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FTC: Four companies falsely claimed certification under EU-U.S. Privacy Shield

Jaclyn Jaeger | October 2, 2018

Four companies have agreed to settle allegations by the Federal Trade Commission that they falsely claimed certification under the EU-U.S. Privacy Shield framework and that two of these companies failed to abide by a key provision of the framework.

In separate complaints, the FTC alleges that IDmission, mResource (doing business as Loop Works), SmartStart Employment Screening, and VenPath falsely claimed to be certified under the EU-U.S. Privacy Shield, which establishes a process to allow companies to transfer consumer data from European Union countries to the United States in compliance with EU law.

“Companies need to know that if they fail to honor their Privacy Shield commitments, or falsely claim participation in the Privacy Shield framework, we will hold them accountable,” Andrew Smith, director of the FTC’s Bureau of Consumer Protection, said in a...

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