Privacy & Information Security Law Blog

On June 22, 2022, the Federal Trade Commission submitted an updated abstract to the Office of Information and Regulatory Affairs indicating that it is considering initiating a rulemaking under Section 18 of the FTC Act to curb lax security practices, limit privacy abuses, and ensure that algorithmic decision-making does not result in unlawful discrimination.

Section 18 of the FTC Act, 15 U.S.C. Sec. 57a, authorizes the FTC to prescribe rules regarding “unfair or deceptive acts or practices in or affecting commerce” within the meaning of Section 5 of the Act. The Act requires the FTC, prior to issuing a notice of proposed rulemaking, to issue an advance notice of proposed rulemaking (“ANPR”). The abstract, which updates a prior submission, indicates that the comment period for this ANPR will end by August 2022 and reflects further activity by the FTC in this area at the Prerule Stage.