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HL Chronicle of Data Protection Privacy & Information Security News & Trends

Tag Archives: endorsement

Posted in Consumer Privacy, Employment Privacy

FTC Fines Data Broker $800,000 for Marketing Consumer Profiles to Employers Without Complying with FCRA

In its first enforcement action under the Fair Credit Reporting Act (“FCRA”) about the sale of data compiled from publicly available online sources in the context of employment screening, the Federal Trade Commission (“FTC”) announced yesterday that it had entered into a $800,000 settlement with an online data broker, Spokeo, for allegedly marketing consumer profiles to employers and recruiters without complying with the requirements of FCRA. In addition, the FTC settled charges that Spokeo violated Section 5 of the FTC Act by posting surreptitious endorsements of its services under the names of others.