The FTC recently posted a press release (FTC Press Release) on their settlement with Twitter, Inc. over charges that the company failed to protect users' private information. The charges against Twitter stem from several high-profile incidences where hackers were able to gain administrative control of Twitter to: view nonpublic user information; gain access to direct messages and protected tweets; reset any user's password; and send authorized tweets from any user account.
The FTC made it a point to remind companies that a promise to keep user personal information secure must be kept. Furthermore, even when social networking users choose to share information with others, they still have a right to expect that their personal information will be kept private and secure. The press release outlines the reasonable steps Twitter failed to take and serves as a useful guideline for companies that want to make sure their user information security practices do not run afoul of FTC expectations.
10 FAQs for the virtual world's layman
Overview of Legal Issues with Virtual Currencies
Virtual Worlds & Video Games Team