Federal Trade Commission Data Security

The United States Federal Trade Commission is an independent federal agency established in 1914 by the Federal Trade Commission Act. The agency is charged with protecting consumers from misleading, fraudulent or... more +
The United States Federal Trade Commission is an independent federal agency established in 1914 by the Federal Trade Commission Act. The agency is charged with protecting consumers from misleading, fraudulent or deceptive marketing claims, as well as regulating unfair business practices that undermine the competitive marketplace.    less -
News & Analysis as of

New York Attorney General Announces Settlement With Trump Hotel Over Two Data Security Incidents

On September 23, 2016, New York Attorney General Eric T. Schneiderman announced a settlement with Trump International Hotels Management LLC, d/b/a Trump Hotel Collection (“THC”), imposing $50,000 in penalties and ongoing...more

UPDATE: Got Data? Actual Harm Not Required for FTC Enforcement Action for Lax Security Measures

As anticipated, things are getting even more exciting with the case previously covered in Password Protected. Specifically, LabMD is appealing the landmark data security case between it and the Federal Trade Commission...more

Cyber Alert: Security Vulnerabilities: You Don’t Need a Breach to Face Regulatory Scrutiny

Those who track newsworthy data breaches and other cybersecurity incidents know what type of fallout to expect from these events. Class action lawsuits from consumers, shareholders and financial institutions are now not an...more

Advertising Law - September 2016 #2

FTC Gives Academic Journals a Failing Grade - The Federal Trade Commission recently filed suit against the publisher of online academic journals that the agency accused of deceiving academics and researchers. OMICS...more

FTC Round-Up: NIST Framework Compliance Is Not Enough and Looming Ransomware Enforcement Activity

On August 31st and September 7th, 2016, the Federal Trade Commission (FTC) provided guidance regarding cybersecurity standards, which companies should consider when assessing their current data security posture....more

FTC Makes Clear that NIST Cyber Framework is Not a Cure-All

Last week, the FTC published a blog post titled The NIST Cybersecurity Framework and the FTC, in which the agency issued a nuanced answer to an oft-asked question: “If I comply with the NIST Cybersecurity Framework, am I...more

Advertising Law - August 2016 #3

ANA, 4As Battle Over Transparency Guidance - Two industry groups are engaging in a public battle over transparency. The dispute began when a joint task force was formed between the American Association of...more

FTC Requests Comments on Safeguards Rule

The Federal Trade Commission (FTC) issued a press release on August 29, 2016, indicating that it is seeking comments on the Standards for Safeguarding Customer Information, applicable to financial institutions....more

LabMD Seeks Stay of FTC’s Final Order Pending Appeal

Not surprisingly, on August 30, 2016, LabMD filed its Application for a Stay of the Final Order of the Federal Trade Commission (FTC) pending review of the order by the appellate court. But since the matter is still pending...more

Coal Plant Shutdowns: Operators Have Cyber Protection Obligations Even After Closing

As Yogi Berra used to say: “It ain’t over till it’s over.” Coal plant operators shutting down their plants should remember this phrase. Even after they throw the breakers, go off the grid, are no longer contributing to the...more

FTC Reverses Its ALJ and Finds LabMD Section 5 Violation

The Federal Trade Commission recently vacated the decision of its Chief Administrative Law Judge and on July 29, 2016 entered a final order against LabMD potentially expanding previous interpretations of what constitutes...more

Receiving Data from Europe: The EU-US Privacy Shield

The European Union ("EU") recently announced that the new EU-US Privacy Shield Agreement ("Privacy Shield") is adequate to meet EU data privacy requirements and allow for the transfer of personal data from the EU to the US in...more

FTC Overturns ALJ’s LabMD Decision and Reasserts its Role as a Data Security Enforcer

On July 29, 2016, the Federal Trade Commission (“FTC” or “Commission”) reversed an FTC administrative law judge’s (“ALJ”) opinion which had ruled against the FTC, finding that the Commission had failed to show that LabMD’s...more

Latest Data Breach Settlement Illustrates Need for Companies to Prioritize Cybersecurity

On Aug. 5, 2016, the New York attorney general, Eric Schneiderman, announced a $100,000 settlement with an e-retailer following an investigation of a data breach that resulted in the potential exposure of more than 25,000...more

The Digital Download - Alston & Bird’s Privacy & Data Security Newsletter – August 2016

General Data Protection Regulation (GDPR) Published, Commencing Two-Year Countdown to Application. One of the most important EU legislative initiatives in recent years, and a landmark in privacy regulation worldwide, the GDPR...more

FTC Finds Laboratory Security Practices Caused Consumer Harm

On July 28, 2016, a panel (the “FTC Panel”) of three acting Federal Trade Commission (“FTC”) commissioners issued an opinion that found that LabMD, Inc. (“LabMD”) failed to implement reasonable security measures to protect...more

Unanimous FTC Finds LabMD’s Data Security Practices Violated Section 5 of the FTC Act

On July 29, 2016, a unanimous Federal Trade Commission (“FTC” or “Commission”) issued its Opinion and Final Order reversing the decision of an administrative law judge (“ALJ”) and holding that LabMD engaged in “unfair”...more

Got Data? Actual Harm Not Required for FTC Enforcement Action for Lax Security Measures

While much of Washington, D.C. is enjoying the slow and hazy days of summer, the Federal Trade Commission (FTC) is staying busy solidifying its presence as the go-to authority for data security. Most recently, on July 29,...more

Lessons for Businesses from FTC’s Opinion on LabMD’s Data Security Practices

The Federal Trade Commission (FTC) has issued an Opinion and Final Order finding that the data security practices of LabMD, Inc. were unreasonable, and therefore constituted an unfair act or practice in violation of Section 5...more

The FTC Rules Against LabMD in On-Going Data Security Case

The lengthy saga between the Federal Trade Commission (FTC) and LabMD, Inc. reached another turning point on July 28, 2016. The FTC issued its unanimous Opinion in which it found that LabMD’s data security practices were...more

FTC Expands Its Role In Cybersecurity Enforcement By Reviving LabMD Action

On Friday, July 29, 2016, the Federal Trade Commission (“FTC” or the “Commission”) overturned the decision of one of its administrative law judges (“ALJ”) from November 2015 in a suit against LabMD, Inc., now finding LabMD...more

FTC Overrules LabMD Dismissal, Finds Unfair Data Security Practices

The FTC issued an Opinion and Final Order reversing the previously dismissed charges against LabMD on July 29. FTC Administrative Law Judge (ALJ) D. Michael Chappell had dismissed the case against LabMD on November 13, 2015...more

FTC Reverses ALJ’s Decision In LabMD Case

Back in November 2015, Chief Administrative Law Judge (ALJ) D. Michael Chappell ruled that the Federal Trade Commission (FTC) failed to show that LabMD, Inc.’s (LabMD) data security practices caused harm to consumers stemming...more

FTC Approves Final Order Against ASUS

We previously reported that the Federal Trade Commission (FTC) had entered into a proposed settlement with ASUSTek Computer, Inc. in February of 2016. The allegations against ASUS were that it failed to take reasonable steps...more

The Cost of Noncompliance: LifeLock Continues to Pay

LifeLock, Inc. made headlines in December 2015 when it finalized a $100 million settlement with the Federal Trade Commission—the largest monetary award ever in an FTC order enforcement action. As reported by McGuireWoods’...more

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