FTC Power to Patrol Unfairness in Privacy, Data Security Challenged, But Enforcement Push Likely to Continue

Even as the Federal Trade Commission seems poised to extend its power to regulate privacy and data security under Section 5 of the FTC Act, a ruling in a pending federal court case could curtail that power, privacy scholars and attorneys have told Bloomberg BNA.
 
The FTC historically has brought its privacy cases under Section 5 of the FTC Act, 15 U.S.C. § 45, which allows the commission to prevent “unfair or deceptive acts or practices in or affecting commerce.”
 
“FTC privacy and security enforcement began with merely enforcing broken promises that companies made,” according to Daniel J. Solove, the John Marshall Harlan research professor of law at George Washington University Law School, and Woodrow Hartzog, assistant professor at Samford University Cumberland School of Law, in an e-mail to Bloomberg BNA.
 
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