On January 11, the Federal Trade Commission (FTC) announced it has settled with a California-based photo app developer involving allegations that it was building and using its users’ photos and videos to create facial recognition technology without their express consent.
Facial recognition software is typically comprised of three steps: detection, mapping, and identification. During the
The Federal Trade Commission (FTC) on December 9, 2020, settled with Complete Merchant Solutions, LLC (CMS) and its former CEO, Jack Wilson, requiring them to pay $1.5 million, refrain from processing payments for certain merchants and enact enhanced client screening protocols.
The FTC alleged that CMS and Wilson facilitated fraud by processing consumer credit card
Midwest Recovery Systems (“Midwest Recovery”), a debt collection company, must cease its alleged debt-parking practices, delete all reported debts, and surrender its remaining assets in partial payment of a $24.3 million monetary judgment, under a stipulated order filed by the Federal Trade Commission (“FTC”) last week. Debt parking, also known as “passive debt collection,” occurs
On October 29, 2020, the FTC hosted its most recent “Green Lights & Red Flags” workshop. This virtual workshop focused on recent fraud patterns, advertising compliance, and data security.
Fraud Fashioned Under COVID-19. The pandemic’s effect on the consumer protection world was front and center at this year’s workshop. According to Andrew Smith, Director of
The Fair and Accurate Credit Transactions Act (“FACTA”) forbids sellers who accept credit cards from including more than the last five digits of a buyer’s credit card number on a purchase receipt. Yet including more than those five digits will not, by itself, make a seller liable under FACTA, according to a decision issued by
On October 22, 2020, the Federal Trade Commission (“FTC”) announced the launch of its new consumer fraud-reporting website at ReportFraud.ftc.gov. The website will provide a reporting platform allowing consumer to directly report instances of fraud to the FTC, as well as related consumer issues under the FTC’s purview.
The FTC touted the platform’s “streamlined
The Federal Trade Commission (“FTC”) held its public workshop on the proposed changes to the Safeguards Rule under the Gramm-Leach-Bliley Act of 1999 (“GLBA”). The FTC has not updated the Safeguards Rule since implementing it in 2003. With substantial developments in the way businesses increasingly depend and operate using non-public personal information through electronic means
The Federal Trade Commission (“FTC”) is holding its public workshop today on the proposed changes to the Gramm-Leach-Bliley Act of 1999’s Safeguards Rule (“Safeguards Rule”). For background, the Safeguards Rule requires financial institutions, and potentially affiliates and/or service providers, to keep customer information secure. The FTC has stated it seeks to modify the Safeguards Rule
States nationwide facing the risks of the coronavirus (“COVID-19”) pandemic are attempting various approaches to fight the disease, such as through social distancing, use of facemasks, increased disinfection of surfaces, and contact tracing. Unfortunately, contact tracing appears to be an effective way not only to fight COVID-19, but also for scammers to steal personal information
A New York franchise motor vehicle dealer agreed in May to pay $1.5 million to the Federal Trade Commission to settle charges that the dealership discriminated against African-American and Hispanic consumers and engaged in other unfair and deceptive practices.
In a complaint filed in the United States District Court for the Southern District of New