Yahoo Successor Pays $35m Penalty for Data Breach
In the first ever data breach enforcement action, Altaba, Inc., as successor in interest to Yahoo, paid a $35 million penalty to settle the SEC's cease and desist proceeding for Yahoo’s two-year delay in reporting the massive data breach that the company experienced in December 2014. The SEC has indicated that it is increasingly focused on companies’ cybersecurity disclosure practices. Andersen Sleater Sianni represents consumers who have been victims of data breaches includi
FTC Sues Lending Club for Hidden Fees
FTC sued Lending Club, a company offering personal loans online, for deceptively marketing loans with “no hidden fees” but charging a significant, hidden up-front fee. The lawsuit alleges that Lending Club says it will give customers a loan for a certain amount, but when it provides the loan, it deducts that undisclosed up-front fee. The FTC also says that Lending Club falsely told consumers they have been approved for loans when they have not, makes unauthorized withdrawals
DJ Khaled Sobers Up About Ads
After garnering millions of views of his snapchat that featured a bowl of cereal doused in sparkling wine and vodka, several advocacy groups warned DJ Khaled that he failed to disclose his material connections to the alcohol brands in violation of Federal Trade Commission law. Following this notice, many alcohol ads were deleted and he included #AD as required indicating his endorsement deals. Regulators and advocacy groups have recently targeted social media advertising part
FTC Warns Not to Make Warranties Contingent on Their Own Parts or Services
The Federal Trade Commission warned six major companies that market and sell automobiles, cellular devices, and video gaming systems in the United States that there warranties may violate the Magnuson-Moss Warranty Act. The FTC told the companies that they cannot require consumers to use specified parts or service providers to keep their warranties intact unless e the parts or services are free or they receive a waiver from the FTC. The FTC warned that this practice hurts con
