FTC OKs Rules Changes Under Gramm-Leach-Bliley; Phillip, Wilson Dissent on 1
The FTC approved changes to two rules under the Gramm-Leach-Bliley Act. Safeguards rule revisions add more detailed requirements for what should be included in the comprehensive information security program the rule mandates for financial institutions. Commissioners Noah Phillips and Christine…
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Wilson dissented, saying it’s “premature” and substitutes the FTC’s “judgment for a private firm’s governance decisions,” may take the commission in a direction that's “unwarranted,” may “have negative repercussions” and moves the rule away from its now-flexible approach. Privacy rule changes, OK'd 5-0, are to make that rule’s scope “clear on its face,” removing “examples of financial institutions that do not apply to motor vehicle dealers,” a release said. The rules also clarify which automotive dealers must provide annual privacy notices. Comments on both are due 60 days after Federal Register publication.