How Does the FTC Determine the “Reasonableness” of Corporate Data Security? Is it an Arbitrary Standard?

Jun 29

FTC closes 70 percent of data security investigations

The FTC’s investigations focus on measuring the “reasonableness” of a company’s data security.

By Jeremy Snow

The Federal Trade Commission closes 70 percent of all formal security investigations it opens on average, FTC Commissioner Maureen Ohlhausen said Tuesday.

Ohlhausen gave her insight on FTC’s previous private sector security breaches that caused stolen identities and data during a Heritage Foundation discussion on federal online data security regulation, and how the commission decides when it’s necessary to open an investigation.

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