Consumer Rights and Protections
The newly published complaint against Facebook highlights the alarming extent of the company’s deceptive practices concerning user data. The Federal Trade Commission’s (FTC) yearlong investigation resulted in a formal complaint accusing Facebook of violating a 2012 order related to consumer privacy and data handling. The complaint reveals Facebook’s failure to adequately protect consumer privacy and the deceptive nature of its privacy settings and disclosures.
One of the major violations involves how Facebook misrepresented the control users had over their data and its sharing with third parties. According to the lawsuit, although providing options for limiting personal information shared with friends, Facebook did not extend these restrictions to third-party app developers, enabling them access to massive quantities of user data without sufficient approval. Important disclaimers were also omitted, making it even more difficult for consumers to grasp the degree of data sharing.
Furthermore, Facebook failed to implement a robust privacy program, violating the 2012 order’s requirement. The lawsuit emphasizes the ineffective vetting of third-party app developers and their privacy standards, resulting in further data breaches. The case also challenges Facebook’s use of facial recognition technology, which violates user permission by making the tool available by default to certain users.
The consequences of these failures are significant, leading to the FTC’s $5 billion fine against Facebook. Because of the company’s lack of openness and disdain for consumer privacy, millions of individuals inadvertently shared their data without their knowledge. To prevent such failures in the future, stricter regulations and oversight over the data practices of tech companies are needed. Consumers must be better informed about their rights and the use of their data, and businesses must develop open rules and get express authorization for data sharing. These findings should indeed impact how individuals support and trust companies like Facebook in the future, prompting them to demand more accountability and transparency regarding their data privacy.
References
“The FTC’s complaint alleges that Facebook’s practices were unfair, deceptive, and at odds with the company’s privacy promises.” Federal Trade Commission. July 24, 2019.
Eadicicco, Lisa. “A newly published complaint against Facebook reveals in excruciating detail how deceptive the company has been with your data.” Business Insider. July 24, 2019.
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Question
Review consumer rights and protections in your textbook. Using your textbook to support your response, share a recent or current event in which a business or government failed to protect consumers. What were the failures? Who were the victims? What can or could be done to prevent such failures in the future? Do your findings change how you will support the company in the future?
- You are encouraged to share resources that introduce or illuminate the event.
- Cite the textbook to support your response.
- Be sure to respond to at least one of your classmates’ posts.
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