Appeals Court Reaffirms FTC Power To Police Data Breaches

[silicon_toad2000]

The US Court of Appeals for the Third Circuit has issued a unanimous ruling that the Federal Trade Commission (FTC) has the authority to bring enforcement action against companies that fail to provide adequate sufficient protection against cyber security breaches.
The ruling, which upholds a lower court decision in favor of the FTC, allows the agency to proceed with a lawsuit alleging that Wyndham Worldwide Corp. failed to employ adequate security protections for customers' personal data.
Wyndham maintained that the FTC was overreaching its authority and that the company was being punished for being a victim of a cyber attack.

http://thehill.com/policy/cybersecurity/251803-appeals-court-ftcs-authority-extends-to-cybersecurity
http://www.wired.com/2015/08/court-says-ftc-can-slap-companies-getting-hacked/
http://www.darkreading.com/perimeter/ruling-ftc-can-hold-wyndham-liable-for-data-breach/d/d-id/1321881?
http://www.computerworld.com/article/2975054/security/ftc-can-bring-down-the-hammer-on-companies-with-sloppy-cybersecurity-court-rules.html
https://hoofnagle.berkeley.edu/ftcprivacy/wp-content/uploads/2015/08/wyndham_3rd_cir_14-3514.pdf