The FTC released a staff report based on Section 6(b) orders to six major ISPs, finding they collect extensive personal data, including internet traffic and location data, and share it with third parties. The ISPs often obscure data use disclosures in fine print and make it difficult for consumers to opt out, while combining data to profile sensitive characteristics. The report highlights the need for stricter privacy restrictions.
In-house legal teams should review vendor agreements with ISPs, customer terms of service, and data processing agreements. Focus on clauses governing data collection scope, third-party data sharing, consent mechanisms, opt-out processes, data retention, and profiling practices. Changes may be needed to ensure clear disclosures, implement easy-to-use opt-out options, limit sharing of sensitive data for profiling, and align with evolving privacy regulations.
Entity
AT&T Mobility LLC, Cellco Partnership (Verizon Wireless), Charter Communications Operating LLC, Comcast Cable Communications (Xfinity), T-Mobile US Inc., Google Fiber Inc.
Also known as: AT&T, Verizon, Charter, Comcast, T-Mobile, Google Fiber
Industry
TelecommunicationsOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2021/10/ftc-staff-report-finds-many-internet-service-providers-collect-troves-personal-data-users-have-few
look what isps know about you examining privacy practices si
https://www.ftc.gov/reports/look-what-isps-know-about-you-examining-privacy-practices-six-major-internet-service
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"AT&T Mobility LLC; Cellco Partnership, which does business as Verizon Wireless; Charter Communications Operating LLC; Comcast Cable Communications, which does business as Xfinity; T-Mobile US Inc.; and Google Fiber Inc."
"authority under 6(b) of the FTC Act"
"collect and share far more data about their customers than many consumers may expect—including access to all of their Internet traffic and real-time location data—while failing to offer consumers meaningful choices about how this data can be used"
"hide disclosures about such practices in fine print of their privacy policies"
The FTC referred a complaint against REPS & Company Inc. and company executives, alleging they bypassed ticket-issuer security controls and purchasing limits to acquire millions of tickets for resale. The complaint was filed by the Department of Justice, and the case will be decided by the court; the press release does not report a penalty or other remedy imposed.
The FTC sued Digital Forensics Corporation LLC and affiliated defendants, alleging they misled sextortion victims with promises of investigative and monitoring services that often were not provided, and used fake positive reviews. A federal court granted the FTC’s request to temporarily halt the defendants’ activities; the complaint remains for the court to decide.
The FTC alleged that Greenway Auto Group advertised vehicle prices thousands of dollars below the amounts consumers actually paid and used mailers falsely suggesting recipients had won cash prizes. Greenway agreed to an order requiring transparent pricing and prohibiting deceptive prize mailers and other misrepresentations; the press release does not state a monetary penalty.
The FTC sent warning letters to 24 large healthcare services companies, cautioning that incomplete, inaccurate, or untimely pricing information for scheduled medical care may be unfair or deceptive. The letters urge recipients to review their price-disclosure practices and take corrective action; they announce no fine or formal order.
$1.9M
The FTC alleged that Premier Franchising Group LLC and Franchise Fastlane LLC made deceptive and unsubstantiated claims about the Premier Martial Arts franchise opportunity and violated the Franchise Rule. The proposed settlements require the companies to pay a combined $1.85 million to compensate franchisees, prohibit certain misrepresentations, and require Franchise Rule compliance; certain franchisees may also cancel their agreements without penalty.
The FTC, Utah, and Nevada sued Lens.com Inc., alleging that it advertised artificially low contact lens prices while hiding mandatory checkout charges and misleading consumers about its AutoRefill subscription. The complaint seeks to stop the alleged practices; the court has not yet decided the case, and no penalty or remedy has been imposed.