On Tuesday, August 6, 2019, the U.S. District Court for the Northern District of California entered a consent order between the Federal Trade Commission (“FTC”) and D-Link Systems, Inc., a U.S. company that is a global leader in connectivity for home, small business, mid- to large-sized enterprise environments, and service providers, resolving an FTC lawsuit alleging that D-Link Systems’ security practices violated Section 5 of the FTC Act. The D-Link Systems order marks the close of the first ever litigated FTC action over the application of Section 5 to the security practices used for Internet of Things (“IoT”) devices. This result is good for D-Link Systems, and good for the FTC.
08/6/2019
Court Approves Consent Agreement in Federal Trade Commission v. D-Link Systems
WASHINGTON D.C. (August 6, 2019) – Today, the U.S. District Court for the Northern District of California entered a consent order between the Federal Trade Commission (“FTC”) and D-Link Systems, Inc. Cause of Action Institute has represented D-Link Systems throughout this matter. This joint resolution resolves the FTC’s allegations about the security practices D-Link Systems used for its products. D-Link Systems is an industry leader in Internet of Things (“IoT”) and networking solutions.
07/24/2019
CoA Institute Commends Bipartisan Group of Senators for Introducing FOIA Bill to Correct the Supreme Court’s Decision on Exemption 4
Washington, D.C. (July 24, 2019) – Cause of Action Institute (“CoA Institute”) commends Senators Grassley, Leahy, Cornyn, and Feinstein for introducing the Open and Responsive Government Act of 2019 (S. 2220), a bill that would correct the Supreme Court’s recent misinterpretation of Exemption 4 within the Freedom of Information Act (“FOIA”). The bill would clarify that the term “confidential” in Exemption 4 only protects information that, if disclosed, “would likely cause substantial harm to the competitive position of the person from whom the information was obtained.” Last term, in Food Marketing Institute v. Argus Leader, the U.S. Supreme overturned that long-settled interpretation of the term “confidential.” The bipartisan bill would re-establish the previous status quo.
07/18/2019
CoA Institute Defeats IRS Motion to Dismiss Lawsuit Over Access to Congressional Communications
Washington, D.C. (July 18, 2019) – U.S. District Court Judge Ketanji Brown Jackson yesterday denied the Internal Revenue Service’s (“IRS”) motion to dismiss Cause of Action Institute’s (“CoA Institute”) Freedom of Information Act (“FOIA”) lawsuit over the agency’s refusal to produce records relating to its dealings with Congress’s Joint Committee on Taxation (“JCT”). To date, the IRS has refused to search for records potentially responsive to CoA Institute’s FOIA requests. The agency instead has argued that all relevant records would categorically be “congressional records” outside the scope of disclosure permitted under the FOIA. In its failed motion, the IRS claimed that the federal district court even lacked the authority—or subject-matter jurisdiction—to adjudicate CoA Institute’s well-pleaded claims in the first instance.
07/2/2019
Settlement in Federal Trade Commission v. D-Link Systems Includes No Finding of Liability
WASHINGTON D.C. – Today, Cause of Action Institute (CoA Institute) announced the resolution its client, D-Link Systems, Inc., has reached with the Federal Trade Commission (FTC) regarding the FTC’s allegations about the security practices D-Link Systems used for its products. D-Link Systems is an industry leader in Internet of Things (IoT) and networking solutions.
06/24/2019
Supreme Court Expands FOIA Exemption 4, Cramping Government Oversight and Marring Text
Washington, D.C. (June 24, 2019) – Cause of Action Institute (CoA Institute) today released the following statement regarding the Supreme Court’s decision in FMI v. Argus Leader, a case considering the scope of Exemption 4 under the Freedom of Information Act (FOIA), which will impact all FOIA requesters including news media, individuals, and government transparency groups:
06/24/2019
EXIM Supporter Investigated for Potentially Defrauding the Bank
Cause of Action Institute recently received documents indicating that a repeat customer and vocal supporter of the Export-Import Bank of the United States (“EXIM”) allegedly defrauded the bank. EXIM, which is tasked with assisting the financing of U.S. exports, has gained a reputation for favoring certain companies over others, which is exemplified by its nickname “the Bank of Boeing” for its preferential treatment of the airline. Recent reports from the Government Accountability Office and the EXIM Inspector General (”IG”) have also shown a disconcerting susceptibility to fraud.