The Federal Trade Commission (“FTC”) recently issued a revised guidance (“Guide”) on the Red Flags Rule (“Rule”) (see “Fighting Identity Theft with the Red Flags Rule: A How-To Guide for Business”). The Red Flags Rule requires certain businesses to develop, implement and administer an identity theft protection program. The purpose of this Guide is to [...]
The FTC has issued an interim final rule to amend the Identity Theft “Red Flags Rule,” which requires certain “financial institutions” and “creditors” to develop and implement a written identity theft prevention program to identity, detect, and respond to possible incidents of identity theft. The interim rule amendment conforms the Red Flag’s Rule’s definition of [...]
The FTC Red Flags Rules were not specific to the securities industry and there was some confusion as to which entities were subject to their requirements. This blog entry describes proposed rulesto applyRed Flag rules to certain broker-dealers, investment companies, investment advisers, futures commission merchants, commodity pool operators, introducing brokers, and other SEC- and CFTC-regulated entities
On December 1, Judge Reggie Walton of the U.S. District Court for the District of Columbia issued a memorandum opinion in a lawsuit by the American Bar Association against the Federal Trade Commission, explaining his October 29 ruling from the bench that the FTC’s Red Flags Rule does not apply to lawyers. Holding that "[e]ven a [...]
The American Institute of Certified Public Accountants (AICPA) on Tuesday filed a lawsuit against the Federal Trade Commission (FTC) challenging the applicability of the agency’s Red Flags Rule to Certified Public Accountants. This comes on the heels of district court ruling in a lawsuit brought by the American Bar Association (ABA) reported here that the regulations do not apply to lawyers.
The Federal Trade Commission (FTC) announced today that it is delaying enforcement of its FACTA Red Flags Rule until June 1, 2010 “[a]t the request of Congress.”
District Court Rules that Red Flags Rule Don’t Apply to Lawyers