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NEW QUESTION # 211
SCENARIO
Please use the following to answer the next question:
Matt went into his son's bedroom one evening and found him stretched out on his bed typing on his laptop. "Doing your network?" Matt asked hopefully.
"No," the boy said. "I'm filling out a survey."
Matt looked over his son's shoulder at his computer screen. "What kind of survey?" "It's asking Questio ns about my opinions."
"Let me see," Matt said, and began reading the list of Questio ns that his son had already answered. "It's asking your opinions about the government and citizenship. That's a little odd.
You're only ten."
Matt wondered how the web link to the survey had ended up in his son's email inbox. Thinking the message might have been sent to his son by mistake he opened it and read it. It had come from an entity called the Leadership Project, and the content and the graphics indicated that it was intended for children. As Matt read further he learned that kids who took the survey were automatically registered in a contest to win the first book in a series about famous leaders.
To Matt, this clearly seemed like a marketing ploy to solicit goods and services to children. He asked his son if he had been prompted to give information about himself in order to take the survey. His son told him he had been asked to give his name, address, telephone number, and date of birth, and to answer Questions about his favorite games and toys.
Matt was concerned. He doubted if it was legal for the marketer to collect information from his son in the way that it was. Then he noticed several other commercial emails from marketers advertising products for children in his son's inbox, and he decided it was time to report the incident to the proper authorities.
Based on the incident, the FTC's enforcement actions against the marketer would most likely include what violation?
Answer: A
Explanation:
Based on the incident, the FTC's enforcement actions against the marketer would most likely include the violation of collecting information from a child under the age of thirteen without obtaining verifiable parental consent, as required by the Children's Online Privacy Protection Act (COPPA) Rule. The COPPA Rule applies to operators of commercial websites and online services (including mobile apps) that collect, use, or disclose personal information from children under 13, and operators of general audience websites or online services that have actual knowledge that they are collecting, using, or disclosing personal information from children under .
The COPPA Rule also applies to websites or online services that are directed to children under
13 and that collect personal information from users of any age. The COPPA Rule defines personal information to include full name, address, phone number, email address, date of birth, and other identifiers that permit the physical or online contacting of a specific individual. The COPPA Rule requires operators to post a clear and comprehensive online privacy policy describing their information practices for personal information collected online from children; provide direct notice to parents and obtain verifiable parental consent, with limited exceptions, before collecting personal information online from children; give parents the choice of consenting to the operator's collection and internal use of a child's information, but prohibiting the operator from disclosing that information to third parties (unless disclosure is integral to the site or service, in which case, this must be made clear to parents); provide parents access to their child's personal information to review and/or have the information deleted; give parents the opportunity to prevent further use or online collection of a child's personal information; maintain the confidentiality, security, and integrity of information they collect from children, including by taking reasonable steps to release such information only to parties capable of maintaining its confidentiality and security; and retain personal information collected online from a child for only as long as is necessary to fulfill the purpose for which it was collected and delete the information using reasonable measures to protect against its unauthorized access or use. The FTC has the authority to seek civil penalties and injunctive relief for violations of the COPPA Rule. The FTC has brought numerous enforcement actions against operators for violating the COPPA Rule, resulting in millions of dollars in penalties and orders to delete illegally collected data.
NEW QUESTION # 212
Based on the 2012 Federal Trade Commission report "Protecting Consumer Privacy in an Era of Rapid Change", which of the following directives is most important for businesses?
Answer: B
Explanation:
According to the FTC report, the most important directive for businesses is to adopt a "privacy by design" approach, which means integrating privacy protections throughout the entire product lifecycle, from initial design to disposal. This includes implementing reasonable security measures, collecting only the data needed for a specific purpose, retaining data only as long as necessary, and safely disposing of data that is no longer needed. The FTC report also recommends that businesses provide clear and transparent privacy notices, offer consumers meaningful choices about how their data is used, and increase their accountability for data practices.
NEW QUESTION # 213
What is the purpose of a cure provision in a stale data privacy law?
Answer: D
Explanation:
A cure provision in state data privacy laws gives businesses an opportunity to remediate violations of the law within a specified timeframe after receiving notice of the alleged violation. This provision is intended to promote compliance rather than immediately imposing penalties or enforcement actions.
Key Aspects of Cure Provisions:
* Notice and Cure Period:
* Businesses are given a timeframe (e.g., 30 days) to address the alleged violation before formal enforcement actions are taken by state authorities.
* Encouraging Compliance:
* Cure provisions incentivize businesses to implement corrective actions and ensure compliance without incurring fines or penalties for minor or first-time violations.
* State-Specific Examples:
* The California Consumer Privacy Act (CCPA) initially included a 30-day cure provision, though it was later limited under the California Privacy Rights Act (CPRA).
* Other state laws, such as Virginia's Consumer Data Protection Act (VCDPA), also include cure provisions.
Explanation of Options:
* A. To allow a business a limited timeframe to fix alleged violations before facing enforcement:
This is correct. Cure provisions are specifically designed to give businesses an opportunity to address violations before facing enforcement actions.
* B. To allow consumers a period of time to discover their data has been mishandled:This describes consumer rights related to data breach notifications, not cure provisions.
* C. To allow a state to initiate formal enforcement actions for a fixed time period:Cure provisions delay enforcement actions rather than initiate them.
* D. To allow certain provisions of a law to expire after a defined time period:This describes sunset provisions, not cure provisions.
References from CIPP/US Materials:
* CCPA and CPRA: Discuss the cure provisions and their role in enforcement.
* IAPP CIPP/US Certification Textbook: Highlights the purpose and impact of cure provisions in state privacy laws.
NEW QUESTION # 214
What consumer service was the Fair Credit Reporting Act (FCRA) originally intended to provide?
Answer: B
Explanation:
The Fair Credit Reporting Act (FCRA) was originally intended to provide consumers with the ability to correct inaccurate credit information that could affect their access to credit, employment, insurance, and other benefits. The FCRA gives consumers the right to access their credit reports from the three major credit reporting agencies (Equifax, Experian, and TransUnion) for free once every 12 months, and to dispute any errors or inaccuracies with the credit reporting agencies or the information furnishers (such as lenders, creditors, or debt collectors). The FCRA also requires the credit reporting agencies and the information furnishers to investigate and resolve the disputes within 30 days, and to delete or correct any information that is found to be inaccurate, incomplete, or outdated. The FCRA also provides consumers with the right to place fraud alerts or security freezes on their credit reports if they are victims or potential victims of identity theft, and to receive notifications from users of their credit reports (such as employers or insurers) if any adverse action is taken based on their credit information. References:
* Fair Credit Reporting Act - Wikipedia
* What is the Fair Credit Reporting Act (FCRA)? | Money
* The Fair Credit Reporting Act of 1970 - The Balance
* How the Fair Credit Reporting Act (FCRA) Protects Consumer Rights
NEW QUESTION # 215
Which entities must comply with the Telemarketing Sales Rule?
Answer: B
NEW QUESTION # 216
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