The Federal Trade Commission (FTC) has taken further legal action against location data broker Kochava for alleged invasion of privacy. The agency has filed an amended complaint, addressing concerns raised by a previous dismissal of their initial complaint. The FTC asserts that Kochava’s business practices, involving the sale of geolocation data from mobile phones, pose significant privacy risks to consumers.
The amended complaint includes additional factual allegations against Kochava, supported by materials obtained from the company. While the details of the amended complaint remain under seal, the FTC believes that the information does not constitute trade secrets or warrant confidential treatment. The agency has requested the court to overrule Kochava’s objections and allow a public airing of the relevant material.
Judge B. Lynn Winmill of the U.S. District Court for the District of Idaho dismissed the FTC’s first complaint, citing the agency’s heavy reliance on inference rather than concrete evidence of consumer harm. However, the judge acknowledged the legitimacy of the privacy concerns raised by the FTC. The agency now seeks to address these concerns in the amended complaint and move forward with the case.
This legal battle between the FTC and Kochava holds significant implications for privacy rights. The FTC aims to establish that privacy intrusions can be considered substantial injury under its unfairness authority.
By renewing its complaint, the FTC seeks to further develop this legal concept and set a precedent for future privacy cases. Kochava had previously filed its own lawsuit against the FTC, and the company’s objections to the public disclosure of confidential materials have prompted the FTC to file the amended complaint under seal.
