Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

The Corporate CounselorKickerFeaturesTopicsLitigationRegulationSectionsNewsLJN Newsletters

The FTC Act

By L. Elise Dieterich

Read the Privacy Policy on the typical company's website, and it is likely to say something like this: “We recognize the importance of protecting the privacy of personally identifiable information [and] we safeguard out customers' personally identifiable information by using industry standard practices. We restrict access to non public personal information about you only to those employees who need to know that information to provide products and services to you. We use commercially reasonable physical, managerial, and technical safeguards to preserve the integrity and security of your personal information [and] make commercially reasonable efforts to ensure the security of our systems.”

If your company's Privacy Policy contains similar statements, beware: These statements paraphrase the privacy policies of defendants Wyndham Hotels, Franklin Toyota/Scion, and RockYou.com, respectively, as quoted in recent Federal Trade Commission (FTC) complaints, in which the FTC alleged that such statements, if not backed up by adequate data security measures, constitute an “unfair or deceptive act or practice,” in violation of Section 5(a) of the FTC Act, 15 U.S.C. ' 45(a). See Federal Trade Commission, Plaintiff, v. Wyndham Worldwide Corporation; Wyndham Hotel Group, LLC; Wyndham Hotels & Resorts, LLC; and Wyndham Hotel Management, Inc. (U.S. District Court for the District of Arizona) Case No. 2:12-cv-01365-SPL, http://ftc.gov/os/caselist/1023142/120626wyndamhotelscmpt.pdf; In the Matter of Franklin's Budget Car Sales, Inc., also doing business as Franklin Toyota/Scion FTC File No. 102 3094, www.ftc.gov/os/caselist/1023094/120607franklinautomallcmpt.pdf; United States of America (For the Federal Trade Commission) v. RockYou, Inc. (U.S. District Court for the Northern District of California, San Francisco Division) Case No. 3:12-cv-01487-SI, www.ftc.gov/os/caselist/1023120/120327rockyoucmpt.pdf.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Bankruptcy Sales: Finding a Diamond In the Rough Image

There is no efficient market for the sale of bankruptcy assets. Inefficient markets yield a transactional drag, potentially dampening the ability of debtors and trustees to maximize value for creditors. This article identifies ways in which investors may more easily discover bankruptcy asset sales.

Judge Rules Shaquille O'Neal Will Face Securities Lawsuit for Promotion, Sale of NFTs Image

A federal district court in Miami, FL, has ruled that former National Basketball Association star Shaquille O'Neal will have to face a lawsuit over his promotion of unregistered securities in the form of cryptocurrency tokens and that he was a "seller" of these unregistered securities.

Why So Many Great Lawyers Stink at Business Development and What Law Firms Are Doing About It Image

Why is it that those who are best skilled at advocating for others are ill-equipped at advocating for their own skills and what to do about it?

Blockchain Domains: New Developments for Brand Owners Image

Blockchain domain names offer decentralized alternatives to traditional DNS-based domain names, promising enhanced security, privacy and censorship resistance. However, these benefits come with significant challenges, particularly for brand owners seeking to protect their trademarks in these new digital spaces.

Coverage Issues Stemming from Dry Cleaner Contamination Suits Image

In recent years, there has been a growing number of dry cleaners claiming to be "organic," "green," or "eco-friendly." While that may be true with respect to some, many dry cleaners continue to use a cleaning method involving the use of a solvent called perchloroethylene, commonly known as perc. And, there seems to be an increasing number of lawsuits stemming from environmental problems associated with historic dry cleaning operations utilizing this chemical.