On June 16, 2025, the Federal Trade Commission (FTC) issued FAQs that directly affect many automobile dealers, clarifying how its Safeguards Rule (the Rule), part of the FTC’s implementation of the Gramm-Leach-Bliley Act (GLBA), applies to the automotive sector. The Rule requires non-banking financial institutions to implement measures to protect customer information—and the FTC is
Federal Trade Commission (FTC)
FTC Order with GoDaddy Finalized Over Lax Data Security
On May 21, 2025, the Federal Trade Commission (FTC) finalized its order with GoDaddy over allegations that GoDaddy “failed to implement standard data security tools and practices to protect customers’ websites and data.” In a Complaint filed against GoDaddy in January 2025, the FTC alleged that the company had “failed to implement reasonable and appropriate…
Data Breach Lawsuits Surge Against Chord Specialty Dental Partners
Pennsylvania-based Chord Specialty Dental Partners is under fire after a September 2024 data breach compromised the personal information of over 173,000 individuals. At least seven proposed class action lawsuits have been filed in federal courts in Tennessee and Pennsylvania, alleging the company failed to secure and protect patient data properly.
The lawsuits claim Chord Dental…
Workado Settles With FTC Over Alleged Misrepresentations of AI Accuracy
The Federal Trade Commission (FTC) issued a press release this week announcing that it settled with Workado over alleged misrepresentations of its ability to detect whether content was generated by artificial intelligence (AI) or humans.
Workado’s AI Content Detector was marketed to consumers as a tool to decipher whether online content was generated by AI…
Cleo AI Agrees to $17 Million Settlement with FTC
Sometimes, deals are too good to be true. That was the case for Cleo AI, an online cash advance company that promised consumers fast, up-front cash payments. According to the Federal Trade Commission (FTC), Cleo AI offered consumers a mobile personal finance application that “promises consumers instant or same-day cash advances of hundreds of dollars.”…
Privacy Tip #438 – FTC Chairman Shares Concerns Over 23andMe Data
In the ongoing saga of the 23andMe bankruptcy, Federal Trade Commission Chairman Andrew N. Ferguson recently sent a letter to the Trustee overseeing the 23andMe bankruptcy proceeding stating, “As Chairman of the Federal Trade Commission, I write to express the FTC’s interests and concerns relating to the potential sale or transfer of millions of…
What is AI Washing and Why are Companies Getting Sued?
With the proliferation of artificial intelligence (AI) usage over the last two years, companies are developing AI tools at an astonishing rate. When pitching their AI tools, these companies claim that their products can do certain things and promise and exaggerate their capabilities. AI washing “is a marketing tactic companies employ to exaggerate the amount…