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FTC Proposes Order Against Global Tel*Link for Data Breach

Global Tel*Link Corp.November 16, 2023Federal Trade Commission

Consumers Affected

650,000

Summary

The FTC proposed a consent order against Global Tel*Link Corp. for failing to secure sensitive user data, leading to a breach affecting nearly 650,000 consumers, and for delaying notification for about nine months. The order requires the company to implement a comprehensive security program, notify affected users with credit monitoring, and report future breaches promptly.

Remedy

Global Tel*Link must implement a data security program with change management and multifactor authentication, notify all affected users from the breach and provide credit monitoring, notify consumers and facilities within 30 days of future breaches, report security incidents to the FTC within 10 days, and is prohibited from misrepresenting its security practices.

Compliance ProgramCorrective NoticeReporting RequirementsInjunction

Contract Impact

In-house legal teams should review all vendor and customer agreements, particularly those with telecommunications or communication service providers (like prison communications services), as well as any data processing agreements. Specific clauses to scrutinize include data security obligations, breach notification requirements (including timelines and scope of affected parties), data retention and disposal policies, and provisions related to cloud or third-party storage. Given the FTC's focus on inadequate safeguards and delayed notification, contracts may need amendments to mandate specific security controls (e.g., encryption, access logs), shorten breach notification windows (e.g., from months to days), require immediate notification to all affected individuals and business partners (like correctional facilities), and include audit rights or certification requirements for security programs.

Contract Search Terms

data encryption standardsbreach notification timelinesecurity audit requirementscloud storage securitysensitive data handlingincident response planthird-party vendor managementuser notification proceduresdata processing safeguardscomprehensive security program

Violation Types

Entity Details

Entity

Global Tel*Link Corp.

Also known as: Global Tel*Link

Industry

Telecommunications

Official Sources

Source Evidence

Entity Name
"Global Tel*Link Corp."
Violation Types
"failed to implement adequate security safeguards"
Violation Types
"waited approximately nine months to notify affected customers"

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