IP: FTC tries to block Toysmart's data sale

[Dave Farber <farber@cis.upenn.edu>]

FTC tries to block Toysmart's data sale

BY JOELLE TESSLER

Mercury News

The Federal Trade Commission moved aggressively to protect online privacy 
Monday by filing a lawsuit to block bankrupt Toysmart.com from selling its 
customer information to pay off creditors.

Offering a possible sign of things to come for other troubled Web 
merchants, the FTC accused Toysmart of deceiving its customers by 
attempting to sell their personal data after promising that it would not 
share that information with any third parties.

``This sends an important signal that if you have a privacy policy, you 
must abide by it and you won't get off the hook just because you go out of 
business,'' said Eric London, an FTC spokesman.

http://www.mercurycenter.com/svtech/news/front/docs/toy071100.htm