Marriott Settles with FTC: Major Overhaul of Data Security After Multiple Breaches Affecting Millions

October 10, 2024
Marriott Settles with FTC: Major Overhaul of Data Security After Multiple Breaches Affecting Millions
  • Although Marriott has agreed to these terms, the company has made no admission of liability regarding the breaches.

  • The settlement also includes provisions for Marriott to restore stolen loyalty points and provide customers with options for enhanced security, such as multi-factor authentication.

  • The settlement, which involves 49 state attorneys general and the District of Columbia, addresses allegations related to data security breaches that compromised the information of over 344 million customers worldwide.

  • Additionally, a breach in early 2020 affected about 5.2 million guests due to compromised login credentials of employees at a franchised property.

  • FTC Director Samuel Levine emphasized that Marriott's inadequate security practices contributed to these breaches and highlighted the necessity for improved data security measures.

  • As part of the settlement, Marriott will enhance its data privacy protocols, including allowing U.S. customers to request the deletion of personal information linked to their accounts.

  • Marriott is also required to conduct independent assessments of its information security program every two years and certify compliance with the FTC for the next 20 years.

  • The U.S. Federal Trade Commission (FTC) announced a settlement with Marriott International and its subsidiary Starwood Hotels & Resorts, mandating the implementation of a comprehensive information security program following multiple data breaches that occurred between 2014 and 2020.

  • These breaches resulted in unauthorized access to sensitive customer information, including passport details, payment card numbers, and email addresses.

  • A significant breach in November 2018 exposed data from approximately 383 million guests, including unencrypted passport numbers and credit card information.

  • The FBI investigated the 2018 breach, suspecting that the hackers were associated with the Chinese Ministry of State Security.

  • This settlement follows a decade marked by multiple data breaches that have raised serious concerns about Marriott's data security practices.

Summary based on 11 sources


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