Groups Lobby on Delayed COPPA Implementation
The FTC should consider a six-month delay in implementing the updated Children’s Online Privacy Protection Act (COPPA) rule, online advertising and other trade associations said in a letter to the agency Tuesday. The new rule, unveiled in December, is currently scheduled to be implemented July 1. Also on Tuesday, privacy advocates sent a letter to the FTC, urging the agency to ignore the calls to delay implementation.
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Businesses need more time to become compliant with the new COPPA rule, trade associations said in a letter to the FTC. Signatories include the Association of National Advertisers, the Direct Marketing Association, the Interactive Advertising Bureau, the MPAA, NCTA, Software & Information Industry Association and the U.S. Chamber of Commerce. Though companies have been considering the new requirements and providing comments to the FTC since the process to update the rule began in September 2011, “the final amendments released in December 2012 contained several unanticipated material changes from previous versions,” and “many unanswered questions remain open in the Internet community,” the groups said.
Internet companies are relying on agency guidance, which will be found in FTC FAQs, expected in May, the trade associations continued. “We expect that the FAQs will help explain how some of the nuances of the Rule are intended to be implemented, which will likely necessitate modifying new and existing products and services.” The letter urged the FTC to consider implementing the new COPPA rule on Jan. 1. This “modest delay … will allow the business community to ‘get it right’ the first time, and fully implement strategies for compliance with the COPPA Rule to guide their businesses for years to come,” the groups wrote.
But the FTC should ignore calls to delay the implementation of the new rule, privacy advocates said in a letter to the commission. Signers include the Center for Digital Democracy, Common Sense Media, Consumer Action, Consumer Watchdog and the Electronic Privacy Information Center. “Delay in implementing these already overdue reforms is unwarranted, would be harmful to children, and would undermine the goals of both Congress and the FTC,” the groups said. The FTC has provided ample opportunity for stakeholder input in the three rounds of comments, the privacy groups said. Additionally, the Internet companies and associations should not be reliant on pending agency FAQs, considering the guidance the FTC has already provided through public appearances and online resources, the letter said. “Companies are required to comply with rules, not FAQs."
The letter from privacy advocates criticized those calling for a delay, saying the associations failed to present “any compelling reason for giving the industry more time to comply with the law” or provide “specific reasons or examples” to demonstrate how the industry is encountering obstacles in attempting to be compliant with the new rule.
Earlier this month, the Application Developers Alliance sent a letter to the agency asking for an implementation delay to give small businesses and applications time to prepare for the backend changes needed to comply with the new rule. At that time, Commissioner Julie Brill told us she did not see the value in delaying implementation. On Tuesday, the FTC declined to comment on whether it’s considering delaying implementation.