FTC Acts Against Drizly and Its CEO After Data Breach

Why This Privacy Law is Important:

This proposed order against both Drizly and its CEO means that executives and the companies they lead must add the FTC to the alphabet soup of agencies regulating their privacy policies and cybersecurity posture--and be prepared for actions to target them as individual executives.

Overview:

On October 24, 2022, the Federal Trade Commission announced its proposed action against the online alcohol marketplace Drizly and its CEO, James Cory Rellas, over its failure to take measures to prevent a security breach that compromised the personal data of approximately 2.5 million consumers who used its marketplace to place retail orders for beer, wine, and liquor for delivery. Drizly had learned of the security problems well before the breach happened, but they failed to take basic steps to secure their customers’ data.

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