The FTC updated its Negative Option Rule last month and gave it a new name to emphasize the expanded scope of programs to which it applies. It will now be the “Rule Concerning Recurring Subscriptions and Other Negative Option Programs.” The updated rule, as the FTC outlines, will now be applicable to nearly all forms of negative option marketing.
Continue Reading Click! FTC Updates Its Negative Option Rule
The New York Attorney General’s Office recently settled with Albany ENT & Allergy Services over claims that the healthcare provider failed to protect over 200,000 consumers’ private health information. The claims stem from two ransomware attacks in 2023. The AG argued that the company had violated New York’s data security law, resulting in the incident. As part of the settlement, Albany ENT agreed to pay $2.75 million in civil penalties and to implement additional security measures.
Continue Reading New York AG Settles EnforcemENT Action with ENT
The United Kingdom and the United States released a joint statement last month outlining plans focused on children’s online privacy. As indicated in the statement, they intend to engage national institutions and other organizations to support this work. They will also be forming a joint online safety working group.
Continue Reading UK and US Issue Joint Statement on Children’s Privacy
The European Data Protection Board issued draft guidelines last month that outline when processing can be considered done for “legitimate interest.” The public has until November 20 to provide comments to the draft.
Continue Reading How Legitimate Is Your Business Interest? The EDPB Has Some Thoughts
Regulations impacting children’s use of social media continues to be a space in motion the past few months. There have been developments at both the state level, as well as with the FTC. And there is no sign of slowing down. In this article we give a roundup of some recent developments worth keeping in mind.
Continue Reading #StatusUpdate on Social Media, Apps, and Children’s Privacy
A targeted change to California law will prohibit non-disparagement and similar confidentiality clauses in consumer settlement agreements and refund policies. Starting January 1, 2025, businesses settling disputes with consumers cannot condition any refund or other consideration on a consumer agreeing not to make statements about the business, regardless of the sentiment or accuracy of those statements. The text of the new Cal. Civ. Code § 1748.50 can be found here.
Continue Reading California Legislature Strikes at Confidentiality Clauses in Consumer Refunds and Settlement Agreements
The EDPB released guidance last month to help companies understand their obligations when using newer tracking tools. These include pixels, URL tracking, IP-tracking, and the like. First, some background: an EU law that predates GDPR (Directive 2002/58/EC or the Cookie Directive), impacted how companies could interact with users on their computers. That directive was updated in 2009 (Directive 2009/136/EC or the ePrivacy Directive). Under the ePrivacy Directive, among other things, companies cannot “store” or “access” someone’s “terminal equipment” without consent. (There are some exceptions to the consent requirement.) In this recent guidance, the EDPB provided direction on when
Continue Reading EDPB Provides Insight for Use of Tracking Tools
The dust is beginning to settle from the raft of AI-related bills Governor Newsom signed last month in California. (See for example, our post about neural data.) Most of the provisions will not go into effect for another few months. Before they do, it is worth examining the impact they will have on companies’ privacy and data security practices. Most, as we outline below, may not change fundamental practice, but instead serve as a reminder to take into account privacy and data security considerations when assessing and implementing AI tools:
Continue Reading The Privacy and Data Security Impact of California’s Recent AI Bills
The New York Department of Financial Services has modified its cybersecurity requirements for regulated entities. These requirements are in addition to those included in the regulations as last updated in November of last year. The new requirements go into effect November 1, 2024. They modify several parts of the rule, including:
Continue Reading Amendments to NYDFS’ Cybersecurity Regulations Take Effect November 1
The Department of Defense published the final version of its Cybersecurity Maturity Model Certification (CMMC) rule last week. This rule establishes the parameters of the program and timeline for implementation. A separate rule to finalize associated contract requirements is expected early to mid-next year. For a deep-dive into noteworthy takeaways for the Final Rule, see our analysis here. Here are some highlights:
Continue Reading Countdown to Compliance: The Department of Defense Finalizes Its Cybersecurity Program Rule
The New York Department of Financial Services (“NYDFS”) recently published guidance on managing cyber risks related to AI for the financial services and insurance industry. Though the circular letter does not introduce any per se “new” obligations, the guidance speaks to the Agency’s expectations for addressing AI within its existing cybersecurity regulations.
Continue Reading NYDFS Speaks Out on AI and its Cybersecurity Risks
The EU Regulation on horizontal cybersecurity requirements for products with digital elements, the so-called Cyber Resilience Act, has been officially adopted on 10 October 2024 and will be published in the EU’s official journal in the coming weeks. This law will impose important obligations on manufacturers of connected products and those placing them onto the EU market. Implementation will begin in 2026 for certain portions of the law, and continue until 2027/2028 for some provisions. There are several elements for a company to keep in mind, which we have outlined below.
Continue Reading EU Cybersecurity Regulation Adopted, Impacts Connected Products
The FTC’s staff report summarizes how it views the operations of social media and video streaming companies. Of particular interest is the insight it gives into potential enforcement focus in the coming months, and into 2025. Of particular concern for the FTC in the report, issued last month, were the following:
Continue Reading FTC Social Media Staff Report Suggests Enforcement Direction and Expectations
California’s governor has signed an amendment to CCPA, the state’s well-known privacy law. While California was the first to pass a “comprehensive” privacy law, it is the second -with this new amendment- to include “neural data” to the definition of sensitive personal information. It follows Colorado, which added this information to its law earlier this year. Unlike Colorado, the modification will not go into effect until January 1, 2025. (Colorado’s amendment, on the other hand, became effective at the beginning of August.)
Continue Reading California Joins Colorado in the Brain Wave Action
Those tracking CIPA litigation are familiar with the recent decision holding in favor of a company whose site had an online chat operated by a vendor. The court in that case held (1) that the company had not violated the California Invasion of Privacy Act (CIPA), and (2) that its chat was not unauthorized “wiretapping.” This ruling came as welcome news to companies who offer online chat features, especially those who face—or fear—similar lawsuits.
Continue Reading Promising Decision in Wiretapping Case, Win for Businesses
California has been active in the kids space. First, the Ninth Circuit’s recently ruled on the California’s Age-Appropriate Design Code Act. Second, the governor has just signed a new law aimed at social media sites.
Continue Reading California: Age-Appropriate Design Code Act Partially Blocked, New Social Media Law Signed