Children's Online Privacy Protection Act

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Sep29

Children's Online Privacy Protection Act

Linda Chan

September 29, 2006

Know More: Privacy 2.0, Privacy

On September 7, 2006, the Federal Trade Commission (FTC) levied a fine in connection with alleged violations of the Children's Online Privacy Protection Act (COPPA). Xanga.com, a social networking website, agreed to a consent order providing for a $1 million fine for violations of COPPA. This fine shows the focus the FTC places on protecting children's online privacy. The FTC charged that Xanga.com had actual knowledge that it collected personal information of children under age 13 without the consent of the children's parents or guardians.

Xanga.com acknowledged it failed to notify parents and obtain consent before collecting, using, and disclosing the personal information. Xanga.com indicated in its user agreement that children under age 13 could not join, but the website permitted such users even when they registered using a birth date showing they were under 13.

The FTC's prosecution suggests that boilerplate provisions contained in a website's terms of service may be inadequate to meet the regulations.
COPPA applies to websites directed at children under age 13. Websites that are covered by COPPA must link to a privacy policy on the homepage and any pages children may provide personal information. The policy must explain the types of information collected, how information is collected, how the website will use the information, and whether it will share information with third parties.

COPPA requires websites to obtain "verifiable parental consent" to the collection, use, and sharing of a child's information.

related entries

Personal Information on the Internet Part I Nov 12, 2007
Town Hall on Behavioral Advertising Part II Nov 9, 2007
Town Hall on Behavioral Advertising Part I Nov 8, 2007
Minnesota on Debit or Credit Card Data Sep 28, 2007
Privacy Updates Jul 27, 2007

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