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The National Advertising Division, a self-regulatory body that examines the truth and accuracy of advertising claims, recently examined privacy claims made by Brave, Inc. Using the same analysis given to other advertising claims, the NAD analyzed Brave’s statements about consumer privacy. It assessed both the implied as well as the express claims made by the company as well as the extent to which the substantiation Brave had for the claims supported those claims.Continue Reading NAD Brings False Advertising Claims Over Privacy Representations

The Online Interest Based-Advertising Accountability Program, which enforces privacy principles for digital advertising, recently announced its 100th action. In announcing this landmark, the Accountability Program looked back at the nature of the cases it has brought, noting that it has covered both desktop and mobile issues, and its focus has fallen into a few key categories. These include providing consumers with “enhanced notice” of behavioral advertising activities and ensuring that opt-out tools exist (and that they work!). The Accountability Program also took the opportunity to remind online advertisers about its OBA Self-Regulatory Principles, and the guidance for applying the principles in a mobile environment.
Continue Reading Interest-Based Advertising Enforcer Hits 100

Enforcement of the Digital Advertising Alliance “Application of the Principles of Transparency and Control to Data Used Across Devices” (DAA Cross-Device Principles) officially began on February 1, just a week after the FTC issued a staff report discussing the application of the FTC Online Behavioral Advertising Principles in the context of “Cross Device Tracking” and suggesting that the DAA Cross-Device Principles, while commendable, could be stronger.
Continue Reading FTC / DAA Extend Data Privacy Focus to Cross-Device Tracking

In Federal Trade Commission v. LeadClick Media, LLC, 2016 U.S. App. LEXIS 17383 (2nd Cir. 2016), the Second Circuit recently held that an affiliate marketing network provider could be subjected to liability under the Federal Trade Commission Act (“FTC Act”) for deceptive marketing materials published by the affiliates.  It also concluded that Section 230 of the Communications Decency Act (“CDA”) did not immunize the network provider from liability.  In doing so, the Second Circuit emphasized that the network provider had knowledge of and the authority to control the content of the affiliate websites.  This ruling could increase the exposure of internet businesses to liability for deceptive acts or practices engaged in by third-party vendors or independent contractors.
Continue Reading No Protection for Network Marketing Provider That Had Knowledge and Authority to Control Deceptive Conduct of Affiliates

The preliminary Staff Report issued by the FTC earlier this month is the most aggressive effort by the FTC to date on the issue of online and mobile privacy generally. The preliminary Staff Report proposes a “do not track” mechanism along with an overall online privacy framework that would rigidly regulate how information is collected both online and through mobile devices, how it can be used, and how it must be stored. Deviating from the distinction between “personally-identifiable information” and “non-personally-identifiable information” that has formed the foundation for other privacy regulations and legislation, the framework proposed in the preliminary Staff Report maintains that such dichotomy is no longer relevant. Because this is arguably a profound change in the existing state of regulation in this area, the preliminary Staff Report is being circulated for comment before it becomes final. This article provides a basic outline of the proposed framework for those who may not already be familiar with the preliminary Staff Report.
Continue Reading The Federal Trade Commission’s Proposed Framework For Consumer Privacy Protection – The Basics