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Wednesday, November 17, 2004

Petco settles FTC charges in consumer website security case
Brandon Smith at 2:05 PM ET

[JURIST] Petco Animal Supplies has agreed to settle Federal Trade Commission charges that the animal supply company's website violated federal law by misrepresenting privacy promises it made to its customers, the FTC announced Wednesday. The Commission said Petco did not take reasonable or appropriate measures to prevent hacker attacks, allowing access to consumer records and credit card numbers. Petco's settlement requires implementation of a comprehensive security program for its website. Petco's privacy and security policy states, in part:

At PETCO.com, protecting your information is our number one priority, and your personal information is strictly shielded from unauthorized access....Entering your credit card number via our secure server is completely safe. The server encrypts all of your information; no one except you can access it.
This is the FTC's fifth case challenging deceptive business claims about website security. Read the FTC release here. The FTC has the complaint and case information online here.





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