All watched over by machines of loving grace: Some ethical guidelines for user experience in ubiquitous-computing settings by Adam Greenfield is a column in Boxes and Arrows. The author provides guidelines to deal with the issues raised by ubicomp.
My sense is that the challenge of ubiquitous computing for user-experience professionals resides fundamentally in two places: in the regrettable quality of interaction typically manifested by complex digital products and services designed without some degree of qualified UX intervention, and in the ease with which ubiquitous systems can overwhelm or render meaningless the prerogatives of privacy, self-determination and choice that have traditionally informed our understanding of civil liberty.