Everalbum, Inc. settled FTC allegations that it deceived consumers about its use of facial recognition technology in its photo storage app and failed to delete photos when users deactivated their accounts. The settlement requires Everalbum to obtain express consent before using facial recognition, delete user photos and derived face embeddings, and delete developed models and algorithms. It also prohibits misrepresentations about data practices and requires consent for biometric data use if marketing software to consumers.
Everalbum must delete photos and videos of users who deactivated accounts, delete face embeddings from non-consenting users, and delete any facial recognition models or algorithms developed with user content. It must obtain express consent before using facial recognition technology and is prohibited from misrepresenting its data collection, use, and deletion practices.
In-house legal teams should review vendor, customer, and data processing agreements for clauses related to biometric data processing, facial recognition features, and data retention/deletion obligations. Specifically, examine consent mechanisms for sensitive technologies, data deletion requirements upon account termination, and representations about data practices. Updates may be needed to mandate express opt-in consent for facial recognition, enforce deletion of both user content and derived models/embeddings, and revise privacy policies to prevent deceptive statements about data handling.
Entity
Everalbum, Inc.
Also known as: Everalbum
Industry
TechnologyOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2021/01/california-company-settles-ftc-allegations-it-deceived-consumers-about-use-facial-recognition-photo
everalbum order
https://www.ftc.gov/system/files/documents/cases/everalbum_order.pdf
everalbum complaint
https://www.ftc.gov/system/files/documents/cases/everalbum_complaint.pdf
updated final chopra statement on everalbum for circulation
https://www.ftc.gov/system/files/documents/public_statements/1585858/updated_final_chopra_statement_on_everalbum_for_circulation.pdf
everalbum inc analysis of proposed consent order to aid publ
https://www.federalregister.gov/documents/2021/01/25/2021-01430/everalbum-inc-analysis-of-proposed-consent-order-to-aid-public-comment
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"Everalbum, Inc."
"Everalbum allegedly enabled facial recognition by default for all mobile app users"
"Everalbum promised users that the company would delete the photos and videos of Ever users who deactivated their accounts. The FTC alleges, however, that until at least October 2019, Everalbum failed to delete the photos or videos"
"Everalbum combined millions of facial images that it extracted from Ever users’ photos with facial images that Everalbum obtained from publicly available datasets to create four datasets for use in the development of its facial recognition technology."
The FTC sent warning letters to 12 companies offering 'nudify' tools that generate nonconsensual intimate images, for failing to comply with the TAKE IT DOWN Act (TIDA) by not providing a mechanism for victims to request removal of such content. The letters urge immediate compliance with TIDA, which requires platforms to remove nonconsensual intimate images within 48 hours of a valid request. Noncompliant companies may face future legal action and civil penalties of up to $53,088 per violation.
The FTC began enforcing the TAKE IT DOWN Act on May 19, 2026, a law requiring covered platforms to establish a process for victims to request removal of nonconsensual intimate images and delete such content within 48 hours of a valid request. The agency launched a consumer complaint portal, issued compliance guidance for businesses and consumers, and sent reminder letters to major platforms including Meta, TikTok, and X about their obligations under the law. No specific penalties or enforcement actions against individual companies were announced in this release.
$6.5M
A federal court held Cliq Inc. and its executives Andrew Phillips and John Blaugrund in civil contempt for multiple violations of a 2015 FTC order requiring the payment processor to prevent enabling consumer fraud. The court found the defendants facilitated fraud by processing transactions for high-risk merchants, avoiding fraud monitoring, failing to conduct required underwriting, and ignoring chargeback thresholds. The court imposed $6.5 million in civil contempt sanctions against the defendants.
$795.8M
The FTC and State of Nevada settled charges with lead defendants of the IM Mastery Academy MLM scheme, including Chris and Isis Terry and their affiliated companies, over false earnings claims used to promote financial training programs and a multi-level marketing venture. The stipulated order imposes a $795.8 million judgment, with defendants surrendering nearly $90 million in assets including luxury real estate, vehicles, jewelry, and a yacht, totaling over $100 million with prior judgments from other involved defendants. The order also bans defendants from selling trading-training services, prohibits false earnings claims, and restricts deceptive practices including negative-option misrepresentations and telemarketing violations.
The FTC and State of Illinois, via the Department of Justice, filed a complaint against B.E.S.T. GDR LLC (d/b/a Premium Home Service) and its owner Yosef Bernath for creating thousands of fake home repair business listings with fabricated five-star reviews to deceive consumers. The defendants allegedly routed consumer calls to unqualified representatives, arranged for unlicensed technicians, and violated the FTC Act, Reviews and Testimonials Rule, Gramm-Leach-Bliley Act, and Illinois consumer protection laws. No monetary penalty has been imposed yet as the case is in initial filing stages.
Federal Trade Commission Chairman Andrew N. Ferguson sent letters to over a dozen major technology companies reminding them of their obligation to comply with the Take It Down Act (TIDA) by May 19, 2026. TIDA requires covered platforms to establish a process for victims, including children, to request removal of nonconsensual intimate images, with takedown of content and all identical copies required within 48 hours of a valid request. The FTC also issued supplemental guidance to help companies prepare for compliance and warned that it will monitor and enforce violations of the law.