Tag Archives: Federal Trade Commission

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

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

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

Democratic Senators Introduce the Consumer Online Privacy Rights Act

On November 26, 2019, a group of Democratic senators introduced the Consumer Online Privacy Rights Act (COPRA).  This comprehensive privacy bill—sponsored by Senators Maria Cantwell (D-WA), Brian Schatz (D-HI), Amy Klobuchar (D-MN), and Ed Markey (D-MA)—would grant individuals broad control over their data, impose new obligations on data processing, and expand the FTC’s enforcement role … Continue Reading

Privacy Shield Third Annual Review

On October 23, 2019, the European Commission (“Commission”) published its Report on the third annual review of the EU-U.S. Privacy Shield (“Privacy Shield”) (the Report is accompanied by a Staff Working Document).  The Report “confirms that the U.S. continues to ensure an adequate level of protection for personal data transferred under the Privacy Shield” (see … Continue Reading

FTC Reaches Settlement with Developer of Tracking Apps

On October 22, 2019, the Federal Trade Commission reached a proposed settlement with the developer of three so-called “stalking” apps that enabled purchasers of the app to secretly monitor the mobile devices on which they were installed.  Developer Retina-X Studios, LLC and its owner James N. Johns marketed the three apps—MobileSpy, PhoneSheriff, and TeenShield—as a … Continue Reading

FTC Settles Enforcement Actions Relating to Privacy Shield Certifications

On September 3, 2019, the Federal Trade Commission (“FTC”) announced settlement agreements with five companies for alleged false claims of certification under the EU-U.S. and Swiss-U.S. Privacy Shield frameworks (collectively, “Privacy Shield”).  These settlements indicate that the FTC is continuing to actively enforce Privacy Shield commitments, as it has done with respect to several other … Continue Reading

Dark Patterns: What They Are and What You Should Know About Them

You may have heard the phrase “dark patterns” as shorthand for various user interfaces designed to influence users’ decisions. They can range from the perfectly innocent to the unethical, and even illegal. Whatever the form, dark patterns have recently drawn attention from the mainstream press. Dark patterns are coming out from the shadows. And when … Continue Reading

The FTC Announces Consumer Review Fairness Act Enforcement Actions

On May 8, 2019, the Federal Trade Commission (FTC) announced its first three cases that exclusively enforce the Consumer Review Fairness Act (CRFA).  Enacted in December 2016 to protect consumers’ ability to share their honest reviews, the CRFA prohibits companies from using form contracts that bar consumers from writing negative reviews or threaten them with … Continue Reading

FTC Proposes to Add Detailed Cybersecurity Requirements to the GLBA Safeguards Rule

On March 5, 2019 the Federal Trade Commission (“FTC”) published requests for comment on proposed amendments to two key rules under the Gramm-Leach-Bliley Act (“GLBA”).  Most significantly, the FTC is proposing to add more detailed requirements to the Safeguards Rule, which governs the information security programs financial institutions must implement to protect customer data. In … Continue Reading

GAO Report Calls for Federal Privacy Law

This month, the Government Accountability Office (“GAO”) released a report recommending that Congress consider enacting a federal internet privacy law in the United States.  The 56-page independent report was requested by the House Energy and Commerce Committee, which has scheduled a hearing on data privacy on February 26, during which it plans to discuss the GAO’s … Continue Reading

FTC Decides Not to Modify CAN-SPAM Rule

On February 12, the Federal Trade Commission (“FTC”) announced that, after a review of the Controlling the Assault of Non-Solicited Pornography and Marketing Act (“CAN-SPAM”) Rule as part of its periodic review of its regulations, it has determined that the Rule does not need to be modified at this time.… Continue Reading

European Data Protection Board Releases Report on the Privacy Shield

On January 24, the European Data Protection Board (“EDPB”) adopted a report (“Report”) regarding the second annual review of the EU-U.S. Privacy Shield (“Privacy Shield”).  In a press release accompanying the Report, the EDPB welcomed efforts by EU and U.S. authorities to implement the Privacy Shield,  including in particular the recent appointment of a permanent … Continue Reading

Sights on Online Search Advertising: FTC Finds Practices by 1-800 Contacts to Unlawfully Harm Competition and Restrict the Availability of Truthful Advertising to Consumers

Last month in  In the Matter of 1-800 Contacts, Inc., the Federal Trade Commission (“FTC”) provided insight into the circumstances under which retail price competition may take place in the 21st century internet economy.  In the Opinion authored by Chairman Joseph J. Simons (“Commission’s Opinion”) the Commission decided that 1-800 Contacts, the country’s largest online … Continue Reading

FTC Solicits Public Comment on Identity Theft Detection Rules

On December 4, 2018, the Federal Trade Commission (“FTC”) announced that it is accepting public comments regarding its Identity Theft Detection Rules, 16 C.F.R. Part 681 (the “Rules”), as part of a systematic review of the Commission’s regulations and guidelines. The review of the Rules is particularly noteworthy because identity theft is among the top … Continue Reading

FTC Settles with PR Firm and Publisher Over Social Media Endorsements

Just before the Thanksgiving holiday, the Federal Trade Commission (“FTC”) announced the issuance of consent orders involving Creaxion Corporation and Inside Publications, LLC to settle allegations that the companies misrepresented paid endorsements as independent opinions, and misrepresented paid commercial advertising as independent editorial content.  As a result, these companies and their principals are now prohibited … Continue Reading

NTIA Publishes Stakeholder Comments on Consumer Privacy Proposal

Last week, the National Telecommunications and Information Administration (“NTIA”) released submissions it had received from the Federal Trade Commission (“FTC”) staff and many other parties on NTIA’s proposed framework for advancing consumer privacy while protecting innovation.  Although NTIA did not request comments on a possible federal privacy bill, most submissions took the opportunity to inform … Continue Reading

Wyden Releases Draft Privacy Bill Increasing FTC Authority, Providing for Civil Fines and Criminal Penalties

Senator Ron Wyden last week released a discussion draft of a federal privacy bill that would amend Section 5 of the Federal Trade Commission Act to expand the FTC’s authority, create significant civil fines, and enforce certain provisions through criminal penalties. The draft Consumer Data Protection Act is among a growing number of proposals for … Continue Reading
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