With HTC Deal, FTC Claims Power To Set Security Standards

Law360, New York (February 22, 2013, 8:52 PM EST) -- The Federal Trade Commission on Friday resolved an action accusing HTC America Inc. of failing to properly secure its smartphones and tablet computers, a move that attorneys say shows the agency is confident in its authority to dictate security protocols despite the lack of legislation or regulation setting such standards.

The agency's complaint marked its first against a mobile device manufacturer. The agency alleged that HTC's failure to use "reasonable and appropriate" security measures in developing its software put sensitive information about millions of consumers at...
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