Recent FTC Enforcement Actions Involving Endorsements, Privacy And Security

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The Federal Trade Commission announced several enforcement actions in the last year relating to endorsements, privacy and data security. These announcements provide valuable information to companies engaged in these activities: the announcements describe exactly what actions were purported to violate federal laws and what the subjects of the settlements agreed to do to comply with such laws going forward.

In this article, which was published in M/E Insights, the biannual magazine published by the Association of Media and Entertainment Counsel, James Taylor and Jill Westmoreland describe two settlements with companies that posted, or engaged others to post, online reviews of products, and why these reviews violated the FTC’s endorsement guides. The authors also discuss two companies that failed to comply with their own privacy promises – something the FTC has been targeting for over a decade. And the article covers settlements with two companies that failed to provide adequate security for consumer and employee data within their control. The authors also provide practical suggestions for complying with endorsement, privacy and data security laws and guidelines, as well as a list of online resources to assist with compliance.

Please see full article below for more information.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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