As part of a new enforcement initiative called “Operation AI Comply,” the FTC recently announced that it has brought the following five enforcement actions against businesses that use or sell AI tools in a manner that the FTC has alleged is deceptive and unfair:

  1. DoNotPay. The FTC brought suit against DoNotPay, which had claimed

The Federal Trade Commission (FTC) continues to enforce and update its Health Breach Notification Rule (HBNR) amidst a fast-changing regulatory environment. A new rule, which took effect this week, expands the scope of the HBNR, as the FTC ramps up enforcement activity related to disclosures of identifiable health data, and other agencies implement changes to the

The FTC published guidance warning companies that “[i]t may be unfair or deceptive for a company to adopt more permissive data practices—for example, to start sharing consumers’ data with third parties or using that data for AI training—and only inform consumers of this change through a surreptitious, retroactive amendment to its terms of service or

On November 21, the Federal Trade Commission (“FTC”) approved in a 3-0 vote a resolution authorizing the use of compulsory process in nonpublic investigations involving products and services that involve or claim to involve Artificial Intelligence (AI). 

Compulsory process is akin to a subpoena, and it allows the FTC to request the production of information

On November 16th, the Federal Communications Commission (“FCC”) and Federal Trade Commission (“FTC”) announced new independent initiatives regarding the use and implications of AI technologies on consumers in the context of telephone and voice communications. Learn more about these initiatives on our sister blog, the Consumer Finance Monitor.

On October 27, the Federal Trade Commission (“FTC”) unanimously voted to amend the Safeguards Rule to require non-banking financial institutions, such as mortgage brokers, motor vehicle dealers, and payday lenders, to report data breaches and security events to the Agency. This amendment will become effective 180 days after its publication in the Federal Register.

Under

In a ruling published May, 4, the Federal District Court of Idaho granted defendant data broker Kochava’s motion to dismiss a complaint filed by the Federal Trade Commission (“FTC”).  In its complaint, the FTC alleged that Kochava’s sale of precise consumer geolocation data constituted an unfair act or practice in violation of Section 5 of

2022 proved to be an historic year for privacy and data security.  Connecticut and Utah joined the list of states that have now passed comprehensive data privacy laws, bringing the total to five (5) states.  For the first time, federal privacy legislation advanced to a House Subcommittee, and though the American Data Privacy and Protection

On November 15, 2022, the FTC announced that it was extending by six months the deadline for companies to comply with some portions of the updated Safeguards Rule. The extension comes as a welcome relief to companies racing to meet the rapidly nearing effective date.

The FTC approved changes to the longstanding Safeguards Rule in

In a recent enforcement action against online alcohol delivery service Drizly and its CEO, James Rellas, the Federal Trade Commission (FTC) made clear its focus on data minimization and limitations on the secondary uses of data. Although the action arose out of a common security failure—the sort that has been the subject of numerous prior