CIPP/US: Certified Information Privacy Professional/United StatesDemo

By IAPP · Question Mode

QuestionQ213

Federal Privacy Laws

Which venture would fall under the requirements of Section 5 of the Federal Trade Commission Act?

  • A A local nonprofit charity’s fundraiser
  • B An online merchant’s free shipping offer
  • C A national bank’s no-fee checking promotion
  • D A city bus system’s frequent rider program
Explanation

Section 5 of the FTC Act prohibits unfair or deceptive acts or practices in or affecting commerce. An online merchant’s free-shipping promotion is a commercial advertising practice and is therefore subject to Section 5. FTC jurisdiction has exceptions that include nonprofit organizations, banks, and transportation common carriers.

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