Consumer Protection Connection

The Federal Trade Commission (FTC) approved modifications to the video game industry’s Children’s Online Privacy Protection Act (COPPA) program. Earlier this year, the Entertainment Software Ratings Board (ESRB) proposed several substantive changes intended to take account of recent FTC COPPA rules and guidance. To receive FTC approval, COPPA safe harbor programs must “implement substantially similar requirements that provide the same or greater protections for children as those contained in the Rule; (2) an effective…
Environmentally conscious consumers often look for products advertised as “green.” But labeling plastic products as “biodegradable” may land you on the legal compost heap if you can’t meet federal and state regulations governing green marketing. Amazon was just the latest company to find itself in the crosshairs when 23 California district attorneys charged that it violated state law when it marketed and sold products labeled “biodegradable” or “compostable.” Amazon settled the lawsuit for $1.5 million.…
If a company claims to be certified under the EU-U.S. Privacy Shield framework when it hasn’t even completed the paperwork, the Federal Trade Commission (FTC) isn’t likely to let it slide. ReadyTech, a California-based online training services company, made such a claim on its website, in violation of the FTC Act’s prohibition against deceptive acts or practices, according to the FTC’s complaint against the company. The Privacy Shield is one of the approved mechanisms through…
With the ever-changing complexity of state data breach notification laws, companies facing a data breach need resources that will help them understand the issues. This summary provides an overview of the similarities and differences in data breach laws adopted in the 50 United States and the District of Columbia and includes laws enacted since our last update. Alabama and South Dakota became the last states to adopt breach notification laws, which took effect on May…
The U.S. Consumer Product Safety Commission (CPSC) announced potential changes to its 2002 Age Determination Guidelines Relating Children’s Ages to Toy Characteristics and Play Behavior (2002 Guidelines). The new draft guidance, titled Guidelines for Determining Age Appropriateness of Toys (Draft 2018 Guidelines), “addresses toys that have come onto the market since the last update and provides changes to the recommended age group for certain classic toys.” The plan to issue a Federal Register notice was…
The U.S. Consumer Product Safety Commission’s (CPSC) first lawsuit of 2018 is against the maker of popular lines of jogging strollers, Britax Child Safety, Inc. The complaint, to be heard in administrative proceedings, concern’s Britax’s B.O.B. jogging strollers. The company and its 2011 merger partner, B.O.B. Trailers, Inc., have been importing and distributing the strollers since 1997. At issue are about 493,000 jogging strollers imported and distributed between December 2011 and September 2015. They include…
Online talent search company Explore Talent just landed in the spotlight of the Federal Trade Commission (FTC). The Vegas-based company was charged with violating the Children’s Online Privacy Protection Act (COPPA), which requires that companies collecting information online must obtain informed, verifiable parental consent before collecting any information from a child under 13. The company also allegedly violated the FTC Act by deceiving paying customers into thinking they were getting access to specific roles and…
In the latest round of the ongoing battle between Austrian privacy activist Max Schrems and Facebook, the European Court of Justice (CJEU) ruled that Schrems did not have standing to bring claims on behalf of Austrian consumers over Facebook’s alleged violations of users’ privacy rights. The court did, however, allow for Schrems to continue with the lawsuit as an individual. In 2014, Schrems sued Facebook in local court in Vienna over alleged consumer privacy violations.…
The International Chamber of Commerce (ICC) Commission on Marketing and Advertising has launched a free, two-hour interactive ethical marketing and advertising course designed to help companies and other stakeholders apply the fundamental principles of the ICC Marketing Code. Created in conjunction with the ICC Academy and modeled on a program developed by international business school INSEAD, the course aims to provide participants with practical guidance on producing responsible marketing communications. The ICC code was…
In response to the Equifax data breach last September, when hackers gained access to the personal information of 143 million consumers, Senators Elizabeth Warren (D-MA) and Mark Warner (D-VA) have introduced a bill, The Data Breach Prevention and Compensation Act of 2018, that would ultimately impose security obligations on credit reporting agencies (CRAs).  The bill would expand the Federal Trade Commission (FTC)’s authority, establishing a new Director and Office of Cybersecurity with power to…