Monday August 24, 2015

FTC Has The Power To Police Cyber Security

According to a recent ruling by a U.S. appeals court, the Federal Trade Commission does in fact have the authority to regulate corporate cyber security. Imagine that, holding companies accountable for security breaches that result in the theft of customers' data.

The 3-0 decision by the 3rd U.S. Circuit Court of Appeals in Philadelphia on Monday upheld an April 2014 lower court ruling allowing the case to go forward. The FTC wants to hold Wyndham accountable for three breaches in 2008 and 2009 in which hackers broke into its computer system and stole credit card and other details from more than 619,000 consumers, leading to over $10.6 million in fraudulent charges.

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