Technology Law Update

Social Networking Site Agrees To $1 Million Fine For COPPA Violations

The operators of the social networking site Xanga.com agreed to pay a $1 million civil penalty to settle an FTC enforcement action alleging violations of the Children’s Online Privacy Protection Act (COPPA) and its implementing Rule. FTC v. Xanga.com, Inc., No. 06-CIV-6853 (S.D.N.Y. settlement entered Sep. 12, 2006).

FTC Retains Children’s Online Privacy Protection (COPPA) Rule Without Changes

In particular, the Federal Trade Commission retained the "sliding scale" approach to the issue of parental consent to the collection of personal information pertaining to children under 13. Under this approach, the measures required to obtain verifiable parental consent depend on how the operator of a Web site intends to use the information that it collects.


Press Release: http://www.ftc.gov/opa/2006/03/coppa_frn.htm