The FTC is getting serious about children’s privacy. According to the FTC website, xanga.com (and its pricipals, Marc Ginsburg and John Hiler) agreed to pay a whopping $1 Million in civil penalties for violating the Children’s Online Privacy Protection Act (“COPPA”).
According to the FTC, the xanga site allowed users under the age of 13 to sign up for a free account, despite the proscription on the sign-up page. Xanga failed to secure parental permission from those users, even when they used a birthdate that clearly made them underage.
Practice Pointer:
Many companies mistakenly believe that they are in compliance with COPPA guidelines if their content is adult directed or if they post a statement that no one under 13 is allowed to register on the site. In fact, companies may be in violation of COPPA in the following situations:
As the FTC continues to crack down on social sites, the fnes and corrective measures (including scrapping an entire mailing list) that the FTC will require will continue to increase. If you are uncertain whether you should be in compliance, contact us