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US Court Permits FTC Data-Breach Suit against Hotel Company

A US court has ruled that the US Federal Trade Commission (FTC) may proceed with a data-breach suit against hotel company Wyndham Worldwide. The agency alleges that the hotel group—which operates numerous brands including Days Inn and Super 8—failed to safeguard consumers’ personal information, leading to three data breaches between April 2008 and January 2010. Hackers subsequently stole personal information that cost victims $10.6 million. Wyndham sought dismissal of the FTC’s suit saying it did not have jurisdiction. Judge Esther Salas of the US Court for the District of New Jersey ruled that the FTC could move forward. To date, the FTC has filed at least 50 data-security cases against companies including Credit Karma and Fandango. (Reuters)(Adweek)(The Hill)

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