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FTC Settles With RagingWire Over Privacy Shield Allegations

RagingWire Data Centers' EU-U.S. Privacy Shield certification lapsed and the company misled consumers about participation and failed program requirements, the FTC alleged in a 3-1-1 settlement Tuesday. Now known as NTT Global Data Centers, the company allegedly violated the program…

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January 2017-October 2018. The company is prohibited from misrepresenting itself again and could face civil penalties up to $43,280 for each future violation. Commissioner Rohit Chopra voted no, and Commissioner Rebecca Kelly Slaughter didn’t participate. The settlement wasn’t appropriate, Chopra said, calling for “redress for customers, forfeiture of the company’s gains from any deceptive sales practices, or a specific admission of liability that would allow its customers to pursue claims in private litigation.” Chairman Joe Simons and Commissioners Noah Phillips and Christine Wilson rejected Chopra’s call for litigation: “There is no need and doing so would unnecessarily divert resources from other important matters.” An attorney for the company didn’t comment.