Companies that employ algorithms, machine learning and artificial intelligence (AI) in their day-to-day business may face increased attention from federal antitrust and consumer protection regulators in the future. On November 13–14, the Federal Trade Commission (FTC) addressed this topic in their hearings on “Competition and Consumer Protection in the 21st Century.” The panelists, an assembly … Continue Reading
On Thursday, September 27, the Federal Trade Commission (FTC) announced settlements with four companies, IDmission, LLC, mResource LLC (doing business as Loop Works, LLC), SmartStart Employment Screening, Inc., and VenPath, Inc., following allegations that the companies falsely claimed to be certified under the EU-U.S. Privacy Shield. Specifically, the FTC alleged that IDmission, LLC misrepresented participation … Continue Reading
The Federal Trade Commission (FTC) will be holding a series of hearings this fall on “Competition and Consumer Protection in the 21st Century,” with the goal of reflecting on the agency’s powers, and state attorneys general (AGs) want to make sure their voices are heard. A bipartisan group of 29 state AGs filed comments with … Continue Reading
On February 28, 2018, the Federal Trade Commission (FTC) released a report about security update practices for businesses providing mobile phones and other connected devices. The report recommends that manufacturers and carriers provide security updates that are consistent with consumer expectations, provide better information regarding their security practices and educate consumers on their role in … Continue Reading
On February 26, 2018, an en banc federal appeals court held that the common carrier exception in the Federal Trade Commission (FTC) Act that preempts FTC jurisdiction is “activity-based” rather than “status-based” and therefore applies only to the extent an entity engages in common-carrier services. See FTC v. AT&T Mobility LLC, No. 15-16585, D.C. No. … Continue Reading
The International Association of Privacy Professionals and Reed Smith’s Washington, D.C. office co-hosted the Association’s KnowledgeNet Chapter meeting, “Key Federal and State Regulatory and Enforcement Trends in Privacy to Watch in 2018 – Direct from the Regulators” on February 27, 2018. Reed Smith partner Divonne Smoyer moderated a panel discussion featuring Utah Attorney General Sean … Continue Reading
A Washington Legal Foundation legal opinion titled “The FTC’s Black-Box Determination of Information’s Sensitivity Imperils First Amendment and Due-Process Rights” and written by Gerry Stegmaier, Wendell Bartnick, and Kelley Chittenden illustrates the troubling fact that although businesses are tasked with implementing “reasonable” data security that hinges, in part, on the sensitivity of information, the Federal … Continue Reading
In a recently published “Staff Perspective,” the Federal Trade Commission (FTC) appears to be staying true to the regulatory humility approach Acting Chairman Maureen K. Ohlhausen underscored in her opening remarks to the connected cars and autonomous vehicles workshop the FTC co-hosted with the National Highway Traffic Safety Administration (NHTSA) last summer. The Consumer Protection … Continue Reading
On October 30, 2017, Sears Holding Management Corporation (“Sears”) petitioned the Federal Trade Commission (“FTC”) to reopen and modify the settlement to which they agreed in 2009. At that time, Sears agreed to a consent order to resolve the FTC’s complaint that Sears allegedly did not adequately disclose the scope of its collection of “online … Continue Reading
By Kimberly Chow and Kelley Chittenden on Posted in Regulatory
On October 19, President Trump formally announced his nomination of Joseph Simons to serve as Federal Trade Commission Chair for a seven-year term. Simons would assume the chairmanship of the agency in lieu of Acting Chair Maureen Ohlhausen, who took the position last January and is expected to remain with the Commission until the expiration … Continue Reading
The Federal Trade Commission has published a new guide that seeks to make compliance with the Children’s Online Privacy Protection Act (COPPA) as easy as 1, 2, 3, 4, 5, 6. Drawing from its detailed FAQs, the FTC has developed an even more streamlined, six-step DIY instruction manual designed for busy businesses that want a … Continue Reading
A panel at a meeting of the National Association of Attorneys General highlighted data breaches and privacy in the context of new technology, signalling that state regulators are focused on consumer protection in this area. The panel at the Southern Regional Meeting in Charlottesville on April 4 was devoted to emerging technologies, privacy concerns, and … Continue Reading
The Federal Trade Commission’s recent settlement with VIZIO, Inc., may have created a new definition of “sensitive information” that includes viewing data, but the opinion of Acting Chairperson Maureen Ohlhausen may provide further insight on how the agency will act under the new administration. On February 6, the FTC settled charges with VIZIO, one of the … Continue Reading
Jason Gordon and Michael Strauss penned an article for Law360 about the top five trends that dominated advertising law in 2016. The article discusses core advertising industry issues such as media transparency, SAG-AFTRA, Federal Trade Commission enforcement efforts, and the gamification of mobile apps. To find out more, click here.… Continue Reading
The FTC released a 100-page staff report this past November that assesses evolving business models relying on internet and app-based “sharing economy” platforms, such as those providing peer-to-peer services, and their effects on more traditional industries. To read more, click here.… Continue Reading
Responding to news reports that journalists were able to purchase advertising on Facebook targeted to ethnic groups, Facebook announced several new changes to the company’s advertising products. The move highlights heightened scrutiny of advertising practices surrounding the increasing use of big data in many aspects of marketing and advertising. Facebook’s response grew out of a … Continue Reading
Wages may be stagnant in the United States, but one thing on the rise is the price of getting on the wrong side of the Federal Trade Commission. Effective August 1, 2016, the maximum civil penalty dollar amount for violating section 5 of the Federal Trade Commission Act, or failing to comply with COPPA or … Continue Reading
Initial comments are due on May 27, 2016 regarding the Notice of Proposed Rulemaking (NPRM) released last month by the FCC in its broadband privacy proceeding. The rules proposed in the NPRM have already been the subject of contentious discussions throughout the federal government and the communications industry. Those discussions included a hearing earlier this month … Continue Reading
In December 2015, the Federal Trade Commission (FTC) settled a drawn-out civil action it brought against Wyndham Worldwide Corporation (Wyndham) for multiple data breaches involving cardholder data (i.e., information on credit and debit cards). In a departure from dozens of prior FTC settlements that mandated broad security measures for all consumer data, the Wyndham consent … Continue Reading
The Federal Trade Commission is currently the most aggressive enforcement agency on privacy and data security. The agency kicked off 2016 with PrivacyCon on January 14, which put the spotlight on academic research on consumer privacy and security. The conference, which drew 400 attendees to Southwest D.C. and 1,500 more streaming online, showcased 19 papers … Continue Reading
The FTC unveiled a lengthy report, Big Data: A Tool for Inclusion or Exclusion? Understanding the Issues, warning companies about commercial uses of big data and the discriminatory impact it may have on low-income and underserved populations. “Big data” refers to the ubiquitous collection of massive amounts of consumer information by companies, which may be … Continue Reading
As publishers increasingly rely on more modern methods of native advertising – that is, ads designed to look and feel similar to a platform’s editorial content – as a source of revenue, the FTC has taken steps to clarify when native advertising may cross the line and become deceptive to consumers. Recently, the FTC published … Continue Reading
In a landmark decision, an administrative law judge dismissed the FTC’s long-running data security lawsuit against Atlanta-based cancer screening laboratory, LabMD Inc., following an alleged data breach. Chief Administrative Law Judge D. Michael Chappell (the “ALJ”) ruled in his Initial Decision that the FTC had failed to prove that the laboratory’s alleged conduct harmed, or … Continue Reading
With the onslaught of smart watches, smart thermostats, and even smart refrigerators that allow you to Tweet hangry messages to your followers, it’s only natural that a “smart city” would follow. This week, San Francisco city officials agreed to run a one-year pilot project with Sigfox – an FCC certified French start-up that builds low-power … Continue Reading
