The FTC settled charges against GoDaddy Inc. and GoDaddy.com, LLC for misleading customers about their data security protections and failing to adequately secure their website hosting services. The company allegedly did not implement reasonable security measures, leaving customer websites vulnerable to attacks that could harm both the customers and visitors to those sites. The case resulted in a consent order requiring GoDaddy to improve its security practices.
In-house legal teams should review all vendor and customer agreements where GoDaddy provides website hosting or related services. Specifically examine clauses covering security representations, warranties, and standards; audit and inspection rights; breach notification procedures; indemnification terms related to security incidents; and limitations of liability for data breaches or service vulnerabilities. Given the FTC's findings, contracts must accurately reflect the actual security practices and avoid overpromising protections. Consider adding or strengthening requirements for vulnerability testing, patch management, and customer-specific security controls, and ensure breach notification timelines align with regulatory expectations. Updates may be needed to align with the consent order's mandated security program improvements.
Entity
GoDaddy Inc. and GoDaddy.com, LLC
Also known as: GoDaddy
Industry
TechnologyOfficial Press Release
https://www.ftc.gov/legal-library/browse/cases-proceedings/2023133-godaddy-inc-et-al-matter
GoDaddy Complaint
https://www.ftc.gov/system/files/ftc_gov/pdf/GoDaddy-Complaint.pdf
GoDaddy D&O
https://www.ftc.gov/system/files/ftc_gov/pdf/GoDaddy-D&O.pdf
2023133 godaddy consent
https://www.ftc.gov/system/files/ftc_gov/pdf/2023133_godaddy_consent.pdf
2023133 godaddy decisionandorder
https://www.ftc.gov/system/files/ftc_gov/pdf/2023133_godaddy_decisionandorder.pdf
2023133 godaddy complaint
https://www.ftc.gov/system/files/ftc_gov/pdf/2023133_godaddy_complaint.pdf
2023133 godaddy analysisofproposedconsent
https://www.ftc.gov/system/files/ftc_gov/pdf/2023133_godaddy_analysisofproposedconsent.pdf
2023133 godaddy exhibits
https://www.ftc.gov/system/files/ftc_gov/pdf/2023133_godaddy_exhibits.pdf
ftc finalizes order godaddy over data security failures
https://www.ftc.gov/news-events/news/press-releases/2025/05/ftc-finalizes-order-godaddy-over-data-security-failures
ftc takes action against godaddy alleged lax data security i
https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-takes-action-against-godaddy-alleged-lax-data-security-its-website-hosting-services
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"In the Matter of GoDaddy Inc., a corporation, and GoDaddy.com, LLC, a limited liability company."
"Case settles charges that GoDaddy misled customers about the extent of its data security protections and failed to secure its website hosting services against attacks that could harm its customers and visitors to the customers' websites."
"Agreement Containing Consent Order"
The FTC filed a complaint alleging that GovAssist LLC, Entry LLC, and Scott Zuckerman used deceptive paid search ads, misleading service and pricing claims, and fake reviews to deceive consumers seeking passport services. The complaint alleges violations of the FTC Act, the Impersonation Rule, and the Gramm-Leach-Bliley Act; the case will be decided by the court, and no penalty or remedy is reported as imposed.
The FTC issued its annual report to Congress describing fraud trends affecting older adults and the agency’s enforcement, education, and outreach efforts. The report is not a specific privacy enforcement action and announces no penalty or remedy.
The FTC referred a complaint against REPS & Company Inc. and company executives, alleging they bypassed ticket-issuer security controls and purchasing limits to acquire millions of tickets for resale. The complaint was filed by the Department of Justice, and the case will be decided by the court; the press release does not report a penalty or other remedy imposed.
$106.8M
A federal court entered a $106.8 million default judgment against corporate defendants in an alleged debt-relief scheme that impersonated banks and government entities and targeted seniors and veterans. The judgment permanently bans the defendants from the debt-relief industry and imposes additional prohibitions, including on impersonation, telemarketing, and misrepresentations.
The FTC sued Digital Forensics Corporation LLC and affiliated defendants, alleging they misled sextortion victims with promises of investigative and monitoring services that often were not provided, and used fake positive reviews. A federal court granted the FTC’s request to temporarily halt the defendants’ activities; the complaint remains for the court to decide.
The FTC alleged that Greenway Auto Group advertised vehicle prices thousands of dollars below the amounts consumers actually paid and used mailers falsely suggesting recipients had won cash prizes. Greenway agreed to an order requiring transparent pricing and prohibiting deceptive prize mailers and other misrepresentations; the press release does not state a monetary penalty.