Behind the Scenes

Arent Fox's advertising law blog - latest news and trends in advertising, data security & privacy, and fashion & entertainment.

Behind the Scenes
Privacy & Security - US & Abroad
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FTC Flexes Security Muscles in ASUSTek Settlement & LabMD Reversal

What’s New?

The Federal Trade Commission asserted its data security authority in two recent back-to-back enforcement actions, only a day apart from each other.

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Privacy & Security - US & Abroad
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Business Associates Beware! HHS Levies First HIPAA Fines on Business Associate

On June 24, 2016, the non-profit Catholic Health Care Services of the Archdiocese of Philadelphia (CHCS) agreed to settle potential violations of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) Security Rule with the U.S. Department of Health and Human Services (HHS). This is HHS’ first resolution agreement and monetary penalty against a business associate (BA) under HIPAA.
 

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Privacy & Security - US & Abroad
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Beware of Ransomware, Or the Bad Guys Could Hold Your Devices and Data Hostage

What’s New?

Ransomware is old news – it has been around at least since 1989 – but it has only now started to attract widespread attention. Ransomware is a type of malicious software (or malware, for short) that blocks access to the infected device, to some or all of the information stored in the device, or even worse, to files in the device’s network. To unlock either the device or the data, the responsible cybercriminals require the victim to pay a ransom. Ransomware is typically enabled when a victim clicks on malicious links in an email or online.
 
Internet security software company, Kaspersky Lab, recently released a report on the rise of ransomware between 2014 and 2016. The findings are troublesome, some of which are as follows:

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Privacy & Security - US & Abroad
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What Global Fashion Companies Need to Know About the GDPR If They Collect EU Personal Data

What’s New? (The GDPR.)

Fashion and luxury goods companies need to take heed of yet another data protection regulation. This one could substantially impact them if they collect, process, or transfer EU individuals’ personal data, or plan to do so at some point soon. Specifically, the General Data Protection Regulation (GDPR) is the EU’s new data protection law, recently and finally entered into law. It replaces the old EU data protection regime established by the Data Protection Directive (95/46/EC). The GDPR lays out requirements for organizations that process EU residents’ data and generally provides people increased control over their personal data.

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Privacy & Security - US & Abroad
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Should Companies Use the Privacy Shield to Protect Against EU-US Data Transfer Risks?

What’s New?

After months of negotiations, it’s official: the EU-US Privacy Shield has been formally approved on both sides of the Atlantic, by the EU Commission and the US Commerce Department, despite concerns surrounding the adequacy of its earlier version.

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Advertising, Mobile Marketing, Privacy & Security - US & Abroad
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Triple Threat: Chinese Ad Company’s Malware Raises Ad Fraud, Cybersecurity, and Privacy Concerns

What’s New?

Recent reports indicate that advertising fraud is not only increasing but is now being run by groups alongside otherwise legitimate advertising businesses. 
 
Cybersecurity company Check Point recently released a report finding that HummingBad—a known malware that takes over Android devices, generates fraudulent advertising revenue, and installs apps on the infected phones—was developed and is controlled by a group of cybercriminals within Yingmob, an otherwise legitimate advertising analytics business based in Beijing. 
 

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Advertising, Mobile Marketing, Privacy & Security - US & Abroad
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Caution! Children at Play: Mobile Advertiser Settles with FTC Over Geo-Tracking and COPPA Concerns

Mobile advertising company InMobi, whose advertising network reaches more than one billion devices worldwide through thousands of apps, has settled with the Federal Trade Commission over charges that it “deceptively tracked” the locations of hundreds of millions of consumers without their knowledge or consent, in a deal announced June 22. Central to the case is an alleged Children’s Online Privacy Protection Act, or COPPA, violation, resulting in $950,000 in civil penalties and required implementation of a comprehensive privacy program.

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Privacy & Security - US & Abroad
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Consumer Watchdogs Attack Cable Companies’ Privacy Practices, Bark at Privacy Cops

Consumer advocate groups--Public Knowledge, Consumer Watchdog, Center for Digital Democracy, Consumer Action, TURN-The Utility Reform Network and Consumer Federation of America—recently filed a complaint with the Federal Trade Commission and a petition with the Federal Communications Commission against AT&T, Cablevision, and Comcast, citing privacy-related offenses. The FTC complaint notes the companies’ failure to adequately disclose the extent of their consumer data use and sharing, arguing that their use of customer data without appropriate disclosures and without opt-in consent amounts to an “unfair and deceptive” practice in violation of the Federal Trade Commission Act. The FCC petition, on the other hand, asserts that the cable and satellite providers fail to adequately obtain customer consent prior to collection and use of such data, in violation of federal law.

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Privacy & Security - US & Abroad
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Who’s Driving? (Not You.) Autonomous Vehicles Lead to Interesting Privacy and Data Security Questions

If you attended the Consumer Electronics Show in Las Vegas, you probably noticed many concepts applied to the one item that many Americans use every day: the automobile. Over the past few years technology developers and manufacturers have set their sights on the automotive industry, which is one of the largest industries in the United States. From automated cars, syncing software, to wearable devices that interact with a vehicle, it is clear that our time in the car is under an era of rapid change. 
 

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Privacy & Security - US & Abroad
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Safe Harbor Fully Sunken: German DPA Levies First Fines to 3 Companies

A German data protection regulator reportedly fined 3 companies—Adobe Systems, Punica, and Unilever—a total of 28,000 euros ($32,000) for continuing to rely on the Safe Harbor framework and failing to set up alternative legal channels for cross-border data transfers quickly enough, following Safe Harbor’s demise in October of last year. Adobe was fined 8,000 euros, Punica 9,000 euros, and Unilever 11,000 euros.
 
Hamburg Commissioner for Data Protection, Johannes Caspar, stated that, “The fact that the companies have eventually implemented a legal basis for the transfer had to be taken into account in a favourable way for the calculation of the fines.”
 
Organizations that need to transfer personal data from the EU to the US  have relied on the Safe Harbour framework for 15 years, which allowed them to store data about EU citizens on US servers, by certifying that they complied with EU data protection standards.
 

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Arent Fox LLP, founded in 1942, is internationally recognized in core practice areas where business and government intersect. With more than 350 lawyers, the firm provides strategic legal counsel and multidisciplinary solutions to clients that range from Fortune 500 corporations to trade associations. The firm has offices in Los Angeles, New York, San Francisco, and Washington, DC.