Analysis of FTC Proceeding and RockYou Inc. Data Security Violations

This report examines the FTC proceeding against RockYou Inc., a company that develops doohickeys for MySpace. The FTC alleged that RockYou violated the Children's Online Privacy Protection Act (COPPA) by collecting personal details of around 179,000 children without parental consent and failing to implement reasonable security procedures. The report details RockYou's response, the $250,000 settlement, and the impact of the proceeding on other organizations. The study concludes that the FTC's actions will have a negative impact on the rules and laws of RockYou and other organizations. The report also references a data breach that occurred in 2009, leading to the revelation of 32 million user accounts. This case underscores the importance of data security and compliance with privacy regulations.

MIS

Introduction
RockYou Inc. is the organization, which advances doohickeys
for MySpace.
• The companies headquarters are situated in San Francisco,
California, United States.
• From 2014, RockYou Inc. has been predominantly affianced
in the procurements of the rights to classic video games.
• It integrates in-games advertisements and re-allocates the
games (Bloomberg, 2019)
• .

Proceeding by FTC on
RockYou Inc.
• Federal trade commission alleged its grievance in
contradiction of RockYou Inc.
• According to FTC, many customers used the websites to
accumulate slide displays from their pictures.
• FTC alleged that RockYou knowingly collected private
details of around 179000 children.
• In December 2009, RockYou suffered from the Data
Breach that give rise to in the revelation of 32 million
user accounts ( Fair, 2012)

COPPA rule of law
The federal trade commission filled objection against
RockYou Inc. that RockYou violated the Children’s Online
Privacy Protection Act Rule (COPPA) ( Hoofnagle, 2016).
The FTC indicted that RockYou dishonored the law of
COPPA by:
• Not predicting out its disclosure, collection and use of
policy.
• Not attaining confirmable consent of the parents
• Not upholding the procedures that are sensible.

RockYou response on the
charges
• The anticipated settlement bars deceptive privileges and
wants RockYou to place program that can protect the
security.
• The reimbursement needs RockYou to erase evidence
collected (FTC, 2011).
• The settlement was announced on Tuesday and declared
that RockYou will recompense $250,000 as a civil penalty
for the suspected COPPA violations.

Resolution Of Proceeding
The settlement done for the alleged charges complaints by
the federal trade commission against RockYou resulted in
the prohibition on future claims for the data and security
of the company.

Effects of proceeding on
other organization
Such proceedings filled by FTC, will have significant impact
on other organizations.
• The organizations will not repeat this again.
• Change in security related policies.
• Changes in organizational practices.

Conclusion
From the above case, it concluded that Federal Trade
Commissions can file complaints against the organization
who will not follow the rules and laws made for them. The
study shows that RockYou Inc. suffered data breach in the
year 2009 for which some settlements were made by the
company in order to settle the disputes. At last this study
proves that the proceedings of FTC will have negative
impact on rules and laws of RockYou and other
organizations.

REFERENCES
• Bloomberg, 2019. RockYou Inc. [Online] Available at:
https://www.bloomberg.com/profile/company/3657731Z:US?in_so
urce=PersonProfile
[Accessed JULY 2019].
• Fair, , 2012. Data security & COPPA: RockYou like a hurricane.
[Online] Available at:
https://www.ftc.gov/news-events/blogs/business-blog/2012/03/dat
a-security-coppa-rockyou-hurricane
[Accessed July 2019].
• FTC, 2011. FTC Seeks Comment on Proposed Revisions to Children's
Online Privacy Protection Rule. [Online] Available at:
https://www.ftc.gov/news-events/press-releases/2011/09/ftc-seeks-
comment-proposed-revisions-childrens-online-privacy
[Accessed JULY 2019].
• Hoofnagle, , 2016. Federal Trade Commission Privacy Law and Policy.
Cambridge University Press,.