Judge Dismisses FTC Civil Complaint Against LabMD
Administrative Law Judge Michael Chappell dismissed the FTC's case against LabMD. He said Friday that the agency failed to prove that the medical testing company's previous data breach potentially harmed consumers (see 1509180062). "At best, complaint counsel has proven the…
Sign up for a free preview to unlock the rest of this article
Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!
'possibility' of harm, but not any 'probability' or likelihood of harm," Chappell wrote in his decision. "Fundamental fairness dictates that demonstrating actual or likely substantial consumer injury ... requires proof of more than the hypothetical or theoretical harm that has been submitted by the government in this case." Jessica Rich, director of the FTC’s consumer protection bureau, in an emailed statement said, "Commission staff is disappointed in the ruling issued by the administrative law judge in this case. We are considering what next steps may be appropriate."