FTC Clarifies COPPA Age Verification Exemption for Online Services and Apps
FTC Issues Clarification on COPPA and Age Verification
The Federal Trade Commission (FTC) has issued a clarification on the Children’s Online Privacy Protection Rule (COPPA), stating that companies using age verification technologies to collect and process personal data will not face penalties if they adhere to specific guidelines.
Four Key Conditions for Exemption
The FTC’s clarification, announced in a press release, outlines four key conditions that must be met for companies to be exempt from COPPA penalties.
- Websites must provide clear notice to parents and children whose information has been collected for age verification purposes.
- Companies must only share the collected data with third parties that are deemed trustworthy and capable of maintaining the data’s confidentiality.
- The collected age information must only be used for the purpose of verifying the user’s age and not for any other purpose.
- Companies must ensure that the collected information is not retained after the age verification process is complete.
Additional Requirements
In addition to these guidelines, the FTC emphasized the importance of implementing
to protect the data gathered during age checks. Companies must also take
to verify the accuracy of the age verification methods used.
Background and Next Steps
The FTC’s clarification comes on the heels of recent remarks by agency officials, who highlighted the significance of age verification as a tool for protecting children online. The agency plans to review the COPPA Rule to further address age verification and provide guidance to companies on compliance.
The COPPA Rule, which was enacted to protect the online privacy of children under the age of 13, has been a subject of concern for companies seeking to balance compliance with the need to verify users’ ages. The FTC’s clarification is expected to provide much-needed guidance for companies navigating this complex regulatory landscape.
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