[Federal Register Volume 79, Number 33 (Wednesday, February 19, 2014)]
[Notices]
[Pages 9465-9467]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-03532]


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FEDERAL TRADE COMMISSION

[File No. 142-3026]


Fantage.com, Inc.; Analysis of Proposed Consent Order To Aid 
Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

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[[Page 9466]]

SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair or deceptive acts or 
practices. The attached Analysis of Proposed Consent Order to Aid 
Public Comment describes both the allegations in the draft complaint 
and the terms of the consent order--embodied in the consent agreement--
that would settle these allegations.

DATES: Comments must be received on or before March 13, 2014.

ADDRESSES: Interested parties may file a comment at https://ftcpublic.commentworks.com/ftc/fantageconsent online or on paper, by 
following the instructions in the Request for Comment part of the 
SUPPLEMENTARY INFORMATION section below. Write ``Fantage.com, Inc.--
Consent Agreement; File No. 142-3026'' on your comment and file your 
comment online at https://ftcpublic.commentworks.com/ftc/fantageconsenthttps://ftcpublic.commentworks.com/ftc/fidelitynationalconsent by following the instructions on the web-based 
form. If you prefer to file your comment on paper, mail or deliver your 
comment to the following address: Federal Trade Commission, Office of 
the Secretary, Room H-113 (Annex D), 600 Pennsylvania Avenue NW., 
Washington, DC 20580.

FOR FURTHER INFORMATION CONTACT: Jessica Lyon, Bureau of Consumer 
Protection, (202-326-2344), 600 Pennsylvania Avenue NW., Washington, DC 
20580.

SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal 
Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule 2.34, 16 CFR 2.34, 
notice is hereby given that the above-captioned consent agreement 
containing consent order to cease and desist, having been filed with 
and accepted, subject to final approval, by the Commission, has been 
placed on the public record for a period of thirty (30) days. The 
following Analysis to Aid Public Comment describes the terms of the 
consent agreement, and the allegations in the complaint. An electronic 
copy of the full text of the consent agreement package can be obtained 
from the FTC Home Page (for February 11, 2014), on the World Wide Web, 
at http://www.ftc.gov/os/actions.shtm. A paper copy can be obtained 
from the FTC Public Reference Room, Room 130-H, 600 Pennsylvania Avenue 
NW., Washington, DC 20580, either in person or by calling (202) 326-
2222.
    You can file a comment online or on paper. For the Commission to 
consider your comment, we must receive it on or before March 13, 2014. 
Write ``Fantage.com, Inc.--Consent Agreement; File No. 142-3026'' on 
your comment. Your comment--including your name and your state--will be 
placed on the public record of this proceeding, including, to the 
extent practicable, on the public Commission Web site, at http://www.ftc.gov/os/publiccomments.shtm. As a matter of discretion, the 
Commission tries to remove individuals' home contact information from 
comments before placing them on the Commission Web site.
    Because your comment will be made public, you are solely 
responsible for making sure that your comment does not include any 
sensitive personal information, like anyone's Social Security number, 
date of birth, driver's license number or other state identification 
number or foreign country equivalent, passport number, financial 
account number, or credit or debit card number. You are also solely 
responsible for making sure that your comment does not include any 
sensitive health information, like medical records or other 
individually identifiable health information. In addition, do not 
include any ``[t]rade secret or any commercial or financial information 
which . . . is privileged or confidential,'' as discussed in Section 
6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 
4.10(a)(2). In particular, do not include competitively sensitive 
information such as costs, sales statistics, inventories, formulas, 
patterns, devices, manufacturing processes, or customer names.
    If you want the Commission to give your comment confidential 
treatment, you must file it in paper form, with a request for 
confidential treatment, and you have to follow the procedure explained 
in FTC Rule 4.9(c), 16 CFR 4.9(c).\1\ Your comment will be kept 
confidential only if the FTC General Counsel, in his or her sole 
discretion, grants your request in accordance with the law and the 
public interest.
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    \1\ In particular, the written request for confidential 
treatment that accompanies the comment must include the factual and 
legal basis for the request, and must identify the specific portions 
of the comment to be withheld from the public record. See FTC Rule 
4.9(c), 16 CFR 4.9(c).
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    Postal mail addressed to the Commission is subject to delay due to 
heightened security screening. As a result, we encourage you to submit 
your comments online. To make sure that the Commission considers your 
online comment, you must file it at https://ftcpublic.commentworks.com/ftc/fantageconsent by following the instructions on the web-based form. 
If this Notice appears at http://www.regulations.gov/#!home, you also 
may file a comment through that Web site.
    If you file your comment on paper, write ``Fantage.com, Inc.--
Consent Agreement; File No. 142-3026'' on your comment and on the 
envelope, and mail or deliver it to the following address: Federal 
Trade Commission, Office of the Secretary, Room H-113 (Annex D), 600 
Pennsylvania Avenue NW., Washington, DC 20580. If possible, submit your 
paper comment to the Commission by courier or overnight service.
    Visit the Commission Web site at http://www.ftc.gov to read this 
Notice and the news release describing it. The FTC Act and other laws 
that the Commission administers permit the collection of public 
comments to consider and use in this proceeding as appropriate. The 
Commission will consider all timely and responsive public comments that 
it receives on or before March 13, 2014. You can find more information, 
including routine uses permitted by the Privacy Act, in the 
Commission's privacy policy, at http://www.ftc.gov/ftc/privacy.htm.

Analysis of Proposed Consent Order To Aid Public Comment

    The Federal Trade Commission (``FTC'' or ``Commission'') has 
accepted, subject to final approval, a consent agreement applicable to 
Fantage.com, Inc. (``Fantage'').
    The proposed consent order has been placed on the public record for 
thirty (30) days for receipt of comments by interested persons. 
Comments received during this period will become part of the public 
record. After thirty (30) days, the Commission will again review the 
agreement and the comments received, and will decide whether it should 
withdraw from the agreement and take appropriate action or make final 
the agreement's proposed order.
    This matter concerns alleged false or misleading representations 
that Fantage made to consumers concerning its participation in the Safe 
Harbor privacy framework agreed upon by the U.S. and the European Union 
(``EU'') (``U.S.-EU Safe Harbor Framework'' or ``Safe Harbor 
Framework''). It is among several actions the Commission is bringing to 
enforce the promises that companies make when they certify that they 
participate in the Safe Harbor Framework. The Safe Harbor framework 
allows U.S. companies to transfer data outside the EU consistent with 
European law. To join the Safe Harbor framework, a company must self-
certify to the U.S. Department of Commerce (``Commerce'') that it 
complies with a

[[Page 9467]]

set of principles and related requirements that have been deemed by the 
European Commission as providing ``adequate'' privacy protection. These 
principles include notice, choice, onward transfer, security, data 
integrity, access, and enforcement. Commerce maintains a public Web 
site, www.export.gov/safeharbor, where it posts the names of companies 
that have self-certified to the Safe Harbor framework. The listing of 
companies indicates whether their self-certification is ``current'' or 
``not current.'' Companies are required to re-certify every year in 
order to retain their status as ``current'' members of the Safe Harbor 
framework.
    Fantage developed and operates a massively multiplayer online role-
playing game directed at children ages 6-16. According to the 
Commission's complaint, since June 2011, except for a one-month period 
from November to December 2013, Fantage set forth on its Web site, 
www.fantage.com, privacy policies and statements about its practices, 
including statements related to its participation in the U.S.-EU Safe 
Harbor Framework.
    The Commission's complaint alleges that Fantage falsely represented 
that it was a ``current'' participant in the U.S.-EU Safe Harbor 
Framework when, in fact, from June 2012 until January 2014, Fantage was 
not a ``current'' participant in the Safe Harbor Framework. The 
Commission's complaint alleges that in June 2011, Fantage submitted a 
Safe Harbor self-certification. Fantage did not renew its self-
certification in June 2012 and Commerce subsequently updated Fantage's 
status to ``not current'' on its public Web site. In January 2014, 
Fantage renewed its self-certification to the Safe Harbor Framework, 
and its status was changed to ``current'' on Commerce's Web site.
    Part I of the proposed order prohibits Fantage from making 
misrepresentations about its membership in any privacy or security 
program sponsored by the government or any other self-regulatory or 
standard-setting organization, including, but not limited to, the U.S.-
EU Safe Harbor Framework.
    Parts II through VI of the proposed order are reporting and 
compliance provisions. Part II requires Fantage to retain documents 
relating to its compliance with the order for a five-year period. Part 
III requires dissemination of the order now and in the future to 
persons with responsibilities relating to the subject matter of the 
order. Part IV ensures notification to the FTC of changes in corporate 
status. Part V mandates that Fantage submit an initial compliance 
report to the FTC, and make available to the FTC subsequent reports. 
Part VI is a provision ``sunsetting'' the order after twenty (20) 
years, with certain exceptions.
    The purpose of this analysis is to facilitate public comment on the 
proposed order. It is not intended to constitute an official 
interpretation of the proposed complaint or order or to modify the 
order's terms in any way.

    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 2014-03532 Filed 2-18-14; 8:45 am]
BILLING CODE 6750-01-P