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FTC Actions Posts
Upcoming Supreme Court cases could stop FTC from halting businesses and freezing assets via TROs
Jul 16, 2020
Upcoming Supreme Court cases could stop FTC from halting businesses and freezing assets via TROs
If it was not already apparent, the Supreme Court last week made it clear that it is taking a close look at the power of federal agencies to obtain monetary relief such as disgorgement or restitution through civil proceedings. Indeed, on June 22, the Court in Liu v. Securities and Exchange Commission held that although…
FTC Settles with Gaming App for False Representations about Children’s Privacy
Jul 9, 2020
FTC Settles with Gaming App for False Representations about Children’s Privacy
On July 6, 2020, the Federal Trade Commission announced a settlement with gaming app developer Miniclip S.A. The settlement addresses allegations that Miniclip falsely claimed membership in a Children’s Online Privacy Protection Act (COPPA) safe harbor program for the last several years. Miniclip boasts more than 1 billion downloads of its 45 “high-quality mobile games”…
FTC Enforcement reminds Companies to live up their Promises
Apr 15, 2020
FTC Enforcement reminds Companies to live up their Promises
The FTC recently announced its settlement with Tapplock, Inc., a maker of smart padlocks (Internet-connected fingerprint-enabled padlocks that you can use in lieu of old-fashioned combo locks). The FTC investigated the Canadian-based company for its allegedly false claims that its Internet-connected smart locks were designed to be “unbreakable” and that the company took reasonable steps…
You Got Loot? FTC Examines In-Game Purchases
Aug 8, 2019
You Got Loot? FTC Examines In-Game Purchases
The FTC held three panels on Wednesday, August 7, 2019, that centered on one topic: loot boxes earned or purchased during online game play. It’s clear from the selection of panelists and the questions posed by FTC staff that the FTC is on high alert about potential consumer protection issues surrounding these in-game purchases. If…
Don’t Believe Me Just Watch: Choose Profits over Privacy and the FTC may Funk You Up
Mar 14, 2019
Don’t Believe Me Just Watch: Choose Profits over Privacy and the FTC may Funk You Up
An app for children–wee ones even–to publicize videos of themselves jamming to their favorite tunes. An app that, by default, allows its users to communicate directly with any other users, including wee ones. An app that provides its users a list of other users within a 50-mile radius who they can follow or contact directly…
Eleventh Circuit Assumes FTC’s Data Security Enforcement Authority, But Mandates Specificity for FTC Orders
Jun 20, 2018
Eleventh Circuit Assumes FTC’s Data Security Enforcement Authority, But Mandates Specificity for FTC Orders
On June 6, 2018, the United States Court of Appeals for the Eleventh Circuit issued a landmark ruling in LabMD v. Federal Trade Commission. While the Eleventh Circuit impliedly held that the Federal Trade Commission (“FTC”) has authority to take enforcement action against companies whose unfair practices lead to data security incidents that pose…
FTC Focuses on Kids’ Geo-Location Devices in Latest COPPA Warnings
May 8, 2018
FTC Focuses on Kids’ Geo-Location Devices in Latest COPPA Warnings
A public service announcement of yesteryear posed the following question to parents: “It’s 8:00. Do you know where your children are?” Today’s technology allows parents to answer that question regardless of the time of day. That technology, however, has recently drawn scrutiny for violating the parental notice and consent provisions of the Federal Trade Commission’s…
Facebook and the FTC: A Wake-Up Call for Companies Collecting Personal Data
Mar 21, 2018
Facebook and the FTC: A Wake-Up Call for Companies Collecting Personal Data
The FTC is reported to be joining state and international regulators in examining Cambridge Analytica’s actions with data accessed from Facebook, including how the data analytics company obtained the information, what it did with the information, and whether Facebook complied with existing obligations, including a 2012 FTC consent decree. The situation underscores the importance of…
The Extraordinary Reach of FTC Ex Parte
Feb 6, 2018
The Extraordinary Reach of FTC Ex Parte
The Federal Trade Commission (“FTC”) is granted extraordinary authority to participate in ex parte discussions with judges, conduct investigations and enact enforcement actions like asset freezes and TROs without notice to the parties it is targeting. Often the first time a company learns it is under investigation is when it is served a subpoena and…
Assert Your FTC Defense Before It’s Too Late
Feb 1, 2018
Assert Your FTC Defense Before It’s Too Late
The Federal Trade Commission (“FTC”) is granted extraordinary authority to conduct investigations without giving notice to the companies in its sightlines, and the agency can enact sudden and unforeseen enforcement actions like asset freezes and TROs which take its targets completely by surprise. Often a company’s first clue it is under investigation is when it…