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Analytics Company Settles Charges For User Tracking 43

An anonymous reader writes "A web analytics company has agreed to settle Federal Trade Commission charges that it violated federal law by using its web-tracking software that collected personal data without disclosing the extent of the information that it was collecting. The company, Compete Inc., also allegedly failed to honor promises it made to protect the personal data it collected. KISSmetrics, the developer and seller of the homonymous tool, has agreed to pay up to make the suit go away, but the the two plaintiffs will get only $5,000 each, while the rest of the money — more than half a million dollars — will go to their lawyers for legal fees."
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Analytics Company Settles Charges For User Tracking

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  • by Anonymous Coward on Wednesday October 24, 2012 @09:31PM (#41760101)

    What work done in this case is worth half a million? Nobody's. The only fair solutions are to give the money to the victims, charities, the government, or to burn it. The judiciary system is not based on fairness or justice, so of course the money goes to lawyers, but please don't give me that bullshit excuse that they deseve it because they sure don't.

  • by scdeimos ( 632778 ) on Wednesday October 24, 2012 @10:51PM (#41760637)

    The summary doesn't make it clear: these are two separate suits. From TFA:

    1. Compete failed to remove personal data before transmitting it; failed to provide reasonable and appropriate data security; transmitted sensitive information from secure websites in readable text; failed to design and implement reasonable safeguards to protect consumers’ data; and failed to use readily available measures to mitigate the risk to consumers’ data. The proposed settlement order requires Compete and its clients to fully disclose the information they collect and get consumers’ express consent before they collect consumers’ data in the future, that the company delete or anonymize the use of the consumer data it already has collected, and that it provide directions to consumers for uninstalling its software. The settlement bars misrepresentations about the company’s privacy and data security practices and requires that it implement a comprehensive information security program with independent third-party audits every two years for 20 years.

    2. KISSmetrics has also agreed to settle a lawsuit that charged them with using a tool that would "resuscitate" cookies deleted by privacy-minded users in order to surreptitiously track their online behavior. KISSmetrics has agreed to pay up to make the suit go away, but the two plaintiffs will get only $5,000 each, while the rest of the money - more than half a million dollars - will go to their lawyers for legal fees. The settlement does not contain an admission of guilt from KISSmetrics, but just a promise that it will not track users without their permission in the future.

  • by Kalriath ( 849904 ) on Wednesday October 24, 2012 @10:53PM (#41760653)

    It's nothing like that actually. There's two completely different lawsuits mentioned in TFA which the editor (oh. Samzenpus.) managed to compress into one when doing the summary. Compete doesn't actually have to pay a cent, but their settlement with the FTC requires them to complete third party audits every two years, immediately cease the infringing activity, delete (or anonymize) any data it already collected, and get express consent before ever collecting info again. KISSmetrics has to pay half a million dollars for developing their platform in such a way that it resurrected deleted cookies so that you couldn't escape tracking. They also didn't admit guilt, so there's nothing stopping them carrying on doing it.

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