June 15, 2012
LXBN TV interviewed associate Christopher M. Loeffler on the $800,000 settlement between the FTC and Spokeo following allegations of violations of the Fair Credit Report Act and Section 5 of the FTC Act. Spokeo is a data broker that collects large amounts of information about consumers, drawing from both online and offline sources. The FTC argued that this data, which Spokeo was packaging and selling, qualified as a "consumer report" and thus Spokeo fell under the purview of FCRA guidelines. The FTC alleged that among other violations the company "failed to make the data only available for legally permissible purposes." Further, the FTC alleged that endorsements made by Spokeo employees and published on their website were not properly disclosed, a violation of the FTC Act. In the course of the interview, Mr. Loeffler provides of few insights on how other businesses can avoid similar FCRA violations in their own practices.
To listen to the interview, click here.