ARTICLE
29 January 2019

NY AG Settles Over Mobile App Security Issues

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Sheppard Mullin Richter & Hampton

Contributor

Sheppard Mullin is a full service Global 100 firm with over 1,000 attorneys in 16 offices located in the United States, Europe and Asia. Since 1927, companies have turned to Sheppard Mullin to handle corporate and technology matters, high stakes litigation and complex financial transactions. In the US, the firm’s clients include more than half of the Fortune 100.
Five companies settled with the New York Attorney General over mobile app data security issues at the end of last year. The AG alleged that the companies, Western Union, Priceline, Equifax,
United States Technology

Five companies settled with the New York Attorney General over mobile app data security issues at the end of last year. The AG alleged that the companies, Western Union, Priceline, Equifax, Spark Networks, and Credit Sesame, had a well-known security vulnerability in their apps. This vulnerability resulted in insecure connections between the apps and the companies' servers. As a result, a third party could easily have gained access to people's sensitive information.

In its announcement, the AG pointed out that the vulnerability in question had been well known for many years, and that the FTC had reached a settlement in 2014 over the same issue. Also, that app developers can test their software for the vulnerability using "freely available software." As part of the settlement the companies have agreed to implement comprehensive security programs to protect user information.

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