Penalty Amount
$150,000
HyperBeard, Inc., a developer of children's apps, agreed to pay $150,000 and delete personal information it illegally collected from children under 13 to settle FTC allegations that it violated COPPA by allowing third-party ad networks to collect persistent identifiers without parental consent. The settlement requires HyperBeard to obtain verifiable parental consent for future data collection and prohibits using the illegally collected data.
HyperBeard must pay $150,000, delete all personal information collected from children in violation of COPPA, obtain verifiable parental consent for any future collection from children, and is prohibited from using or benefiting from the illegally collected data.
In-house legal teams should review all vendor agreements with third-party ad networks, analytics providers, and SDK integrators to ensure they include robust COPPA-compliant clauses requiring verifiable parental consent before collecting persistent identifiers from children under 13. Customer-facing agreements (Terms of Service, Privacy Policies) for child-directed apps must explicitly disclose data collection practices and obtain parental consent. Employee and contractor agreements handling user data should include data handling protocols. Required changes include adding mandatory consent clauses, prohibiting behavioral advertising targeting children without consent, implementing data deletion protocols for illegally collected information, and ensuring all data processing aligns with COPPA's strict requirements for children's data.
Entity
HyperBeard, Inc.
Also known as: HyperBeard
Industry
TechnologyOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2020/06/developer-apps-popular-children-agrees-settle-ftc-allegations-it-illegally-collected-kids-data
192 3109 hyperbeard complaint
https://www.ftc.gov/system/files/documents/cases/192_3109_hyperbeard_-_complaint.pdf
192 3109 hyperbeard proposed stipulated order
https://www.ftc.gov/system/files/documents/cases/192_3109_hyperbeard_-_proposed_stipulated_order.pdf
192 3109 hyperbeard statement of chairman simons
https://www.ftc.gov/system/files/documents/public_statements/1576438/192_3109_hyperbeard_-_statement_of_chairman_simons.pdf
192 3109 hyperbeard dissenting statement of commissioner noa
https://www.ftc.gov/system/files/documents/public_statements/1576434/192_3109_hyperbeard_-_dissenting_statement_of_commissioner_noah_j_phillips.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"HyperBeard, Inc."
"pay $150,000"
"Children’s Online Privacy Protection Act Rule (COPPA Rule)"
"by allowing third-party ad networks to collect personal information in the form of persistent identifiers to track users of the company’s child-directed apps, without notifying parents or obtaining verifiable parental consent."
$930K
The FTC finalized orders requiring CMG Media Corporation (doing business as Cox Media Group), MindSift LLC, and 1010 Digital Works LLC to pay a total of $930,000 for falsely claiming they offered an AI-powered service that could target ads based on conversations captured from consumers' smart devices, and that consumers had opted into such targeting. The orders also prohibit the companies from making misrepresentations about their advertising services, voice data collection, and consumer consent.
The FTC announced it is seeking public comment on a proposed enforcement policy statement regarding personalized pricing, which is the use of personal data to set prices based on what a company believes an individual consumer is willing to spend. The statement warns that undisclosed collection or use of personal data for personalized pricing could violate the FTC Act's prohibition on unfair or deceptive practices. The Commission voted 2-0 to authorize the Federal Register notice.
$4.0M
The FTC and Connecticut secured a $4 million settlement with Chase Nissan LLC (doing business as Manchester City Nissan) over allegations the dealership charged consumers unauthorized fees, including double-charging for 'certified pre-owned' vehicles and inserting charges like total loss protection into financing agreements without consent. The settlement requires $4 million in consumer redress, prohibits misrepresentations about vehicle certification and warranties, mandates prominent disclosure of the maximum total vehicle price, and requires express informed consent for all charges.
The FTC filed a complaint against Credit Glory LLC and related entities for deceptive credit repair practices, including false promises, impersonating debt collectors, charging illegal upfront fees, and using negative option billing without consent. A federal court temporarily halted the operation.
The FTC issued a policy statement abandoning disparate-impact liability, stating it will no longer bring claims based on this theory. It also modified compliance obligations for several companies based on past decisions.
The FTC, along with Utah and California, filed a complaint against Hims & Hers alleging the telehealth provider shared consumers' sensitive health information with third-party advertising platforms without consent, and deceived consumers about billing and cancellation practices. The complaint alleges violations of the FTC Act and the Restore Online Shoppers' Confidence Act.