Archives: Cybersecurity

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FTC Data Security Settlement with Auto Dealer Software Provider Goes Further than Ever Before

Provides Detailed Specifications Both for Information Security Program and Third-Party Assessments On June 12, 2019, the Federal Trade Commission (FTC) announced it had reached a proposed settlement with LightYear Dealer Technologies, LLC (doing business as “DealerBuilt”) over allegations that the automobile software provider’s inadequate data security practices had resulted in a data breach in 2016.1 … Continue Reading

Nevada Follows California in Enacting New Privacy Law Giving Consumers the Right to Opt Out of Certain Data Sales

On May 29, 2019, in the midst of the legislative amendment process taking place in Sacramento for the California Consumer Privacy Act (CCPA), Nevada has passed its own CCPA-like privacy law, SB 220, taking effect on October 1, 2019, just three months before the CCPA becomes operative. The law’s main focus is to give consumers … Continue Reading

Federal Court Allows Children’s Online Privacy Claims Against Disney, Viacom, and Online Ad Networks That Collected Data from Gaming Apps to Go Forward

On May 22, 2019, a federal district court largely denied a facial challenge by Disney, Viacom, and several online advertising networks to claims alleging these defendants violated the privacy rights of children by collecting data through online gaming apps. In McDonald v. Kiloo APS,[1] the defendants consisted of two groups: the developers who created the … Continue Reading

WSGR Event Recap: Online Advertising and Privacy—An Overview of Global Legal Developments

On May 22, 2019, WSGR and the Future of Privacy Forum (FPF) co-hosted an event focusing on advertising technology and how to overcome the challenges of complying with evolving global privacy requirements. Jules Polonetsky from FPF opened the program, focusing on the evolution of online advertising, from contextual to programmatic behavioral advertising. WSGR attorneys Lydia … Continue Reading

WSGR Event Recap: The State of Play in European Data Protection Law

On May 1, 2019, WSGR convened a panel of regulators and experts to discuss recent developments in European data protection law. The panel, moderated by Cédric Burton, featured Bruno Gencarelli, head of the International Data Flows and Protection Unit of the European Commission, Isabelle Vereecken, head of the Secretariat of the European Data Protection Board … Continue Reading

WSGR Event Recap: Key State and Federal Legislative Privacy Developments

On May 1, 2019, WSGR held a panel discussing state and federal legislative privacy developments, including the California Consumer Privacy Act (CCPA). The panel, moderated by Chris Olsen, featured Ashkan Soltani, former chief technologist at the Federal Trade Commission (FTC), and Shaundra Watson, the senior director for policy at BSA (The Software Alliance). Here are … Continue Reading

CJEU Advocate General Opinion Calls for Active and Separate Cookie Consents

On March 21, 2019, the Advocate General (AG) of the highest EU Court (the Court of Justice of the European Union (CJEU)) issued an opinion (opinion) in the Planet49 case[1] on what constitutes valid consent for cookies under the Data Protection Directive, the GDPR, and the e-Privacy Directive. In particular, the AG opines that: 1) … Continue Reading

Brexit and Its Implications for Data Protection

On March 20, 2019, WSGR partner Cédric Burton and Of Counsel Lore Leitner hosted a webcast, “Brexit and Its Implications for Data Protection.” In this webcast, Burton and Leitner break down the potential far-reaching effects of the United Kingdom’s pending exit from the European Union on businesses operating in the UK and EU. In this … Continue Reading

EDPB Opinion on Consent and Legal Basis in Clinical Trials

On January 23, 2019, the European Data Protection Board (EDPB) issued an opinion (Opinion) on the interplay between the Clinical Trial Regulation (CTR) and the General Data Protection Regulation (GDPR), an issue which has been the subject of intense debate and that resulted in a draft, and still non-public, FAQ prepared by the EU Commission. … Continue Reading

Vermont Enacts Groundbreaking Data Broker Regulation

Recently, Vermont became the first state to enact legislation that regulates data brokers who buy and sell personal information. Under the new law, data brokers in Vermont will now have to register with the state, adopt standard security measures, and provide information to the state regarding their data collection practices. The law was passed in … Continue Reading

France: CNIL Issues Formal Notices Against Two Marketing Platforms for Lack of Valid Consent for the Processing of Location Data

In July 2018, the French data protection authority (the CNIL) issued two public formal notices against two marketing platform providers— Teemo1 and Fidzup2—for failing to obtain valid consent under the General Data Protection Regulaton (GDPR) for the use of location data for profiling and targeted advertising.3 The CNIL gave the two French companies three months … Continue Reading

New Colorado Law Takes Effect That Includes Strict 30-Day Data Breach Notification Requirement

On September 1, 2018, a new Colorado law took effect that, among other things, amends the state’s data breach law to: (1) expand the scope of the categories of “personal information” that trigger notification requirements; (2) require notification to residents and the state attorney general no more than 30 days after determining that a security … Continue Reading

Feeling BLU: What You Need to Know About Overseeing Your Service Providers

On April 30,2018, the Federal Trade Commission (FTC) announced a settlement with mobile phone manufacturer BLU Products and its owner over allegations that the company failed to implement appropriate procedures to oversee their service providers’ security practices, which allowed the service provider to install software containing commonly known security vulnerabilities on consumers’ mobile devices and … Continue Reading

What’s Old Is New Again: FTC Takes Rare Step of Withdrawing and Reissuing Expanded Data Security Settlement with Uber in Light of 2016 Data Breach

On April 12, 2018, the Federal Trade Commission (FTC) announced that it was withdrawing its proposed August 2017 privacy and data security settlement with Uber Technologies and issuing a new and expanded proposed settlement.1 According to the FTC, the reason for this extraordinary step was to address additional allegations of misconduct by the ride-sharing company … Continue Reading

Congress Enacts the CLOUD Act, Granting Law Enforcement Access to Information Stored Abroad, and Mooting U.S. v. Microsoft

On March 23, 2018, President Trump signed into law the Consolidated Appropriations Act, 2018, which contained a section entitled the Clarifying Lawful Overseas Use of Data (CLOUD) Act. The CLOUD Act significantly revises the rules underlying law enforcement requests for access to communications information stored abroad, and may have far-reaching implications for companies that collect, … Continue Reading

New FTC Report Recommends Steps to Improve Mobile Security Updates

In February 2018, the Federal Trade Commission (FTC) released a report that explores the complexities of the mobile ecosystem and makes recommendations for industry to improve the mobile security update process for consumers. The report is part of the FTC’s effort to address concerns that mobile devices are not receiving the operating system patches they … Continue Reading

FTC Grants Sears’ Petition to Reopen and Modify 2009 Order Concerning Online Browsing Tracking

The Federal Trade Commission (FTC) recently granted a petition by Sears Holding Management requesting that the FTC reopen and modify a 2009 FTC order settling charges that Sears failed to disclose adequately the scope of consumers’ personal information it collected via a downloadable software app. Sears’ 2009 Order On August 31, 2009, the FTC entered … Continue Reading

Alabama Becomes Final State to Enact Data Breach Notification Law

On June 1, 2018, the Alabama Data Breach Notification Act of 2018 will take effect. In addition to being the last state to enact a breach notification law, Alabama’s new law distinguishes itself in a variety of unique ways. Consistent with other state breach notification laws, the new law defines “sensitive personally identifying information” maintained … Continue Reading

“Two Cops on the Beat is Nothing Unusual”: Ninth Circuit Reverses Panel Decision, Rules FTC Act’s “Common Carrier” Exemption is Activity-Based

On February 26, 2018, the U.S. Court of Appeals for the Ninth Circuit issued an en banc decision in FTC v. AT&T holding that the Federal Trade Commission (FTC) Act’s “common carrier” exemption is activity-based, reversing the panel’s decision that the exemption is status-based, which would have opened a large enforcement gap for telecommunications companies … Continue Reading

FTC Announces Settlement with PayPal for Alleged FTC Act and GLBA Violations by Venmo

On February 27, 2018, the Federal Trade Commission (FTC) announced1 that it had reached an agreement with PayPal to settle allegations that its peer-to-peer payment service, Venmo, engaged in deceptive acts and practices and violated the Gramm-Leach-Bliley Act (GLBA)’s Safeguards Rule2 and Privacy Rule.3 Since 2011, Venmo has offered peer-to-peer payment services through an app … Continue Reading

New SEC Cybersecurity Guidance Highlights Disclosure Controls

On February 21, 2018, the U.S. Securities and Exchange Commission (SEC) released its latest Interpretive Guidance on Public Company Cybersecurity Disclosures. Although cybersecurity has been a focus of the SEC for many years, the release is the first formal guidance issued by the agency. Previously, the SEC’s Division of Corporation Finance issued informal staff guidance … Continue Reading

A Look Ahead at Privacy and Data Security in 2018

2018 promises to be an interesting year in the world of privacy and cybersecurity. In this article, we highlight a few of the most notable developments we expect this year, including major developments in Europe, changes and pending cases at the Federal Trade Commission (FTC), notable U.S. Supreme Court cases scheduled to be decided this … Continue Reading
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