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FTC Files Suit Against Wyndham Hotels

PRIVACY LAW—U.S.

June 26, 2012

The Federal Trade Commission (FTC) announced today it has filed suit against Wyndham Worldwide Corporation and three of its subsidiaries citing "alleged data security failures that led to three data breaches at Wyndham hotels in less than two years" resulting in "fraudulent charges on consumers' accounts, millions of dollars in fraud loss and the export of hundreds of thousands of consumers' payment card account information to an Internet domain address registered in Russia." The FTC alleges Wyndham's privacy policy misrepresented security measures; the failure to protect personal information "caused substantial consumer injury," and "security practices were unfair and deceptive and violated the FTC Act."
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