PolicyLR: An LLM compiler for Logic-based Representation for Privacy Policies

Privacy policies are crucial in the online ecosystem, defining how services handle user data and adhere to regulations such as GDPR and CCPA. However, their complexity and frequent updates often make them difficult for stakeholders to understand and analyze. We propose PolicyLR, a new paradigm that offers a comprehensive machine-readable representation of privacy policies, serving as an all-in-one solution for multiple downstream tasks. We have developed a compiler that transforms unstructured policy text into this format using off-the-shelf Large Language Models (LLMs). This compiler breaks down the transformation task into a two-stage translation and entailment procedure. The advantage of this model is that PolicyLR is interpretable by design and grounded in segments of the privacy policy. We evaluated the compiler using ToS;DR, a community-annotated privacy policy entailment dataset. Utilizing open-source LLMs, our compiler achieves precision and recall values of $0.91$ and $0.88$, respectively.