Archives: Federal Trade Commission

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New Privacy Bill Provides Opt-Out Rights and New Data Security Requirements

To add to the growing list of federal privacy frameworks introduced this year, Senator Amy Klobuchar (D-MN) has re-introduced the bipartisan Social Media Privacy Protection and Consumer Rights Act of 2021 (S. 1667).  Senator Klobuchar introduced the bill originally in 2018 and 2019, although it did not advance to committee in either instance.  Senators Kennedy … Continue Reading

Senators Markey and Cassidy Introduce Bill to Update the Children’s Online Privacy Protection Act

This week, Senators Ed Markey (D-Mass.) and Bill Cassidy (R-La.) introduced the Children and Teens’ Online Privacy Protection Act, which would update the Children’s Online Privacy Protection Act (COPPA).  COPPA is the comprehensive federal children’s privacy law enacted in 1998 that regulates the collection, use, and disclosure of personal information online from children under 13.… Continue Reading

Bill Introduced Would Preempt State Laws and Strengthen FTC Enforcement 

As the push for Congress to pass comprehensive consumer privacy legislation increases, Rep. Suzan DelBene (D-WA) has re-introduced the Information Transparency & Personal Data Control Act, a compromise proposal that contains provisions sought by both parties.  This bill would create national data privacy standards and increase the enforcement authority of the Federal Trade Commission (FTC) … Continue Reading

FTC Reaches Settlement with Digital Health App, Requires First Notice of Privacy Action

In a new post on the Covington Digital Health blog, our colleagues discuss a recent settlement between the Federal Trade Commission (“FTC”) and Flo Health, Inc. (“Flo”), the developer of a popular menstrual cycle and fertility-tracking application.  The settlement resolves allegations that Flo shared app users’ health information with outside third parties after promising that … Continue Reading

Hearing on Consumer Protection During the Pandemic Focuses on FTC’s Equitable Monetary Authority

On February 4, 2021, the House Energy and Commerce’s Subcommittee on Consumer Protection and Commerce held a hearing entitled, “Safeguarding American Consumers: Fighting Scams and Fraud During the Pandemic.”  The hearing focused on the FTC’s ability to obtain equitable monetary relief under Section 13(b) of the FTC Act – an issue that is currently being … Continue Reading

What A New Administration Means for the FTC’s Data Privacy & Security Enforcement Agenda

With a new administration and a new Congress come key leadership changes and new priorities at the Federal Trade Commission (FTC).  The change in administration paves the way for a Democratic-led Commission, though a permanent FTC Chairman and a successor to Commissioner Chopra (who has been nominated to head the Consumer Financial Protection Bureau) might … Continue Reading

FTC Reaches Settlement with Tapjoy for Allegedly Deceiving Consumers About In-Game Rewards

On January 7, the Federal Trade Commission (“FTC”) reached a proposed settlement with Tapjoy, a California-based company that operates an advertising platform within mobile gaming applications.  According to its complaint, the FTC alleges that Tapjoy deceived consumers by failing to provide in-game rewards it promised for completing actions associated with third-party advertisements.… Continue Reading

FTC Remedial Power Under Scrutiny at U.S. Supreme Court

On Wednesday, January 13, the Supreme Court heard arguments in AMG Capital Management LLC v. Federal Trade Commission.  This case raises the question whether the Federal Trade Commission (FTC) has been properly using Section 13(b) of the FTC Act, the provision authorizing requests for preliminary and permanent injunctions where the FTC believes the defendant “is … Continue Reading

Five Key Themes from the FTC’s Data Portability Workshop

On September 22, 2020, the Federal Trade Commission (“FTC”) hosted “Data to Go,” a virtual workshop on data portability. The workshop convened experts from civil society, academia, and industry to discuss the potential risks as well as consumer and competition benefits of data portability, as well as issues and best practices related to its implementation … Continue Reading

Federal Trade Commission Updates, Streamlines COPPA FAQs

The FTC recently updated Complying with COPPA: Frequently Asked Questions, the set of FAQs meant to provide informal guidance for complying with the Children’s Online Privacy Protection Act and the Commission-issued COPPA Rule.  In an accompanying blog post, the FTC staff emphasized that the revisions to the FAQs “don’t raise new policy issues” and that … Continue Reading

FTC and NAD Actions Highlight Continued Scrutiny of Online Reviews

As consumers rely more and more on the “independent” reviews of their peers in choosing products and services, advertisers need to remain vigilant that their role (if any) in disseminating such reviews is fairly disclosed, accurate and not misleading.  The pitfalls in this area were recently illustrated by a pair of enforcement actions brought by … Continue Reading

FTC to Consider Changes to the Health Breach Notification Rule

On May 8, 2020, the Federal Trade Commission (“FTC”) issued a notice soliciting public comment regarding whether changes should be made to its Health Breach Notification Rule (the “Rule”).  The request for comment is part of a periodic review process “to ensure that [FTC rules] are keeping pace with changes in the economy, technology, and … Continue Reading

IoT Update: FTC Settles with Smart Lock Manufacturer and Provides Guidance for IoT Companies

On April 6, 2020, Tapplock, Inc., a Canadian maker of internet-connected smart locks, entered into a settlement with the Federal Trade Commission (“FTC”) to resolve allegations that the company deceived consumers by falsely claiming that it had implemented reasonable steps to secure user data and that its locks were “unbreakable.”  The FTC alleged that these … Continue Reading

The FTC’s Response to the Coronavirus Pandemic: Consumer Protection Priorities and Initial Actions

The Federal Trade Commission has traditionally responded forcefully to public health and economic crises, and it is doing so again in response to the coronavirus pandemic.  The current crisis does present some additional complications, however, because of its impact on the operations of the agency itself.  Three particular aspects of the FTC’s consumer protection-related response … Continue Reading

COVID-19 Cybersecurity Advice: FTC and FBI Provide Guidance on Cybersecurity Scam Trends and Preventive Measures

In response to the COVID-19 outbreak, several U.S. government entities have released warnings about a rise in scams and fraudulent activity connected to the outbreak.  In a recent bulletin, the FBI warned of a rise in phishing emails, counterfeit treatments or equipment for COVID-19 preparedness, and fake emails from the Centers for Disease Control and … Continue Reading

COVID-19 Cybersecurity Advice: FTC, NIST, and CISA Release Guidance on Secure Teleworking and Critical Infrastructure Jobs

In response to the drastic increase of U.S. employees working remotely, the U.S. Federal Trade Commission (“FTC”) and the U.S. National Institute of Standards and Technology (“NIST”) have both issued guidance for employers and employees on best practices for teleworking securely.  In addition, the Cybersecurity and Infrastructure Security Agency (“CISA”) has provided advice on identifying … Continue Reading

FTC Sends Warning Letters to Teami Tea Influencers

Cardi B might like it, but the Federal Trade Commission (“FTC”) did not.  On March 5, 2020, the agency sent Cardi B and other high-profile influencers warning letters alleging that the influencers made inadequate disclosures in their endorsements of Teami tea.  The letters followed on the heels of the FTC’s proposed order against Teami, LLC … Continue Reading

New Bill Seeks to Impose Design Restrictions on Kids’ Online Content and Marketing

On March 5, Senators Ed Markey (D-MA) and Richard Blumenthal (D-CT) introduced the Kids Internet Design and Safety (KIDS) Act.  The bill, which covers online platforms directed to children and teenagers under 16 years old, aims to curb the time spent by these minors on such platforms and could dramatically affect advertising and influencer content … Continue Reading

Sen. Kirsten Gillibrand Proposes New Digital Privacy Agency

On February 12, 2020, Senator Kirsten Gillibrand (D-NY) announced a plan to create a new Data Protection Agency through her proposed legislation, the Data Protection Act of 2020 (S.3300). Under the proposal, the new agency would replace the Federal Trade Commission (FTC) as the “privacy cop on the beat.”  As such, the FTC’s current authority … Continue Reading

Kids’ Privacy Bill Allowing for Private Suits Introduced in House

On January 30, House Rep. Kathy Castor (D-FL) introduced the Protecting the Information of our Vulnerable Children and Youth (“PRIVCY”) Act, a bill that promises to be a significant overhaul of the Children’s Online Privacy Protection Act (“COPPA”). Currently, COPPA applies only to personal information collected from children under 13 years old.  The PRIVCY Act … Continue Reading

FTC Summarizes 2019 Changes to Data Security Orders

In a recent blog post, the Federal Trade Commission highlighted three key changes it made in 2019 in its approach to issuing orders in data security enforcement matters.  As stated by Andrew Smith, the Director of the FTC’s Bureau of Consumer Protection, in the blog post, the agency intends for these changes to strengthen consumer … Continue Reading

FTC Settles with Broker Who Allegedly Disclosed Personal Information of Yelp Reviewers

On January 6, 2020, the Federal Trade Commission (FTC) sued a California-based mortgage broker for allegedly disclosing the personal information of customers who left negative Yelp reviews, and filed a settlement of the claims. According to the complaint, Ramon Walker is the owner and operator of Mortgage Solutions FCS, Inc., a broker connecting residential mortgage … Continue Reading

House Energy and Commerce Committee Circulates Draft Privacy Bill Expanding FTC Authority

On December 18, 2019, staffers on the House Energy and Commerce Committee circulated a draft of a bipartisan privacy bill.  The draft is currently unnamed and unfinished, but it lays out a comprehensive framework that expands both individuals’ rights to their data and the FTC’s enforcement role over digital privacy.  Rep. Cathy McMorris-Rodgers (R-Wash.) and … Continue Reading
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