Rite Aid gets 5-year facial recognition use ban from FTC
By 
Kyle Brasseur2023-12-20T14:33:00
Retail pharmacy chain Rite Aid agreed to a five-year ban on its use of facial recognition technology for surveillance purposes as part of a settlement with the Federal Trade Commission (FTC).
The FTC alleged Rite Aid “failed to implement reasonable procedures and prevent harm to consumers in its use of facial recognition technology in hundreds of stores,” according to an agency press release Tuesday.
The company was also accused of violating a 2010 data security order with the FTC by not ensuring its third-party service providers had appropriate safeguards in place to protect consumers’ personal data.
Related articles
-
News BriefFTC bans Outlogic from selling sensitive location data in landmark action
Data broker Outlogic will be subject to the Federal Trade Commission’s first ban on the use, sale, or disclosure of sensitive location data as part of a proposed order announced by the agency.
-
PremiumCompliance lessons from Rite Aid facial recognition case
The Federal Trade Commission was clear in its recent enforcement action against Rite Aid regarding its expectations for companies using facial recognition technology or any biometric security or surveillance systems.
-
PremiumEthical compliance for facial recognition technology
The lack of clear regulations and guidelines for the ethical use of facial recognition technology further exacerbates concerns of discriminatory practices and potential infringements on human rights.
More from Regulatory Enforcement
-
ArticleLarge wound care practice pays $45M, agrees to monitoring
One of the largest wound care practices in the nation and its founder have agreed to pay $45 million and be subjected to third-party monitoring, to settle allegations that the business intentionally overbilled Medicare by priming its electronic medical records system to do so.
-
News BriefSEC dismisses SolarWinds case tied to 2020 cyberattack
The dismissal of charges against SolarWinds for alleged cybersecurity lapses related to a 2020 Russian cyberattack in 2020 are the latest in a continuing pattern of leniency for corporations by the Trump administration.
-
PremiumPart Two: FCPA cases closed by DOJ, SEC since January
Since the start of the Trump Administration, the Department of Justice has been winding down a number of Foreign Corrupt Practices Act investigations with little public attention. This second article further explores how and why these FCPA matters have been closed.