Formal Review 93.2019 - HyperBeard, Inc.

Company failed to participate in self-regulation

Two industry self-regulatory units of the Council of Better Business Bureaus today referred the mobile app developer HyperBeard to the Federal Trade Commission (FTC) for failure to participate in a self-regulatory review process looking into data privacy practices related to children and advertising.

The referral follows a joint inquiry by the Online Interest-Based Advertising Accountability Program and the Children’s Advertising Review Unit (CARU) into HyperBeard’s compliance with the Digital Advertising Alliance’s Self-Regulatory Principles and CARU’s Self-Regulatory Guidelines, including CARU’s guidelines for Online Privacy Protection. The programs made repeated attempts to contact HyperBeard to discuss the business practices at issue but were unable to establish a line of communication with the company. Following their final attempt to reach HyperBeard, the programs initiated this joint referral to the FTC.

“It’s unfortunate that the company didn’t participate, especially given our concerns about the possible collection of data from children without parental consent,” said Jon Brescia, Director of Adjudications & Technology for the Accountability Program. 

The Accountability Program and CARU inquired into HyperBeard’s practices with respect to children’s privacy during monitoring of mobile apps for compliance with the DAA Principles and CARU guidelines. During their review, the programs found that third-party companies appeared to be collecting data through HyperBeard’s app, KleptoCats, in a way that seemed to conflict with these industry standards, which include provisions modeled after the Children’s Online Privacy Protection Act of 1998. 

Today’s referral is the result of ongoing joint monitoring of the mobile app marketplace by CARU and the Accountability Program for compliance with their respective codes, work that both outfits have been conducting successfully for several years.

Latest Decisions

Decision

Direct Selling Self-Regulatory Council Recommends Le-Vel Discontinue Certain Earnings and Health-Related Product Performance Claims in Compliance Inquiry

McLean, VA – January 19, 2022 – The Direct Selling Self-Regulatory Council (DSSRC) opened a compliance inquiry to review advertising from Le-Vel Brands, LLC that had been the subject of an inquiry from 2020. DSSRC recommended that the new product performance and earnings claims identified in...
Read the Decision
Decision

National Advertising Division Finds Glad Trash Bags Product Packaging Not Misleading; Recommends Glad Discontinue or Modify Other Advertising Claims

New York, NY – January 19, 2022 – The National Advertising Division (NAD) determined that product packaging for Glad Products Company’s ForceFlex Plus with Clorox Tall Kitchen Drawstring Bags appropriately ties the Clorox brand to its odor elimination role, and that product packaging for...

Read the Decision
Decision

Direct Selling Self-Regulatory Council Recommends Immunotec Discontinue Certain Earnings and Health-Related Product Performance Claims

McLean, VA – January 18, 2022 – The Direct Selling Self-Regulatory Council (DSSRC) recommended that certain product performance and earnings claims made by Immunotec and its salesforce be discontinued. 

Read the Decision
Decision

National Advertising Review Board Recommends PLx Pharma Either Discontinue or Modify “Clinically Shown” Claim for its Vazalore Aspirin Product

New York, NY – January 13, 2022 – A panel of the National Advertising Review Board (NARB) recommended that PLx Pharma Inc. either discontinue use of the claim that Vazalore “is the first liquid-filled aspirin capsule clinically shown to cause fewer ulcers than plain aspirin” or modify it to...

Read the Decision