FTC Zeroes in on False Claims of Certified Participation in Cross-Border Privacy Frameworks
By Bianca Ponziani
The Federal Trade Commission (“FTC”) announced last week that it has issued
The FTC also disclosed that it had reached a settlement with Florida background screening company SecurTest, Inc., related to allegations that it falsely claimed certified participation in the EU-U.S. Privacy Shield program. Under the settlement, SecurTest Inc. must comply with orders to create proper records, publish compliance reports, and submit to compliance monitoring by representatives of the FTC.
The FTC is taking note of businesses that fail to recognize that the Safe Harbor framework is no longer in force or that certification under Safe Harbor does not automatically certify businesses under the Privacy Shield programs.
On a related front, two other companies have received
The lesson for companies is clear: don’t claim compliance with these self-regulatory frameworks if you are not—the FTC is watching. Our Privacy and Cybersecurity team works with many companies in helping them to understand the EU, Swiss and APEC framework requirements. Please contact us if your business needs help certifying under any of these cross-border privacy frameworks.