US Federal Trade Commission finalises order with online alcohol marketplace for data breach

On 10 January 2023, the Federal Trade Commission (FTC) published an order against the online alcohol marketplace Drizly and its CEO for security failures that resulted in a breach of personal information of around 2.5m consumers.

The critical requirements of FTC’s order are, among other things:

• destruction of any personal data collected that is not necessary for Drizly to provide products or services to consumers;
• refraining from collecting and storing personal information if it is not needed;
• publicising on its website the information Drizly collects and why such data is necessary;
• implementing an information security program and establishing security safeguards.