FTC Has Authority to Pursue Data Breach Enforcement

FTC and FCC are both regulating data breaches. FTC pursued an enforcement action against Wyndham Hotels, which then challenged the FTC’s regulatory authority. 

In a case watched by many corporations, the courts said yes, the FTC has regulatory authority to take enforcment actions related to data breaches.  

In late 2014, the U.S. Court of Appeals for the Third Circuit ordered the parties to mediation to save all parties time and money.    King & Spaulding via JD Supra

Why does this matter? Data security laws on the state level are increasing.  State level enforcement is inevitable. Enforcement will come with hefty fines against businesses that experience data breaches.