Scott Delacourt Discusses Impact of Eleventh Circuit’s Data-Privacy Decision on FTC

Scott D. Delacourt, chair of Wiley Rein’s Federal Trade Commission (FTC) Practice, was quoted in a June 12 Law.com column, “Compliance Hot Spots,” focusing on the Eleventh Circuit’s recent decision in the closely watched data-privacy case, LabMD v. FTC. While the court did not specifically rule on the question of the FTC’s authority to regulate data security, it found that the agency’s order regarding the institution of “sweeping” data protection measures was not enforceable because it was too vague. “While the ruling is limited to a single cease and desist order, it raises serious questions about the FTC’s authority to bring enforcement actions predicated on reasonable data security without providing a better sense of the particular security measures it has in mind,” Mr. Delacourt said.