Wednesday, July 22, 2015
LifeLock Runs Afoul Of FTC, Again
Tempe, Arizona-based identity protection service provider LifeLock has run afoul of the Federal Trade Commission, after the FTC said Tuesday that LifeLock has violated a 2010 settlement with the agency and 35 state attorneys general, by failing to fill up to the obligations in that settlement.
The FTC said LifeLock failed to establish and maintain a comprehensive information security program to protect its users' sensitive personal data, including credit card, social security, and bank account numbers, and also falsely advertising that it protected consumers' sensitive data with the same high-level safeguards as financial institutions, in addition to failing to keep records required by the settlement.
LifeLock, for its part, says it disagrees with the substance of the FTC's contentions, and is "prepared to take our case to court", saying that it spent 18 months talking to the FTC without a satisfactory resolution. LifeLock paid $12M in 2010 as part of the agreement with the FTC over false advertising.