Anticipating The FTC's Commercial Surveillance Rule

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By Ben Rossen and Brandon Abrams (February 18, 2022, 3:39 PM EST) — The Federal Trade Commission recently announced that it may begin a commercial surveillance rulemaking under Section 18 of the FTC Act to “curb lax security practices, limit privacy abuses, and ensure that algorithmic decision-making does not result in unlawful discrimination.”[1]

While this announcement was not unexpected in light of calls from members of Congress that the FTC should enact rules in the absence of federal privacy regulation,[2] it is nonetheless a significant departure for the FTC that could have major repercussions across vast swaths of the American economy.

Section 18 rulemaking — known as Magnuson-Moss rulemaking after the Magnuson-Moss Warranty Act[3]…

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