FTC’s Unfairness Claim is Dismissed in Closely Watched Device Data Privacy-Based Action

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The January 5, 2017, Complaint filed by the Federal Trade Commission (“FTC”) in the U.S. District Court for the Northern District of California (“Court”) against D-Link Corporation and D-Link Systems, Inc. (Federal Trade Commission v. D-Link Corp., case number 3:17-cv-00039) is going to proceed beyond the initial pleading phase. On September 19, 2017, Judge James Donato issued his ruling to the Motion to Dismiss filed by D-Link Systems on January 31, 2017. While the order gives both parties standing to claim a victory, the substance of the order is an interesting roadmap to FTC privacy-related cases and it directly addressed the fact that the FTC failed to identify any actual consumer harm.

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