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FTC Settles With California Company Over Privacy Shield Infraction

The FTC settled with a California online training services company over allegations it falsely claimed it was getting certified as EU-U.S. Privacy Shield compliant, said the agency Monday. The FTC said ReadyTech started a certification application with the Commerce Department…

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in 2016 but didn’t complete “steps necessary to participate.” The company is prohibited from misrepresenting itself again, and for any future violations, faces penalties up to $41,484 for each infraction. “Today’s settlement demonstrates the FTC’s continuing commitment to vigorous enforcement of the Privacy Shield,” said FTC Chairman Joe Simons. “Privacy Shield is a critical tool for ensuring transatlantic data flows and protecting privacy that benefits both companies and consumers.” ReadyTech didn’t comment.