Penalty Amount
$7,800,000
The FTC proposed a consent order against BetterHelp for sharing consumers' sensitive mental health data with third parties like Facebook for targeted advertising without proper consent. BetterHelp must pay $7.8 million in refunds and is banned from such data sharing, with requirements for consent and privacy programs.
BetterHelp is required to pay $7.8 million for consumer refunds, banned from sharing health data for advertising, must obtain affirmative consent before disclosing data, implement a comprehensive privacy program, direct third parties to delete shared data, and limit data retention.
In-house legal teams should review vendor agreements (especially with advertising platforms like Facebook/Snapchat) and customer-facing agreements (Terms of Service, Privacy Policies) for clauses governing data sharing, consent, and advertising. Specifically scrutinize: (1) data sharing/license clauses permitting disclosure of 'sensitive personal data' or 'health information' to third parties for targeted advertising or retargeting; (2) consent mechanisms—ensure they are explicit, informed, and separate for sensitive health data sharing; (3) data retention and deletion provisions; (4) breach notification obligations. Changes likely needed: prohibit sharing of consumer health data for advertising without unambiguous opt-in consent; restrict retargeting based on website/app visits even for non-registered users; implement documented privacy programs with regular assessments; and add audit rights for data processing activities.
Entity
BetterHelp, Inc.
Also known as: BetterHelp
Industry
HealthcareOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2023/03/ftc-ban-betterhelp-revealing-consumers-data-including-sensitive-mental-health-information-facebook
2023169 betterhelp complaint
https://www.ftc.gov/system/files/ftc_gov/pdf/2023169-betterhelp-complaint_.pdf
202 3169 betterhelp consent
https://www.ftc.gov/system/files/ftc_gov/pdf/202_3169-betterhelp-consent.pdf
betterhelp inc analysis of proposed consent order to aid pub
https://www.federalregister.gov/documents/2023/03/14/2023-05139/betterhelp-inc-analysis-of-proposed-consent-order-to-aid-public-comment
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"BetterHelp, Inc."
"$7.8 million"
"revealed consumers’ sensitive data with third parties such as Facebook and Snapchat for advertising after promising to keep such data private."
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$2.5B
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$225.0M
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$100.0M
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