FCC Clarifies Broadband Labeling Requirements
The FCC has released an Order on Reconsideration resolving petitions that asked the Commission to reconsider or clarify certain broadband labeling requirements. Please see our summary of the original broadband labeling requirements.
Bad News for Fake Reviews: FTC Issues Permanent Ban on Roomster
Last week, the Federal Trade Commission (FTC) and six states permanently banned Roomster Corp. and its owners, John Shriber and Roman Zaks, from purchasing or incentivizing consumer reviews as part of a settlement over charges that they utilized fake reviews to lure consumers into paying for access to nonexistent rental listings. The settlement comes in the middle of a public notice and comment period for the proposed rule by the FTC on fake reviews that would cover much of the conduct alleged of Roomster.
Another Day, Another Decision Interpreting Section 19 of the FTC Act
The Seventh Circuit has once again weighed in on the scope of the Federal Trade Commission's remedial authority. The case, FTC v. Credit Bureau Center, LLC, has had, in the words of the court, "a long and winding journey through the federal courts, including a trip to the Supreme Court and back." Last week's decision focused on monetary relief under Section 19 of the FTC Act—specifically, on how to calculate redress under Section 19 and whether monetary relief imposed under Section 19 can be deposited into the U.S. Treasury as disgorgement.
What's in a Label? FCC Begins Rulemaking Procedure for Cybersecurity Labeling on IoT Devices
Cybersecurity and data protection is front and center on the Federal Communications Commission's agenda. The latest manifestation of this is the FCC's issuance of a Notice of Proposed Rulemaking on August 25, 2023, which seeks comments on a proposed voluntary cybersecurity labeling program for Internet of Things (IoT) devices or products.
Following Noland: Another District Court Tightens the Reins on the Scope of Consumer Redress
As we covered previously, courts are coming around to reading Section 19 of the FTC Act more narrowly than the Federal Trade Commission may hope. In the latest instance, on June 9, 2023, a magistrate judge in the Southern District of Texas issued a report and recommendation rejecting the FTC's claim for consumer redress, even after finding there was consumer injury. The report and recommendation were adopted by the district judge on August 3.
FCC Proposes $20 Million Forfeiture Against Telecommunications Service Providers for Failing to Protect User Data
The Federal Communication Commission issued a Notice of Apparent Liability for Forfeiture proposing a $20 million forfeiture, essentially a fine, against two telecommunications service providers for failing to properly authenticate customers' identity before providing online access to Customer Proprietary Network Information (CPNI). CPNI includes sensitive data, such as called phone numbers, the length and time of calls, and service features. FCC rules mandate that companies handling such information use "reasonable measures" to guard access to CPNI.