I find this attitude so ignorant. How does a company instantly delete backups on redundant servers? How do they delete redundant hard copies kept in closets separated by meatspace? Furthermore, if you upload something to Facebook, and someone ELSE downloads it and saves it to a CD, and you delete it off facebook, should THEY be forced to magically know you deleted it, and delete their copy as well? Does Google have to delete their caches of your facebook page? Or maybe you are saying that Facebook, Google, etc should never make backups?
The truth is that once you upload something to a site like Facebook, it becomes publicly viewable and accessible and ANYONE can download it. The unfortunate truth is that you can never really UNDO that action, and no matter what arbitrary laws or draconian regulations you force companies to abide by, you can never truly take it back, even if you hit the delete key.
The paradigm shift needs to be in how people view sites like Facebook, Photobucket, etc: Don't upload anything you want to keep private. If you want to keep it private, upload it to a company that guarantees your privacy... NOT Facebook.