THE FTC AND NTT GLOBAL DATA CENTERS SETTLE ON PRIVACY SHIELD CASE

06.07.2020

The U.S. Federal Trade Commission (“FTC”) announced last Tuesday that NTT Global Data Centers, Inc., formerly known as RagingWire Data Centers, Inc. (RagingWire), settled the FTC allegations that it misled consumers about its participation in the EU-U.S. Privacy Shield[1] framework and failed to adhere to the program’s requirements before and after allowing its certification to lapse.

In the proposed settlement, NTT Global Data Centers must hire a third-party assessor to verify that it is adhering to its Privacy Shield promises if it plans to participate in the framework.

The proposed settlement also prohibits the company from misrepresenting its participation in the EU-U.S. Privacy Shield framework, any other privacy or data security program sponsored by the government, or any self-regulatory or standard-setting organization. If its certification of participation in the Privacy Shield framework lapses in the future, the company also must continue to apply the Privacy Shield protections to personal information it collected while participating in the program, or return or delete the information.

The FTC will publish a description of the consent agreement package in the Federal Register. The agreement will be subject to public comment for 30 days after publication in the Federal Register after which the Commission will decide whether to make the proposed consent order final. 

You can read the full text of the “Decision and Orderhere.

Should you have any queries and/or remarks, please do not hesitate to contact us. 

Kind regards,

Zumbul Attorneys-at-Law

info@zumbul.av.tr


[1] “Privacy Shield” means the EU-U.S. Privacy Shield Framework and/or the Swiss-U.S. Privacy Shield Framework, administered by the U.S. Department of Commerce.