News & Analysis as of

Unfair or Deceptive Trade Practices Data Breach Enforcement Actions

WilmerHale

FTC Announces Enforcement Action Against Global Tel*Link Corporation for Unfair Data Security Practices and Inadequate Data Breach...

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On November 16, the Federal Trade Commission (FTC) announced an enforcement action against Global Tel*Link Corporation and two of its subsidiaries (collectively, “GTL”), which provide communications and payment services to...more

Polsinelli

Regulatory Overreach/Litigation Remedies To Curtail Regulatory Excess by Federal Trade Commission

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With the rise of large-scale, high-profile data breaches, the Federal Trade Commission has expressed its intent to hold companies accountable. (See “Consumer Financial Protection Circular 2022-04,” Consumer Financial...more

Wyrick Robbins Yates & Ponton LLP

Consent Horizon: BetterHelp to Pay $7.8 Million to Settle FTC Claims

On the heels of its $1.5 million enforcement action against GoodRx, the FTC is back with an enforcement action against BetterHelp, an online mental health counseling service. This time the price tag will be $7.8 million,...more

WilmerHale

FTC Continues Enforcement Focus on the Use and Disclosure of Health Information for Advertising

WilmerHale on

On Thursday, March 2, the FTC announced an enforcement action against BetterHelp, Inc., an online mental health counseling service, relating to claims that the company’s collection and use of consumer health data were unfair...more

Wyrick Robbins Yates & Ponton LLP

Not What the Doctor Ordered: GoodRx to Pay $1.5 Million in FTC’s First Enforcement of the Health Breach Notification Rule

The Federal Trade Commission earlier this month undertook an enforcement action against online pharmacy and telehealth provider GoodRx, in the latest example of the agency seriously pursuing its role as the nation’s de facto...more

Wyrick Robbins Yates & Ponton LLP

Buyers Beware: the FTC’s Case Against CafePress Highlights Privacy and Data Security Risks in Corporate Transactions

Last week the Federal Trade Commission announced a privacy and data security enforcement action against the online retail platform CafePress. The allegations in the FTC’s complaint read like a list of worst practices,...more

Wilson Sonsini Goodrich & Rosati

Spotlight on Antitrust: FTC Open Meeting Reflects Changing Tide

On July 1, the Federal Trade Commission (FTC) held its first open meeting in decades. At the meeting, the FTC adopted the four items on its agenda, all along partisan lines. The Commission rescinded the 2015 Statement of...more

Sunstein LLP

Twenty Years Under the Microscope: A Small Business, a Data Breach and the FTC

Sunstein LLP on

James Grago has a nice business going. He runs a website called ClixSense.com that permits users to earn money by completing surveys and watching advertisements. Revenues grew from $6.7 million in 2015 to $9.1 million in...more

ArentFox Schiff

FTC Reminds Auto Dealer Vendor to Slow Down & Consider Security

ArentFox Schiff on

The Federal Trade Commission (FTC) recently released updated data security guidance in connection with a proposed settlement with LightYear Dealer Technologies, LLC (dba DealerBuilt), a service provider for the auto dealer...more

Fenwick & West LLP

Takeaways From the 11th Circuit’s Reversal of the FTC’s Data Security Order Against LabMD

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The U.S. Court of Appeals for the Eleventh Circuit on June 6 issued its long-awaited decision in LabMD v. Federal Trade Commission, vacating a Federal Trade Commission cease and desist order directing LabMD to overhaul its...more

Womble Bond Dickinson

LabMD Ruling Heralds a New Era in Data Security Regulation

Womble Bond Dickinson on

Companies have a responsibility to protect the sensitive employee and consumer data they hold, but we do not know how much of their revenues must be spent on this effort before it is considered enough. We do not know what...more

Dechert LLP

Appellate Court Directs FTC to Be More Specific in its Data-Security Orders

Dechert LLP on

In a closely watched data-security case, the U.S. Court of Appeals for the Eleventh Circuit vacated as unenforceable a cease and desist order issued by the U.S. Federal Trade Commission (FTC) against LabMD, Inc. According to...more

Ballard Spahr LLP

State and Local Governments Move Swiftly to Sue Equifax.

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The cities of Chicago and San Francisco and the Massachusetts Attorney General have filed the first enforcement actions against Equifax following the announcement of a data breach affecting an estimated 143 million consumers....more

Lowndes

A Primer On FTC Cybersecurity Enforcement

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According to the Breach Level Index, the total number of data records lost or stolen in just the first half of 2016 was 554,454,942, stemming from 974 breach incidents. In the entire year of 2015, there were 707.5 million...more

Bennett Jones LLP

Cybersecurity: United States Federal Trade Commission Strikes Again

Bennett Jones LLP on

The United States Federal Trade Commission ("FTC") strikes again. In the action by the FTC involving the cybersecurity breach of Toronto-based AshleyMadison.com (operated by Ruby Corp. and hereafter referred to as "Ashley...more

Moore & Van Allen PLLC

The FTC Faces an Embarrassing Set-Back in its Data Security Enforcement Authority as the LabMD Saga Continues

Moore & Van Allen PLLC on

On November 10th, the Eleventh Circuit Court of Appeals handed an embarrassing defeat to the Federal Trade Commission and an early Christmas present to LabMD, Inc. in the ongoing David and Goliath battle between the...more

Snell & Wilmer

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

Snell & Wilmer on

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

Alston & Bird

FTC Overrules LabMD Dismissal, Finds Unfair Data Security Practices

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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

Cooley LLP

Alert: FTC Commissioners Find LabMD's Failure to Implement Data Security Practices "Unfair"

Cooley LLP on

On July 29, 2016, the Federal Trade Commission (FTC or Commission) announced its long-awaited decision in its LabMD enforcement action. The Commissioners reversed the decision of an Administrative Law Judge (ALJ) and held...more

Bond Schoeneck & King PLLC

Cybersecurity and Data Privacy: CFPB Takes Unprecedented Action Against Company (3/16)

A new regulatory authority has entered the field of data security: the relatively new Consumer Financial Protection Board (CFPB). On March 2, the CFPB announced that it had reached a consent order with an Iowa-based company...more

Foley Hoag LLP - Security, Privacy and the...

In Cybersecurity, No Harm Does Not Necessarily Mean No Foul

How much does the question of harm matter in cybersecurity law? The answer is: It depends on who is bringing the claim. Businesses confronting data breaches can face litigation from private consumers as well as from...more

Fenwick & West LLP

Return of the Cyborg—FTC and SEC Oversight of Cybersecurity Ramps Up

Fenwick & West LLP on

The government appears to be increasing its enforcement efforts regarding cybersecurity risks. A three-judge panel of the U.S Court of Appeals for the Third Circuit recently held the FTC may bring a claim that a company’s...more

Morgan Lewis

SEC and DOJ Hacking Prosecutions Highlight SEC’s Increased Interest in Cybersecurity Risks

Morgan Lewis on

Companies are reminded of the need for strong internal controls. The US Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) recently filed civil and criminal actions in the largest hacking and...more

Robinson+Cole Data Privacy + Security Insider

Maryland AG settles with Visionworks over security practices

Using the Maryland Consumer Protection Act, Maryland Attorney General Brian Frosh has announced that eye care retailer Visionworks, Inc. has agreed to pay the state of Maryland $100,000 and enhance its security measures...more

Akin Gump Strauss Hauer & Feld LLP

3rd Circuit Affirms FTC’s Cybersecurity Oversight

If you read one thing: - The Federal Trade Commission (FTC) secured a major appellate victory in its quest to challenge lax corporate cybersecurity practices - In light of the 3rd Circuit’s decision,...more

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