What was unique about the action that the Federal Trade Commission took against B.J.’s Wholesale Club in 2005?
What was unique about the action that the Federal Trade Commission took against B.J.’s Wholesale Club in 2005?
In 2005, the action taken by the Federal Trade Commission (FTC) against B.J.’s Wholesale Club was unique because it was based on matters of fairness rather than deception. The FTC charged B.J.’s Wholesale Club for failing to take appropriate security measures to protect the sensitive information of thousands of its customers, which was deemed unfair under federal law. This marked a significant departure from actions based on deceptive practices, highlighting the FTC's focus on the fairness of business practices related to data security.
Per the FTC Press Release in 2005, "BJ’s Wholesale Club, Inc. has agreed to settle Federal Trade Commission charges that its failure to take appropriate security measures to protect the sensitive information of thousands of its customers was an unfair practice that violated federal law."
Can't find any evidence to support B being the answer. I Believe A is the correct answer here.
" unique about the action" The settlement will require BJ’s to implement a comprehensive information security program and “Obtain Audits” by an independent “Third-Party Security” professional every other year for 20 years. BJ’s Wholesale Club, Inc. has agreed to settle Federal Trade Commission charges that its failure to take appropriate security measures to protect the sensitive information of thousands of its customers was an unfair practice that violated federal law. According to the FTC, this information was used by an unauthorized person or persons to make millions of dollars of fraudulent purchases