Federal Trade Commission v. Rite Aid Corporation and Rite Aid Hdqtrs. Corp., No. 2:23-cv-5023 (E.D. Pa.)

Summary

The FTC sued Rite Aid in December 2023, alleging that the retailer used facial recognition technology in hundreds of stores without reasonable procedures to prevent harm to consumers, and that it violated a 2010 FTC data security order by failing to oversee service providers. Rite Aid was in Chapter 11 bankruptcy at the time. The stipulated order, signed by Judge Kelley B. Hodge on February 23, 2024, bars Rite Aid from using facial recognition or analysis systems in its stores or online platforms for five years, requires deletion of covered biometric data, and requires safeguards for any future automated biometric systems and a strengthened information security program.

Key dates

1. December 19, 2023Filed
2. February 23, 2024Resolved
3. October 16, 2026Checked against sources
4. October 21, 2026Checked against sources

Developments are added when the record is reviewed. Next review: October 16, 2027.

Evidence

Each passage is quoted from its source. The quoted passages are re-checked against the live pages every month.

1. Rite Aid is prohibited from using facial recognition technology for security or surveillance purposes for five years to settle Federal Trade Commission charges

   Supports: Parties, docket number, five-year ban; complaint dated December 19, 2023

   Rite Aid Corporation, FTC v. Federal Trade Commission Primary source

2. SO ORDERED this 23rd day of February, 2024.

   Supports: Order entered; case concluded

   Stipulated Order for Permanent Injunction and Other Relief, Dkt. 19, No. 2:23-cv-5023 (E.D. Pa.) U.S. District Court, E.D. Pa. (filed order published by the FTC) Primary source