CARU Submits Comments on the FTC COPPA Rule Review

The Federal Trade Commission (“FTC” or “Commission”) recently requested public comment on its implementation of the Children's Online Privacy Protection Act (“COPPA”), through the Children's Online Privacy Protection Rule (“COPPA Rule” or “the Rule”).

The Commission generally reviews its Rules every ten years to ensure that they have kept up with changes in the marketplace, technology, and business models. Although the Commission's last COPPA Rule review ended in 2013, the Commission decided to conduct its ten-year review early because of questions that have arisen about the Rule's application to the educational technology sector, to voice-enabled connected devices, and to general audience platforms that host third-party child-directed content. In addition to requesting comment on these issues, the Commission requested comments on the costs and benefits of the Rule, as well as on whether certain sections should be retained, eliminated, or modified.

After thoughtful consideration, the Children's Advertising Review Unit filed its comments online. To learn more about CARU, please visit our website. To view a copy of our comments in full click here.

20 Years Young: The History and Maturing of COPPA in a Privacy-Conscious Age

1998: A Concern for Children’s Privacy Was Born From the moment home computers had the capacity to connect to the Internet, children had the ability to use these technologies to access online websites and services. In the 1990s, concerns about children’s privacy and safety online arose amid fears of marketing practices around selling children’s personal information and exposing children’s information to predators. The Children’s Advertising Review Unit (CARU), founded in 1974, has always been on the forefront of safeguarding children’s privacy. CARU is the self-regulatory arm of the children’s advertising industry, tasked with promoting truth in children’s advertising by reviewing and evaluating child-directed ads in all media to ensure they are truthful, accurate and appropriate. CARU also monitors online privacy practices as they affect children. Before there was any legislation on the matter, CARU monitored a burgeoning Internet and observed how children’s privacy and sa...

After Review, CARU Finds Snapchat Compliant with COPPA

In a recent decision, CARU found Snap Inc.’s (Snap) Snapchat app to be compliant with both the CARU Guidelines and the Children's Online Privacy Protection Act (COPPA). “The company goes beyond minimal procedures to prevent under-age use” CARU stated. CARU determined that Snapchat is an app directed to a general audience, not intended for use by children. In reaching this conclusion, CARU considered that Snap’s Terms of Service clearly prohibit users under 13 years of age and makes no effort to market the app to children or provide them with an appealing user experience. With that understanding, Snapchat is permitted under the Guidelines and Children’s Online Privacy Protection Act (“COPPA”) to age-gate and block children under 13 from using its services, which it does. CARU then examined whether Snapchat does so effectively. CARU observed that Snapchat utilizes age-gates and many safeguards to ensure that if children manage to breach the existing age-...

i-Dressup Shuts Down in Wake of Privacy Breach and COPPA Violation

I-Dressup, a fashion-themed social website for teens, has completely shut down as part of a settlement with the New Jersey Department of Consumer Affairs, following a massive privacy breach and violations of the federal Children's Online Privacy Protection Act (COPPA) and New Jersey state law. In September 2016, a hacker sent 2.2 million i-Dressup account credentials to technology blog Arstechnica as well as to haveibeenpwned.com, a searchable online database of data breaches. Responding to the news, New Jersey investigators discovered that 2,519 of the compromised accounts belonged to New Jersey children below age 13. I-Dressup, allegedly aware that it had child users, had violated COPPA by failing to obtain verifiable parental consent prior to collecting and processing personal information from the children, including first and last names and email addresses. In a consent decree with the New Jersey Attorney General Gurbir Gerwal, parent company...

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