INSIDE COMPLIANCE – Page 47 – Loyola University Chicago School of Law

Federal Trade Commission Accuses Chegg of “Careless” Data Security

November 17, 2022Uncategorized

On Monday, October 31, the U.S. Federal Trade Commission (FTC) called on education technology provider Chegg, Inc. (Chegg) to bolster its data security, citing lax security practices that regulators said exposed the personal data of more than 40 million Chegg users. The exposed personal information included names, email addresses, passwords, and for certain users, sensitive scholarship data such as dates of birth, parents’ income range, sexual orientation, and disabilities.

data privacycomplianceFTCPrivacy & SecurityRegulation

How the Inflation Act of 2022 has Impacted the Pharmaceutical Industry

November 17, 2022Uncategorized

Prescription drug price increases have long been a detriment to Americans. The Inflation Reduction Act (the Act) is in part designed to assist in this corporate pharmaceutical problem. This Act plans to do this through the implementation of seven major prescription drug provisions. Two of the major ones are requiring negotiations for certain drug prices by the federal government and limiting the monthly cost-sharing for insulin to $35. Through these changes along with various others, advocates hope that the burden will be lifted off Medicare beneficiaries. It has also been estimated that the Act will work to reduce the federal deficit by $237 billion over 10 years (2022-2031).

Medicare Part DHealth Insuranceprescription drugsPharmaceuticals

No Payday for the CFPB: A Recent 5th Circuit Decision Jeopardizes the CFPB and its Funding

November 17, 2022Finance & Banking

A decision filed October 19, 2022 by the Fifth Circuit Court of Appeals has vacated a payday lending rule put in place by the Consumer Financial Protection Bureau (CFPB). The rule was put in place to prevent predatory lending practices and unfair practices in their collection. The court decision was not based on the rule being unconstitutional but rather based in how the bureau is funded. The decision has overreaching implications on the future enforcement of CFPB rules.

Debt collectionCFPBspending clauseRegulation

The Clock Continues to Tick for SEC Climate Proposal

November 2, 2022Uncategorized

Juhi Desai Associate Editor Loyola University Chicago School of Law, JD 2024 In March 2022, the U.S. Securities and Exchange Commission (SEC) released a 490-page proposal encouraging organizations to adopt climate-focused regulations. The policies could include climate disclosure requirements and an expense report detailing the effect climate change has on businesses. However, shortly after the …
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environmental regulationEnvironmental Protection AgencyDepartment of EnergyJournal of Regulatory ComplianceSEC

Twitter Whistleblower Exposes FTC’s Ineffective Efforts to Protect User Data

November 1, 2022Uncategorized

Danielle McNamara Senior Editor Loyola University Chicago School of Law, JD 2023 In July 2022, former Twitter board member Peiter Zatko filed a complaint against Twitter, alleging that the social media platform failed to develop a security system consistent with the Federal Trade Commission’s (FTC) requirement to implement a comprehensive information-security program, established in 2011. …
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Journal of Regulatory CompliancePrivacy & Security

Single-Stock ETFs: The Debate Over Suitability

November 1, 2022Finance & Banking

While Exchange-Traded Funds (ETFs) were introduced in the early 1990’s, the investment product skyrocketed in popularity throughout the 2000’s. In fact, only one ETF existed in 1993 before the market subsequently expanded to 102 funds in 2002, and then to 1,000 funds by 2009. There currently exists more than 7,602 ETFs globally, and their popularity among investors has prompted the creation of numerous other Exchange-Traded Products (ETPs). While ETFs are the most prominent form of ETPs, fund issuers have introduced a myriad of products that vary in terms of volatility, complexity, and investor suitability. Hence, regulators and financial professionals have continued to warn the investing public of the risks involved with purchasing complex ETPs, such as single-stock ETFs, without sufficiently understanding how the products operate.

ETFbroker-dealerFINRAETPstock marketSecurities and Exchange Commission

Election Monitoring and Why It’s Important for November 8th

October 28, 2022Uncategorized

Voters have been questioning the credibility of elections since former President Donald Trump instilled fear in his supporters by alleging that votes were stolen in the 2020 election. Additionally, Democratic voters have become increasingly wary of voter suppression in Republican counties. As the United States midterm elections approach this year, the Department of Justice (DOJ) will be deploying stringent measures to ensure that counties and states are in compliance with fair voting practices.

ElectionsVoting

Big Tech & Its Algorithms: Is It Time to Hold Them Accountable?

October 28, 2022Uncategorized

It’s no secret that companies like Google, Alpha, Meta, and Twitter use and sell our data. However, in recent years, the content that companies display to us while we use their platform, from the ads we see to the websites that we find on search engines, has become a major contentious issue. While Section 230 of the 1996 Communications Decency Act shields Big Tech and other online platforms from liability for user-generated content, the Supreme Court recently announced that it will hear Gonzalez v. Google. The outcome of this case could have a huge impact on tech policy and could fundamentally change the type of content that we see online.

complianceDOJJournal of Regulatory ComplianceFTCSupreme CourtRegulation

A Collaborative Effort in Defeating Healthcare Cyber Attacks

October 27, 2022HIPAA & Health Information

In an effort to improve cybersecurity in the healthcare sector, a bipartisan bill was introduced in Congress on September 13, 2022, by Republican Brian Fitzpatrick of Pennsylvania and Democrat Jason Crow of Colorado. The Healthcare Cybersecurity Act relies on a partnership between the Cybersecurity and Infrastructure Security Agency (CISA) and the Department of Health and Human Services (HHS) to work together in improving cybersecurity in the healthcare sector. The Act has been introduced as a result of record high increases in health data breaches across the country over the last several years. The goal is to provide resources for training and heighten efforts taken across the nation to mitigate cybersecurity risk. The Act would not only improve patient care but save healthcare cost by taking a proactive approach.

cyber-securitycyber-attacks#privacyLegislationHIPAAPrivacy & Security

The SEC’s Regulation Best Interest: Purposes, Components, and Criticisms

October 26, 2022Fraud & Abuse, Finance & Banking

In 2019, the U.S. Securities and Exchange Commission (SEC) adopted Regulation Best Interest (“Reg BI”). Reg BI is a standard of conduct that applies to broker-dealers (a firm in the business of selling securities) and persons associated with broker-dealers when making a recommendation of a certain investment strategy or securities transaction to a retail customer. The SEC gave broker-dealers a time window to implement this new law into firm policies and procedures, and while no regulatory action happened in the first few years of its enactment, the SEC brought its first action in June of this year and FINRA brought its first in October of this year. This makes it especially important for broker-dealer firms to ensure they are presently in compliance with the standards set forth in Reg BI.