Speaking of law. Aren't there health and safety issues with constantly blasting people with infrared light? (What Kinect uses to read you).
I know long exposure is bad for your eyes.
Infrared are the most common radiation out there, and they're harmless light (less powerful than the visible light even). The sunlight is full of it, and you're exposed to far more IR while walking outside for 5 min than you would be while staying in front of an IR camera for a whole day (that's why kinect doesn't work in sunlight). So don't worry.
I did have some concern about the first kinect camera, since it projected a laser pattern which caused a glittering that could strain the eyes, but there should be no such pattern with a time of flight camera, so it should be even less of a problem.
This shit is on thin ice here in the states too.
The US had an issue with a Pennsylvania school using cameras in laptops to monitor the hundreds of kids that were given the laptops - it ended in a lawsuit focused upon invasion of privacy, theft of private information, and unlawful interception.
Not the same problem at all. Your example is a legit problem because it was, well, an invasion of privacy. The problem isn't that there was a camera in the laptops, but that some people were using them to spy on kids.
The legislation is about preventing unsollicited recording of private data, or giving external access to your video stream. But there's no such feature on a gaming console. Nobody will be watching you through your kinect, unless you asked for it.