Federal Trade Commission

Screen bill of health?

The Federal Trade Commission would like to hear your health questions -- your questions about consumer generated and controlled health data, that is.

That’s the topic of an FTC seminar on May 7, 2014, and you’re invited to participate. The seminar -- part of the FTC’s spring privacy series – will examine how consumers are taking a more active role in managing and generating their own health data through websites, devices, apps, etc. What are the potential benefits and privacy implications of these new technologies?

Terrell McSweeny Begins Term at Federal Trade Commission

Federal Trade Commission Chairwoman Edith Ramirez welcomed Terrell McSweeny as she began her official duties as an FTC Commissioner.

President Barack Obama named McSweeny to a term that ends on September 25, 2017. She was confirmed by a 95-1 vote in the US Senate on April 9, 2014.

Before joining the FTC, McSweeny served as Chief Counsel for Competition Policy and Intergovernmental Relations for the US Department of Justice Antitrust Division. She joined the Antitrust Division after serving as Deputy Assistant to the President and Domestic Policy Advisor to the Vice President from January 2009 until February 2012, advising President Obama and Vice President Biden on policy in a variety of areas, including health care, innovation, intellectual property, energy, education, women’s rights, criminal justice and domestic violence.

McSweeny’s government service also includes her work as Senator Joe Biden’s Deputy Chief of Staff and Policy Director in the US Senate, where she managed domestic and economic policy development and legislative initiatives, and as Counsel on the Senate Judiciary Committee, where she worked on issues such as criminal justice, innovation, women's rights, domestic violence, judicial nominations and immigration and civil rights. She also worked as an attorney at O'Melveny & Myers LLP. Commissioner McSweeny is a graduate of Harvard University and Georgetown University Law School.

New COPPA FAQs can help schools make the grade

Educators, administrators, and parents have been asking an important question: How do the protections of the Children’s Online Privacy Protection Act (COPPA) and the accompanying Federal Trade Commission rule apply in the school setting?

FTC staff has responded by updating Complying with COPPA: Frequently Asked Questions to address some of the issues that arise when COPPA goes to school.

The new FAQs cover key compliance topics and offer guidance on best practices.

Checking up on consumer generated health information

Whether it’s a website where people diagnosed with the same medical condition can share their stories or an app to find out how long it will take in the gym to burn off a Macadamia Mania Ripple sundae, consumers are taking their health in their own hands -- and generating a massive amount of digital data in the process.

Consumers are tracking their diet, exercise, medications, and symptoms online and even downloading their medical records and family histories into apps and websites. Many of these products and services help to empower consumers to be healthier, but what happens to all that data? Who has access to the information and what are they doing with it?

Those are just some of the issues on the agenda as the FTC continues its Spring Privacy Series on May 7, 2014, with a seminar on Consumer Generated and Controlled Health Data. We’re bringing together industry experts, consumer advocates, technologists, and researchers to talk over topics like:

  • What types of sites, products, and services are consumers using to generate and control their health data? What benefits can they offer people?
  • Are companies sharing the consumer information they collect? If so, with whom and for what purposes?
  • What actions are companies taking to protect consumers’ privacy and security?
  • What do consumers expect from these companies about privacy and security protections?

FTC Notifies Facebook, WhatsApp of Privacy Obligations in Light of Proposed Acquisition

The director of the Federal Trade Commission’s Bureau of Consumer Protection notified Facebook and WhatsApp about their obligations to protect the privacy of their users in light of Facebook’s proposed acquisition of WhatsApp.

In a letter to the two companies, Bureau Director Jessica Rich noted that WhatsApp has made clear privacy promises to consumers, and that both companies have told consumers that after any acquisition, WhatsApp will continue its current privacy practices.

“We want to make clear that, regardless of the acquisition, WhatsApp must continue to honor these promises to consumers. Further, if the acquisition is completed and WhatsApp fails to honor these promises, both companies could be in violation of Section 5 of the Federal Trade Commission (FTC) Act and, potentially, the FTC’s order against Facebook,” the letter states.

In 2011, Facebook settled FTC charges that it deceived consumers by failing to keep its privacy promises. Under the terms of the FTC’s order against the company, it must get consumers’ affirmative consent before making changes that override their privacy settings, among other requirements.

The letter notes that before making any material changes to how they use data already collected from WhatsApp subscribers, the companies must get affirmative consent. In addition, the letter notes that the companies must not misrepresent the extent to which they maintain the privacy or security of user data. The letter also recommends that consumers be given the opportunity to opt out of any future changes to how newly-collected data is used.

Alcohol advertising, ad placement, and self-regulation

The release of the Federal Trade Commission’s fourth major study on the alcohol industry offers a wealth of empirical data for your consideration. Based on information submitted by 14 companies in response to FTC Special Orders, the study focuses on alcohol advertising and industry efforts to reduce marketing to underage audiences. The report also offered a series of recommendations for the industry. Here are just a few:

  • When placement compliance levels fall below 90% due to fluctuations in the make-up of the audience, companies should consider using a higher audience composition threshold.
  • Demographics for radio audiences used to measure only 12 and older, but now go as low as 6. Companies should use this more comprehensive data when making placements.
  • Companies should take advantage of age-gating technologies offered by social media, including YouTube. Age gates on company websites should require the entry of a birthdate and not just a certification that the visitor is over 21.
  • For user-generated content, companies should watch what’s going on and use blocking content to reduce the potential for violations of industry advertising and marketing codes.
  • State regulatory authorities, consumer groups, and others concerned about alcohol marketing should participate in the industry’s external complaint review system.
  • Those concerned about underage drinking should use free “We Don’t Serve Teens” educational materials available at DontServeTeens.gov.

Judge rules on reach of FTC Act

When the Federal Trade Commission sued payday lender AMG Services in 2012, the complaint charged the defendants with a host of deceptive and unfair practices aimed at consumers already struggling to make ends meet.

Undisclosed fees and debt collection calls that threatened arrest were just a few of the allegations. The defendants countered with an interesting defense: that their affiliation with American Indian tribes rendered them beyond the reach of the FTC Act. A US Magistrate Judge rejected those arguments and a recent decision by a US District Judge in Nevada affirmed those findings.