Federal Trade Commission

Earlier this week, a federal district court in New Jersey issued an opinion ruling on Wyndham Worldwide Corporation’s and three of its subsidiaries’ (collectively “Wyndham’s”) motion to dismiss, finding for the FTC on all grounds.  While the court noted that the “decision does not give the FTC a blank check to sustain a lawsuit against every business that has been hacked,” the opinion underscores the risk exposure for companies that incur a data breach (or otherwise collect/store consumer data), and face FTC scrutiny thereafter as to whether their information safeguard practices are consistent with FTC expectations.  While the FTC has reached over 50 data security settlements, this case represents the first time that the FTC is litigating its theory that a business’s privacy and data security practices may be unfair and/or deceptive under Section 5 of the FTC Act.
Continue Reading Wyndham Hits a Wall in Challenge to FTC Data Breach Authority

On March 28, 2014, the FTC announced two new mobile app settlements – with Fandango and Credit Karma – based on allegations that the companies failed to secure the transmission of consumers’ sensitive personal information collected via their mobile apps and misrepresented the security precautions that the companies took for each app.

Specifically, the FTC

A class action lawsuit was filed last week in California against Google Inc., alleging that many apps in Google’s app marketplace permit children to make virtual purchases within the game without a parents’ knowledge or consent.

The complaint alleges that Google offers free and paid apps through its “Google Play” store, and that many are

The FTC announced last week that it had reached a settlement with N.E.W. Plastics Corp., d/b/a Renew Plastics, over allegedly improper recyclability and recycled content claims.  The company manufactures plastic lumber products – including its Evolve and Trimax brands – used primarily in outdoor decking and furniture.  According to the FTC’s complaint, the company claimed

The FTC announced today that it has reached a settlement with TRENDnet regarding allegations that it failed to protect consumers’ privacy and thus caused consumers to unknowingly broadcast private video feeds on the internet. The settlement marks the FTC’s first enforcement action regarding the “Internet of Things,” or an everyday consumer product with connectivity to

The Federal Trade Commission (“FTC”) announced settlements with three mattress manufacturers last week that prohibit the manufacturers from making claims that their products are free from volatile organic compounds (“VOCs”) absent competent and reliable scientific evidence.

The companies involved – Relief-Mart, Inc., Essentia Natural Memory Foam Company, Inc., Ecobaby Organics, Inc. – are all alleged

This week, the Federal Trade Commission announced the latest updates to its Frequently Asked Questions (“FAQs”) document to assist online operators as they work to comply with changes to the Children’s Online Privacy Protection (“COPPA”) Rule that went into effect on July 1, 2013. The updated FAQs address the following topics:

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The Federal Trade Commission (“FTC”) announced this week that it will host a roundtable on October 1 regarding the Rule on Care Labeling of Textile Wearing Apparel and Certain Piece Goods (the “Care Labeling Rule”). As apparel manufacturers and retailers know, the Care Labeling Rule requires manufacturers and importers to attach labels with care instructions