per user.

The move comes after the Path phenomenon, where the app was caught collecting and storing contact list from users without any prior knowledge given to the users.

Under the new law, users will be provided with new tools to report the app that do not follow the privacy guidelines and  a review will be held in 6 month.