Friday, May 13, 2011

A subsidiary of Disney used illegally collecting personal data from children

Playdom, a publisher of video games and online networks for at least 13 years old, bought by Disney in August 2010, has reached an amicable agreement with the Federal Trade Commission (FTC), the U.S. agency responsible for consumer protection and privacy, and will pay $ 3 million (2 million euros) to avoid a trial.

Between 2006 and 2010, Playdom, which publishes twenty games, had collected such personal information about children using Pony Stars game closed in December 2010. E-mail addresses of more than 800,000 children, and possibly other information provided by children (name, city ...), were recorded by the company without the consent of parents is requested.

But the U.S. law provides that data on children can be collected and stored with the approval of their guardians, and the political sites on privacy must be clearly specified. FTC Playdom criticized for failing in these two obligations. "Let me be clear: you are in a virtual world, a social network, or any other website for children, parents and children must receive a clear warning and their consent should be asked [in terms of use of data], "explains a release from the FTC.

"This law is what is right and, as demonstrated by this agreement, violate these principles has a cost". The agreement amount is the highest in history for cases involving children data. In his defense, Disney, which has disbursed more than $ 500 million to acquire the studio in full development, said the case was old.

"This investigation by the FTC regarding the practices of Acclaim Games, a company acquired by Playdom before its acquisition by Disney," said the company, which said it was "satisfied that this matter be resolved amicably." The investigation by the FTC (PDF) was launched in 2009.

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