California online training services company settles FTC charges of false privacy shields

By Marian Johns | Jul 10, 2018

WASHINGTON, D.C. — The Federal Trade Commission (FTC) has reached a settlement with a California online training services company that allegedly posted false claims relating to its Privacy Shield participation.

WASHINGTON, D.C. — The Federal Trade Commission (FTC) has reached a settlement with a California online training services company that allegedly posted false claims relating to its Privacy Shield participation.

The FTC announced its settlement with ReadyTech Corporation which it alleges is in violation of the FTC Act by falsely stating it was "in the process" of U.S.-E.U. Privacy Shield Framework compliance, a process that allows companies to transfer consumer data from European Union countries to the United States in compliance with EU law, according to the FTC.

“[This] settlement demonstrates the FTC’s continuing commitment to vigorous enforcement of the Privacy Shield,” FTC Chairman Joe Simons said in a statement.  “We believe Privacy Shield is a critical tool for ensuring transatlantic data flows and protecting privacy that benefits both companies and consumers.”

The settlement includes prohibiting ReadyTech from further misrepresentation of its participation in any government, self-regulatory or standard setting organization's security or privacy program, including the EU-U.S. and the Swiss-U.S. Privacy Shield framework, the FTC said. 


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