Lots of privacy news coming out of the FTC lately:
- The Commission received a default judgment in its case against ERG Ventures, developer of malicious spyware Media Motor. Defendants are barred from distributing software that interferes with users’ computers, and also required to disgorge ill-gotten gains, which in this case apparently amounted to a measly $4,595.36. Seems hardly worth the effort . . .
- And in significantly more, er, significant news, the Commission has obtained a settlement with ValueClick in a record-breaking amount of $2.9 million for making deceptive advertising claims, sending deceptive emails and failing to secure consumers’ sensitive information. The FTC notes the deceptive elements of ValueClick’s incentive programs. Among other things, their marketing of these programs violated the CAN-SPAM Act.
On the data security front, the settlement notes that ValueClick misrepresented the extent to which it protected personal information, including the use of encryption or other electronic security measures, and requires them to establish a comprehensive security program and undergo third-party assessments for the next 20 years.