The FTC issued a policy statement announcing it will not enforce COPPA against operators that collect age verification data under specific conditions. The policy aims to encourage the use of age verification technologies to protect children online. Operators must limit data use, ensure security, provide notice, and use accurate verification methods.
In-house legal teams should review vendor agreements, customer terms of service, and data processing addendums to ensure alignment with the FTC's COPPA policy statement. Key clauses to examine include data collection provisions, consent mechanisms, privacy policies, data security terms, and data retention schedules. Contracts may need updates to incorporate the policy's conditions: age verification data can be collected without verifiable parental consent if used solely for age determination, with strict limitations on data use, implementation of robust security measures, clear notice to users, and use of accurate verification methods. Additionally, agreements with third-party processors should explicitly address the handling and restriction of age verification data to prevent secondary uses or disclosures.
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Website and Online Service Operators
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TechnologyOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/02/ftc-issues-coppa-policy-statement-incentivize-use-age-verification-technologies-protect-children
enforcement policy statement promoting adoption age verifica
https://www.ftc.gov/legal-library/browse/enforcement-policy-statement-promoting-adoption-age-verification-technology
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
$750K
The FTC finalized an order against Vanilla Chip LLC (doing business as TruHeight) and its principals for deceptively advertising height-enhancing supplements for children and teens without scientific evidence. The company also used fake reviews and incentivized 5-star ratings. The order requires a $750,000 payment and prohibits false health claims and deceptive review practices.
$2.3M
The FTC alleged that RentGrow, a tenant screening company, violated the Fair Credit Reporting Act (FCRA) by failing to use reasonable procedures to ensure the accuracy of its reports, including by reporting duplicate records and failing to disclose data sources. RentGrow agreed to pay a $2.25 million penalty and is prohibited from further FCRA violations and from misrepresenting dispute outcomes.
The FTC and New York Attorney General took action against Handy Technologies for deceptive earnings claims and failure to disclose fees and fines that led to millions of dollars being withheld from workers' wages. The FTC is sending over $2.7 million in refunds to 62,893 affected consumers.
$35.0M
The FTC alleged that Hopper, a travel booking app, charged consumers hidden and pre-selected fees (Tip and VIP Support) without their consent, misrepresented the benefits of VIP Support and Price Freeze services, and failed to clearly disclose total prices. Hopper agreed to pay $35 million for consumer redress and is prohibited from misrepresenting fees under a proposed order.
$1.5M
The FTC finalized a settlement with Publishing.com LLC and its principals for misleading consumers about potential earnings from self-publishing products. The company will pay $1.5 million and is prohibited from making unsubstantiated earnings claims, failing to disclose refund terms, and misrepresenting endorsements and reviews.
The FTC is seeking public comment on a proposed policy statement addressing concerns that AI companies may be manipulating AI system outputs contrary to consumer expectations for objectivity and accuracy. The statement explains that such conduct could be considered deceptive under Section 5 of the FTC Act. The public comment period runs until July 31, 2026.