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FTC, Uber reach expanded settlement agreement

By Mark Iandolo | Apr 20, 2018

WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) announced April 12 that Uber Technologies Inc. will expand the proposed settlement it reached with the commission in 2017.

Uber first settled allegations it deceived consumers about privacy and data security last year. The FTC recently learned, however, that during negotiations Uber had failed to disclose a data breach. 

“After misleading consumers about its privacy and security practices, Uber compounded its misconduct by failing to inform the commission that it suffered another data breach in 2016 while the commission was investigating the company’s strikingly similar 2014 breach,” acting FTC chairwoman Maureen K. Ohlhausen said in a statement. “The strengthened provisions of the expanded settlement are designed to ensure that Uber does not engage in similar misconduct in the future." 

The FTC voted 2-0 to withdraw the original complaint and proposed consent order and to issue the new complaint and consent order. The revised version will be available for public comment until May 14, when the FTC will determine whether to finalize the order. A copy of the agreement will be published in the Federal Register.

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U.S. Federal Trade Commission