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Consent DecreeMedium RiskMultistate

FTC Fines Easy Healthcare $100K for Illegally Sharing Health Data

Easy Healthcare CorporationMay 17, 2023Federal Trade Commission

Penalty Amount

$100,000

Summary

The FTC charged Easy Healthcare Corporation, operator of the Premom fertility app, with deceiving users by sharing their sensitive health data with third parties for advertising without consent and failing to notify breaches as required by the Health Breach Notification Rule. Under a proposed consent decree, the company will pay a $100,000 civil penalty, be barred from sharing health data for advertising, and must implement privacy and security measures.

Remedy

Easy Healthcare must pay a $100,000 civil penalty, is permanently prohibited from sharing user personal health data with third parties for advertising, must obtain user consent before sharing for other purposes, retain data only as necessary, seek deletion of shared data, send consumer notices, and implement comprehensive security and privacy programs.

Monetary PenaltyBanData DeletionCorrective NoticeCompliance Program

Contract Impact

In-house legal teams should review all agreements involving the handling of consumer health data, including vendor contracts (with analytics/ad partners like AppsFlyer and Google), customer terms of service/privacy policies for the Premom app, and any data processing agreements. Key clauses to scrutinize are: data sharing/licensing provisions (to ensure no authorization for advertising use), consent mechanisms (to verify explicit, informed consent for health data processing), breach notification requirements (to confirm compliance with the Health Breach Notification Rule's timelines and content), data retention and deletion terms, and security obligation clauses. Changes likely needed include: adding explicit prohibitions on using health data for advertising, implementing granular consent options for health data sharing, updating breach notification procedures to meet HBNR standards, and strengthening security and audit rights.

Contract Search Terms

health data sharing for advertisingsensitive health information consentbreach notification clausethird-party data disclosure restrictionsdata processing addendum for health dataconsumer consent mechanismsdata retention schedule for health dataprivacy policy amendmentssecurity measure implementationhealth data advertising prohibition

Laws Cited

Health Breach Notification Rule

Violation Types

Entity Details

Entity

Easy Healthcare Corporation

Also known as: Easy Healthcare

Industry

Healthcare

Multistate Coalition

Official Sources

Source Evidence

Entity Name
"Easy Healthcare Corporation"
Fine Amount
"will pay a $100,000 civil penalty"
Laws Cited
"Health Breach Notification Rule"
Violation Description
"The Federal Trade Commission charged that the developer of the fertility app Premom deceived users by sharing their sensitive personal information with third parties, including two China-based firms, disclosed users’ sensitive health data to AppsFlyer and Google, and failed to notify consumers of these unauthorized disclosures in violation of the Health Breach Notification Rule (HBNR)."

Related Enforcement Actions

CT

Easy Healthcare Corporation

$100K

Connecticut, Oregon, and the District of Columbia reached a $100,000 settlement with Easy Healthcare Corporation, the operator of the Premom ovulation tracking app, for sharing sensitive user health and location data with third parties without appropriate disclosures or user consent. The settlement requires the company to implement comprehensive privacy and security programs, obtain consent before sharing health or location data, and provide users with a method to delete their personal information.

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